Cheaper essential goods to be available from 22 Sept in U’khand
Garhwal Post Bureau
Dehradun, 19 Sep: In accordance with the decisions taken during the 56th meeting of the GST Council, the Central Government had issued a series of notifications revising tax rates on 17 September. In response, the state government has also followed suit by releasing its own set of notifications specifying the revised GST rates applicable to different goods and services. These changes will be applicable with effect from 22 September 2025.
It may be recalled that the revised structure has eliminated the 12 percent slab and sought to simplify the overall tax regime by lowering rates on a broad range of consumer goods, though GST has also been increased on certain luxury items, some of which will now attract 40 percent GST as against the earlier 28 per cent.
Essential consumer articles such as hair oil, toilet soap, bicycles, toothpaste, toothbrushes, biscuits and confectionery will now be taxed at 5 percent instead of 18 per cent. Services relating to beauty and wellness, widely availed by the public, including gyms, salons and yoga centres, will also fall under the 5 percent slab against the previous 18 percent.
Food items like butter, cheese, savouries, dry fruits, handicrafts, kitchenware, utensils, tableware, medicines, as well as marble, travertine and granite blocks, will now attract 5 percent GST in place of 12 percent. Agricultural products and machinery too are expected to benefit from this reduction.
Several medical devices including bandages, diagnostic kits, reagents and glucometers will now be taxed uniformly at 5 percent instead of 12 and 18 percent. Hotel rooms priced at Rs 7,500 or below per day will also draw 5 percent GST in place of 12 percent.
Rates on air conditioners, 32-inch televisions (with all televisions now uniformly taxed at 18 percent), dishwashing machines, small cars and motorcycles up to 350cc engine capacity have been reduced from 28 percent to 18 per cent. Cement will also now attract 18 percent GST instead of 28 per cent.
Stationery items such as pencils, sharpeners and notebooks, earlier taxed at 12 percent, have been made tax-free. In addition, 33 life-saving medicines have been exempted from the earlier 12 percent GST, while three medicines used in the treatment of cancer and rare diseases have moved from the 5 per cent bracket to full exemption.
All private life and health insurance policies have been completely exempted from the earlier 18 percent levy, a step expected to make insurance more affordable and significantly expand coverage across the country.
Although the GST rate on large cars and SUVs has been increased from 28 percent to 40 per cent, the removal of compensation cess on these vehicles is anticipated to bring down their effective market price.
The revised rates are expected to reduce the cost of a wide range of goods and services. The government has claimed that this would enhance the purchasing power of the consumers and also stimulate demand and encourage business activity. The government has further claimed that the rationalisation of slabs will not only benefit consumers directly but also have a long-term positive impact on the economy.
