Get ready to enjoy bigger savings, as a major GST overhaul is set to make a wide range of products and services more affordable! The new GST rates, which were announced by the GST Council on September 3, are coming into effect from September 22. This move is aimed at simplifying the tax structure and putting more money back in your pocket.
Wondering what’s getting cheaper from September 22? The list is long and covers everything from your daily groceries to big-ticket purchases. Get ready to see reduced prices on:
- Big-Ticket Electronics: This Dussehra upgrade your home with some Electronics. Now is the perfect time! Consumer durables like air conditioners, televisions, refrigerators, and washing machines will all become cheaper as their GST rate drops from 28% to 18%.
- Automobiles: If you were planning for a 4 wheeler or a 2 wheeler, now is the perfect time! Small cars with petrol engines under 1200cc and diesel engines under 1500cc will see a significant tax reduction, moving from 28% to 18%. Similarly, motorcycles with an engine capacity below 350cc and a range of auto parts will also become more affordable. Here’s an article we covered earlier about how much the prices of 4 wheeler and 2 wheeler will be after the GST cut.
- Kitchen & Pantry Staples: Items like ghee, butter, cheese, and condensed milk, previously taxed at 12%, will now attract only 5% GST. Even ice cream and pre-packaged paneer are getting cheaper, with their tax rates dropping. Plus, a few items like UHT milk will now be fully exempt from GST!
- Personal Care Products: Your favorite hair oil, shampoo, soaps, and toothpaste are all set to become more affordable as they move from the 18% slab down to 5%.
- Essential Services: A huge win for the common man—both health and life insurance premiums are now fully exempt from GST, giving you more savings on crucial policies. Salons, gyms, and yoga studios will also see their GST rate reduced.
This massive tax reform isn’t just about lower prices; it’s a strategic move by the government to boost the economy. Finance Minister Nirmala Sitharaman has stated that these GST changes are expected to inject a whopping ₹2 lakh crore into the economy. The timing, coinciding with the start of Navratri and the festive season, is no accident. It’s designed to fuel consumer spending and revive market demand.
Ready to save big? Be sure to check the new prices on your favorite products and make the most of this GST rate cut!
