GST Reform: PM Modi's "Diwali Gift" to Indians; What's Getting Cheaper, What's Getting Costlier|N18G
GST Reform: PM Modi's "Diwali Gift" to Indians; What's Getting Cheaper, What's Getting Costlier|N18GIndia has announced a major overhaul of the Goods & Services Tax (GST), reducing the current four slabs of 5%, 12%, 18% and 28% to two main slabs of 5% and 18%. Additionally, a special 40% slab has been introduced for select items, including high-end cars, tobacco, and cigarettes. Essential and everyday items such as milk, butter, ghee, cheese, plant-based drinks, kitchenware, shampoos, soaps, toothpaste, footwear, textiles, stationery, ACs, TVs, flights, hotel tariffs, vehicles, and even life-saving drugs will get cheaper. However, luxury and non-essential categories are facing a hike, with items such as aerated drinks, high-end automobiles, tobacco products, and leisure activities like casinos and lotteries becoming costlier. The major GST overhaul comes amid Trump's tariffs on Indian goods. PM Modi called the "Next-Gen GST Reform" a “Diwali gift” to the people. Meanwhile, opposition leaders have questioned the timing of the GST overhaul. Congress leader and former finance minister, P. Chidambaram, has welcomed the reform, calling it "8 years too late."
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