Query:
GST picture on pharma company is still clear or We have to wait to know . In my opinion GST will be on MRP but how unbilled sold medicine can
be taken care. Please let me know in detail of gst impact as i am very little knowledge. Awaiting for detail from you
Related Post: How to apply for GST registration?
How to File Return under GST reforms?
How to generate e-way bill under GST?
Response:
GST impact at pharma is still unclear. We have to wait till GST implementation. There is much possibilities that GST will be applicable at MRP or trade value but there may be any possibilities.
Unbilled medicines is illegal at present also and will be illegal after implementation of GST. Unbilled medicines will be sold out without bill further. Unbilled medicines sale is likely to be strict prohibitions and under control.
There will be four Tax slabs in GST bill: 5, 12, 18, 28 percent. Items will be selected as per it’s a essential commodity or not. Medicines come under essential commodities but come under excise duty at present. At present pharma sector is enjoying excise free zone manufacturing in few areas. Being an essential commodity we are supposing it will come either in 5% slab or in 12% slab. If it GST is to be applicable at mrp then it should be in 5% slab other wise there may be lot of chances to unexceptionably increase in price hikes…
Read our article: What will be the effect of GST at Pharmaceutical Sector? for more detail…
Read: How to apply for GST Here
Hope above information is helpful to you…