New Delhi:The Goods and Services Tax (GST) framework has undergone a major reform aimed at reducing the cost of living for households and supporting businesses across the country. The new changes slash tax rates on essential items, healthcare products, education material, agriculture inputs, automobiles, and electronic appliances.
What Gets Cheaper for Consumers:
Daily Essentials: Hair oil, shampoo, toothpaste, shaving cream, butter, ghee, cheese, namkeens, utensils, sewing machines, and baby products like feeding bottles and diapers now attract just 5% GST, down from 12–18%.
Healthcare: Health and life insurance premiums are tax-free. Thermometers, medical oxygen, diagnostic kits, glucometers, test strips, and corrective spectacles see major reductions, easing medical costs for families.
Education: Learning aids such as maps, charts, pencils, sharpeners, exercise books, and erasers are now exempt from GST, making education more affordable.
Farm Sector: Tractors, tyres, pesticides, micronutrients, drip irrigation systems, and agricultural machinery have been reduced to 5% GST, cutting input costs for farmers.
Automobiles: Hybrid cars, CNG vehicles, diesel cars, motorbikes (350 cc & below),and goods transport vehicles now come under lower GST slabs, improving affordability for consumers.
Electronics: Appliances including air conditioners, televisions, dishwashers, monitors, and projectors have been moved from 28% GST to 18%, offering relief to households.
Simpler Processes for Businesses:
The reforms also streamline procedures, including automatic registration within three working days, provisional refunds through system-based evaluation, and a simplified duty structure benefiting MSMEs and small entrepreneurs.
With lower taxes across key categories, the GST overhaul is expected to make everyday essentials cheaper, reduce business costs, and give a boost to the economy.