GST: The Center is ready for new GST changes

The Central Government is once again going to provide good news to the middle class . The Center, which has already given concessions in income tax, is now giving more relief in terms of GST . Reliable sources have revealed that steps are being taken to reduce the burden of Goods and Services Tax (GST). The Center is planning to completely remove tax or reduce it to 5 percent on essential items such as toothpaste, tooth powder, umbrellas, sewing machines, pressure cookers, cooking utensils, ghee, soaps, snacks, geysers, low-efficiency washing machines, and bicycles, which are currently under the 12 percent GST.

VaarthaRavi

Jul 3, 2025 - 12:42

The Central Government is once again going to provide good news to the middle class . The Center, which has already given concessions in income tax, is now giving more relief in terms of GST . Reliable sources have revealed that steps are being taken to reduce the burden of Goods and Services Tax (GST). The Center is planning to completely remove tax or reduce it to 5 percent on essential items such as toothpaste, tooth powder, umbrellas, sewing machines, pressure cookers, cooking utensils, ghee, soaps, snacks, geysers, low-efficiency washing machines, and bicycles, which are currently under the 12 percent GST.

Goods at low prices for the common people

If this decision is implemented, the common man's pocket will get significant relief. If it comes to 5 percent GST... footwear, ready-made clothes, household items, small-capacity electronics—all will be available at a cheaper price. These changes are likely to put a burden of Rs. 40,000 to Rs. 50,000 crore on the government. However, it seems that this decision is being taken to increase the consumption capacity of the people. The Center believes that if prices come down, sales will increase and tax collections will also increase.

Key decision to be taken in GST Council meeting

These proposals will be discussed in the 56th GST Council meeting to be held this month. The final decision is likely to be taken with the support of the states. Although Punjab, Kerala, Madhya Pradesh, and West Bengal are showing (slight resistance), it seems that so far the decisions in the Council have been taken unanimously.

What are the items on the list of items whose prices will decrease?

It is reported that it will include hair oil, soaps, toothpaste, geysers, cooking utensils, bicycles, vaccines, TB diagnostic kits, Ayurvedic medicines, drawing books, agricultural equipment, solar water heaters, ready-mix concrete, and prefabricated buildings.