GST Council restructures rates to increase coal levy and reduce taxes on renewables

The Goods and Services Tax Council has restructured rates to increase coal levy and reduce taxes on renewables. Coal, lignite and peat will now be taxed at 18 per cent, up from 5 per cent earlier. The Goods & Services Tax rate on renewable energy devices and hydrogen-based technologies has been reduced to 5 per cent from 12 per cent. The revised list includes solar cookers, solar water heaters, windmills, biogas plants, waste-to-energy systems, photovoltaic cells and fuel-cell electric vehicles (EVs).