Shares of Colgate-Palmolive (India) rose nearly 8 percent in Friday's trading session after the GST Council on Thursday recommended changes to input tax credit provisions.
The stock rose 7.7 percent to Rs 1,868.90 per share on the NSE. It later pared some gains amid profit booking at higher levels and was trading at Rs 1,827.70, up 5.3 percent, at around 2 pm.
The recommendations, announced after the GST Council meeting on October 8, include removing restrictions on input tax credit for certain expenses, including employee health and life insurance, telecommunications towers and pipelines located outside factory premises.
The Council also recommended allowing input tax credit on free samples and goods written off after expiry where destruction is required by law.
The proposed changes are part of broader GST reforms aimed at reducing cascading taxes and easing working capital pressures for businesses, reported CNBC-TV18.