With reference to the Goods and Services Tax (GST) Council, consider the following statements:1.The council is meant to make recommendations to the Union and the states on important issues related to GST, like the goods and services that may be subjected or exempted from GST.2.It is a government body that is responsible for setting the prices of goods and services.3.The Council's decisions are not legally binding.Which of the statements given above is/are correct?

Q. With reference to the Goods and Services Tax (GST) Council, consider the following statements:
1.The council is meant to make recommendations to the Union and the states on important issues related to GST, like the goods and services that may be subjected or exempted from GST.
2.It is a government body that is responsible for setting the prices of goods and services. 3.The Council’s decisions are not legally binding.
Which of the statements given above is/are correct?

[A] 1 and 2 only

[B] 1 only

[C] 2 and 3 only

[D] 2 only

Answer: B

Notes:

Explanation –

Statement 1 is correct. The council is meant to make recommendations to the Union and the states on important issues related to GST, like the goods and services that may be subjected or exempted from GST.

Statements 2 and 3 are incorrect. The GST Council is a government body in India responsible for setting tax rates and making policy decisions related to the Goods and Services Tax (GST). It does not set the prices of goods and services in the market rather it sets the taxes. The GST Council’s decisions are legally binding in India.

Source: ForumIAS

Post-Mains Strategy Session by Mr. Ayush Sinha | ForumIAS