Exempting Covid vaccine from GST would be counterproductive: FM Sitharaman to Bengal CM

Union Finance Minister Nirmala Sitharaman has responded to a letter West Bengal CM Mamata Banerjee wrote to PM Narendra Modi. Exempting Covid-19 vaccines from GST would be counterproductive, said the FM.

Exemption given to vaccines from GST would be counterproductive without benefiting the consumer, Union Finance Minister Nirmala Sitharaman said in response to a letter by West Bengal CM Mamata Banerjee. In a series of tweets on Sunday, FM Sitharaman said items mentioned in CM Banerjee's letter to PM Narendra Modi have already been exempted from customs duty and health cess. 3/ Full exemption from Customs duties, including IGST, is already available to ALL COVID relief material (not confined to a list) imported by @IndianRedCross for free distribution in the country.@ANI @PIB_India @PIBKolkata 6/ Also to Inflammatory diagnostic kits and reagents for COVID testing and COVID vaccines.@ANI @PIB_India @PIBKolkata 6/ Also to Inflammatory diagnostic kits and reagents for COVID testing and COVID vaccines.@ANI @PIB_India @PIBKolkata 10 - I agree on paper even though Centre doesn't have a good track record on giving states its dues. But as you can see - the suggestion was not made where only GoI has to shoulder the pain. Our state will bear 70.50% of the cost. — Nirmala Sitharaman (@nsitharaman) May 9, 2021 — Nirmala Sitharaman (@nsitharaman) May 9, 2021 — Nirmala Sitharaman (@nsitharaman) May 9, 2021 The West Bengal Chief Minister has sought exemption of oxygen concentrators and Covid-related drugs from customs duty/SGST/CGST/IGST. A large number of organisations, individuals and agencies have come forward to help the state government and are seeking these exemptions for the same, she had said in her letter.