On Friday Goods and Services Tax Council take up the crucial issue of taxation of services on precious metals such as gold. GST council also decide on taxation on biscuits, footwear and packaged cereals such as basmati.

Center had proposed a rate of 4% on hold but some states such as Kerala want it placed in the higher 5% slab. For biscuits and footwear, some states and industry have pitched for exemption for low prices products or putting them under the lower slab.

Services related to taxation, some states favour common services such as telecom, banking in the lower slab. Service tax rate is currently at 15%. The GST slab rates stand at 5%, 12%, 18%, 28%. They are in the view that placing them in the 18% slab will hurt common man.

Government officials have so far maintained that services that enjoy higher abatement would face lower rate under GST as well.