Brief by Shorts91 Newsdesk / 01:38pm on 15 Aug 2025,Friday India
The government has proposed reducing GST to two slabs—5% and 18%—with sin goods like tobacco and pan masala taxed at 40%. The plan, sent to the GST Council, will be discussed in a two-day September meeting, aiming for implementation before Diwali. Prime Minister Narendra Modi called it a “next-generation GST reform” and a Diwali gift, promising lower taxes on essentials such as farm products, health services, handicrafts, and insurance. The reform will remove the 12% slab, redistributing items into lower or higher categories. Officials believe it will boost consumption and economic growth, despite potential short-term revenue impacts. (PC: India Today)
