The GoM on GST rate rationalisation on Saturday deferred submission of its report, which suggested rate rationalisation in 148 items, to the GST Council, the panel's convenor and Bihar Deputy Chief Minister Samrat Chaudhary said.

"Will submit the Group of Ministers (GoM) report on rate rationalisation in next meeting of the Council," Chaudhary told reporters here.

The GoM had earlier this month arrived at a broad consensus to rejig tax rates on about 148 items, including levying a higher 35 per cent tax on sin goods, like aerated beverages and tobacco products, as compared to 28 per cent at present.

It was widely expected that the GoM would submit its report to the GST Council meeting on Saturday.

Currently, GST is a four-tier tax structure with slabs at 5, 12, 18 and 28 per cent. Luxury and demerit goods are taxed at highest bracket of 28 per cent, while packed food and essential items are at the lowest 5 per cent slab.

The GoM had also decided to propose rationalising tax rates on apparel. As per the decision, ready-made garments costing up to Rs 1,500 would attract 5 per cent GST, those between Rs 1,500 to Rs 10,000 would attract 18 per cent. Garments costing above Rs 10,000 would attract 28 per cent tax.

Currently, garments costing up to Rs 1,000 attract 5 per cent GST, while those above that attract 12 per cent. The GoM also proposed hiking GST on shoes above Rs 15,000/pair from 18 per cent to 28 per cent. It also proposed raising GST on wrist watches above Rs 25,000 from 18 per cent to 28 per cent.

The GoM had proposed reducing GST on packaged drinking water of 20 litre and above to 5 per cent from 18 per cent, and reducing tax rate on bicycles costing less than Rs 10,000 to 5 per cent, from 12 per cent. Also, GST on exercise notebooks would be reduced to 5 per cent from 12 per cent.