Brief by Shorts91 Newsdesk / 11:53am on 04 Sep 2025,Thursday India
India has cut Goods and Services Tax (GST) rates on hundreds of items to boost demand and reduce the impact of steep US tariffs. Finance Minister Nirmala Sitharaman said GST will now have two slabs—5% and 18%—replacing the earlier four-tier system. Everyday goods like ACs, tea, school supplies and insurance will get cheaper, while luxury cars and imported liquor will cost more. The changes take effect on 22 September, ahead of the festive season. Analysts say the move will boost consumption, which drives 60% of India’s GDP, though states fear revenue losses of up to $6bn. (PC: Getty Images)
