Listen to this article
The Union Finance Minister Nirmala Sitharaman said that she will raise the issue of relaxation of GST levied on life insurance and health insurance policies with the GST Council.
This has come after the opposition INDIA bloc protested outside the parliament and demanded withdrawal of this GST. Earlier, the Union Minister of Road Transport and Highways Nitin Gadkari wrote to the FM urging her to waive off 18% GST levied on the premium amount of life and health insurance policies.
While presenting the Finance Bill 2024, Sitharaman said that life insurance and health insurance policies are subject to such a taxation (service tax) before the rolling out of GST in India.
The FM informed the parliament that the government raised Rs.24,000 crore by levying GST on life and health insurance policies over the last three financial years of which 73% went to the states.
