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GST 2.0: What Gets Cheaper, What Gets Expensive? Full List For The Common Man

Almost all personal-use items will see rate cuts as the government looks to boost domestic spending and cushion the economic blow from US tariffs. Check out the detailed list.

<div class="paragraphs"><p>The GST panel approved simplifying the goods and services tax (GST) from the current four slabs -- 5%, 12%, 18% and 28% -- to a two-rate structure -- 5% and 18%. (Photo: Wikimedia Commons)</p></div>
The GST panel approved simplifying the goods and services tax (GST) from the current four slabs -- 5%, 12%, 18% and 28% -- to a two-rate structure -- 5% and 18%. (Photo: Wikimedia Commons)
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The GST Council on Wednesday night approved a comprehensive overhaul of the Goods and Services Tax (GST) regime, resulting in a reduction of tax rates on a wide range of everyday items. These items include hair oil, corn flakes, televisions, and personal health and life insurance policies.

The GST Council approved a rate overhaul, limiting the slabs to 5% and 18%, effective from September 22, the first day of Navaratri.

Almost all personal-use items will see rate cuts as the government looks to boost domestic spending and cushion the economic blow of the US tariffs.

Briefing reporters after a marathon daylong GST Council meeting, Union Finance Minister Nirmala Sitharaman said all decisions were taken unanimously, with no disagreement with any state.

The panel approved simplifying the goods and services tax (GST) from the current four slabs -- 5%, 12%, 18% and 28% -- to a two-rate structure -- 5% and 18%. A special 40 per cent slab is also proposed for a select few items such as high-end cars, tobacco and cigarettes.

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What Gets Cheaper For Common Man

The revised rates for common man items have been slashed from 12% to 5%:

  • Tooth powder

  • Candles, tapers, safety matches

  • Feeding bottles, Nipples of feeding bottles

  • Hand bags and shopping bags, of cotton, jute

  • Tableware and Kitchenware of wood

  • Umbrellas and sun umbrellas (including walking-stick umbrellas, garden umbrellas and similar umbrellas),

  • Tableware, kitchenware, other household articles and toilet articles, of porcelain or china and other than of porcelain or china

  • Sewing needles

  • Kerosene burners, kerosene stoves and wood burning stoves of iron or steel

  • Table, kitchen or or other household articles of iron and steel and copper utensils

  • Brass Kerosene Pressure Stove

  • Table, kitchen or other household articles of aluminium

  • Sewing machines, other than book-sewing machine of heading

  • Furniture, bases and covers specially designed for sewing machines; sewing machines needles and parts and accessories of sewing machines

  • Bicycles and other cycles (including delivery tricycles), not motorised and their parts

  • Furniture wholly made of bamboo, cane or rattan

  • Hurricane lanterns, Kerosene lamp / pressure lantern, petromax, glass chimney, and parts thereof

  • Combs, hair-slides and the like; hairpins, curling pins, curling grips, hair-curlers and the like

  • All goods- napkins and napkin liners for babies, clinical diapers

  • Talcum powder, Face powder

  • Hair oil, shampoo

  • Dental floss, toothpaste

  • Shaving cream, shaving lotion, aftershave lotion

  • Toilet Soap (other than industrial soap) in the form of bars, cakes, moulded pieces or shapes

  • Tooth brushes including dental-plate brushes

There won't be any GST on food items such as:

  • Ultra-High Temperature (UHT) milk

  • Chena or paneer, pre-packaged and labelled

  • Pizza bread

  • Khakhra, chapati or roti

  • Paratha, parotta and other Indian breads

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Whereas GST has been slashed from 12% to 5% on

  • Condensed milk

  • Butter and other fats (i.e. ghee, butter oil, etc.) and oils derived from milk; dairy spreads

  • Cheese

  • Brazil nuts, dried, whether or not Shelled or Peeled

  • Almonds, Hazelnuts or filberts, Chestnuts Pistachos, Macadamia nuts, Kola nuts, Pine nuts

  • Dates (soft or hard), figs, pineapples, avocados, guavas, mangoes (other than mangoes sliced, dried) and mangosteens

  • Citrus fruit, such as Oranges, Mandarins (including tangerines and satsumas); clementines, wilkings and similar citrus hybrids, Grapefruit, including pomelos, Lemons (Citrus limon, Citrus limonum) and limes (Citrus aurantifolia, Citrus latifolia), dried

  • Fruit, dried, other than that of headings 0801 to 0806; mixtures

  • of nuts or dried fruits of Chapter 8 [other than dried tamarind]

  • Starches; inulin

  • Fats of bovine animals, sheep or goats

  • Sugar boiled confectionery

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GST Rates On Electronic Appliances Reduced To 18% From 28% — Details Here

What Gets Expensive

The GST rates on the following items are hiked from 28% to 40%

  • Pan masala

  • All goods [including aerated waters], containing added sugar or other sweetening matter or flavoured

  • Caffeinated Beverages

  • Carbonated Beverages of Fruit Drink or Carbonated Beverages with Fruit Juice

  • Cigars, cheroots, cigarillos and cigarettes, of tobacco or of tobacco substitutes

  • Products containing tobacco or reconstituted tobacco and intended for inhalation without combustion

  • Motor cars and other motor vehicles principally designed for the transport of persons including station wagons and racing cars

  • Motor vehicles of engine capacity exceeding 1200cc or of length exceeding 4000 mm

  • Motor cycles of engine capacity exceeding 350 cc

  • Aircraft for personal use

  • Yacht and other vessels for pleasure or sports

  • Revolvers and pistols

  • Smoking pipes (including pipe bowls) and cigar or cigarette holders, and parts thereof

  • Other non-alcoholic beverages will be hiked from 18% to 40%

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GST Rates Overhaul: Relief For Essentials, Heavier Tax On Luxury — Key Highlights

The GST rates on the following items are hiked from 12% to 18%

  • Articles of apparel and clothing accessories, knitted or crocheted, of sale value exceeding Rs. 2500 per piece

  • Cotton quilts of sale value exceeding Rs. 2500 per piece

  • Products wholly made of quilted textile material exceeding Rs. 2500 per piece

  • Uncoated paper and paperboard, of a kind used for writing, printing or other graphic purposes, and non-perforated punch-cards and punch tape paper, in rolls or rectangular (including square) sheets, of any size

  • Paper and paperboard, coated on one or both sides with kaolin (China clay) or other inorganic substances, with or without a binder, and with no other coating, whether or not surface-coloured, surface-decorated or printed, in rolls or rectangular (including square) sheets of any size

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