The 31st Goods and Services Tax (GST) Council meeting on Saturday decided to move 33 items from the 18 percent tax slab to 12 percent and 5 percent while six items were moved from 28 percent slab to 18 percent bracket.

This was announced by Union Finance Minister Arun Jaitley, who said that ''six items have been removed from the 28 percent tax bracket under the Goods and Services Tax (GST) regime.''

''The GST Council slashes tax rate on 7 goods in the 28% slab; only 28 items are now left in the highest bracket,'' FM Arun Jaitley said.

The new GST rates will be effective from 1st January 2019, the FM said in a press briefing after the GST Council meeting.

Today's GST rate reduction will have an overall impact on revenue of Rs 5500 crore, the Finance Minister said.

There were 34 items in the 28 percent tax bracket which included luxury and 'sin goods' till now.

However, the GST Council in its meeting on Saturday decided to take out 6 items from this list.

''Monitors and television screens, tyres, power banks of Lithium-ion batteries have been brought down from 28% to 18% slab. Accessories for carriages for specially abled persons have been brought down to 5%,'' the FM said while addressing a press briefing.

Jaitley continued by saying, ''The GST on movie tickets costing up to Rs 100 has been cut to 12 percent from 18 percent; tickets over Rs 100 will now attract 18 percent GST, against 28 percent earlier.''

After the GST Council's decision, the items that will now get cheaper are - 32-inch LED TVs, video games and movie tickets.

GST on real estate will be discussed in the next GST Council meeting, the FM said.

GST Council also agreed to set up a Centralized Advance Ruling Authority, the FM said.

During his press briefing after the GST Council meet, FM Jaitley said, ''New GST return filing system will come into effect from July 1, 2019.''  

Sharing other important decisions taken by the GST Council today, FM Jaitley said, ''There is no GST cut on cement and auto parts.''

Listing out other decisions of the GST Council, the Jaitley said the services supplied by the banks to Jan-Dhan account holders have been exempted from GST.

Sifting his focus to the real estate sector, FM said, ''The Law Fitment Committee will take a view on GST on real estate in the next meeting. There is a consensus that something needs to be done on this.''

The 31st GST Council meeting also approved a proposal to form a 7-Member Group of Ministers (GoM) to study the revenue trend, including analysing the reasons for structural patterns affecting the revenue collection in some of the states.

Earlier, emerging out of the GST council meeting, V Narayanasamy, Puducherry Chief Minister, told ANI that ''the Goods and Services Tax (GST) Council on Saturday decided to cut rates of 33 items from 18 percent to 12 percent and 5 percent.''

''33 items have come down from 18% to 12% and 5% as they are goods of common man’s consumption. The original demand by Congress that all goods should come down to 18% and below except luxury items has been agreed by the Government. Except for 34 items, all other will come down to 18% and below,'' Narayanasamy said.

The announcement was made by Narayanasamy shortly after the GST Council meeting ended.