In a move that the government has termed a historic reform, the Union Cabinet chaired by Prime Minister Narendra Modi in June, 2020 had approved a slew of changes in the space sector to boost private sector participation in the entire range of space activities.
The privatization of space had earlier been announced by Finance Minister Nirmala Sitharaman when she expounded on the sectorial changes that would be brought about to help the Indian economy become self-reliant or “aatmanirbhar”.
The government has created a new outfit, the Indian National Space Promotion and Authorisation Centres (IN-SPACe) “to provide a level playing field for private companies to use Indian space infrastructure.” IN-SPACe will also hand-hold, promote and guide the private industries in space activities through encouraging policies and a friendly regulatory environment.
In regard to arena of GST it may be noted that no GST exemption currently exists for satellite launch services.
The next GST Council meeting is to be held tomorrow on October, 5 wherein apart from the burning cess issue, other issues like compliance relaxations , reduction in GST rate on ayurvedic hand sanitizers etc will be discussed.
In regard to the GST meet tommorow, CNBC-TV18 vide its recent tweet has intimated that , the Government Sources says GST Council likely to exempt satellite launch services from GST as a move to encourage private Indian enterprises to launch satellite through Indian satellite launch facilities.
The bullet points of the tweet are as under:
- GST Council likely to exempt satellite launch services from GST
- Move to encourage private Indian enterprises to launch satellite via Indian satellite launch facilities
- Fitment Committee in favour of exempting GST on satellite launch svcs supplied by ISRO, Antrix/NSIL
- Fitment Committee unable to assess revenue loss as no satellites belonging to Indian private entrepreneurs have been launched so far.
For ready reference of our readers the image of the tweet of CNBC-TV18 is given below:
Source: https://twitter.com/CNBCTV18Live/status/1312637874320273413
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