Finance Minister Nirmala Sitharaman on Saturday said that the Centre will buy the 75 per cent Covid-19 vaccine as announced earlier and will also pay their GST. But 70 per cent of the income from GST will be shared with states.
She also added that the 5 per cent GST on vaccines will stay.
The GST Council slashed the tax rate on Covid-19 medicines such as Remdesivir and equipment like oxygen concentrators and medical grade oxygen.
Read | GST Council cuts tax rates on Covid-19 essentials: What got cheaper?
Tax on medical grade oxygen, oxygen concentrators, ventilators, BiPAP machines and high flow nasal cannula (HFNC) devices has been cut to 5 per cent from 12 per cent, Finance Minister Nirmala Sitharaman said.
Also, tax on Covid testing kits has been brought down to 5 per cent from 12 per cent.
Pulse oximeters, hand sanitisers, temperature check equipment and ambulances too will attract lower 5 per cent tax, she said.
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