How Goods and Services Tax (India) Impact on Your Daily Expenses
The Goods and Services Tax has been rolled out on July 1, 2017. On the midnight of June 30, 2017, Our President Pranab Mukherjee and Prime Minister Narendra Modi pressed the button to officially launch GST from the Central Hall of Parliament. Here we will see how Goods and Services Tax (India) Impact on Your Daily Expenses.
The GST is indirect tax which is applicable throughout India. It has replaced nearly 17 indirect and 23 other existing Central and State Taxes like VAT, CST, Service Tax, Excise, Entry Tax etc. It will bring more transparency which will reduce the corruption & increase the ease of doing Business.
The GST has 4 slabs for Goods & Services – 5%, 12%, 18% and 28%. Most of the products have been exempted from tax under GST like milk, salt etc. Remaining falls under 5-12% category like sugar, tea, cheese etc. In GST, 19% items fall under 28% slab, 81% items fall under 18% and below slab.
Let’s see how it will impact on daily needs
|Sr. No.||GST Rates||Products|
|1||0||Unpacked Food grains, Eggs, Meat, Milk, Curd, Salt, Bread, Fruits, Fresh Vegetables, Essential Medicines, Prasad, Stamps, Judicial Papers, Printed Books, Newspapers, Bangles, Unbranded Dal, Atta, Besan, Maida, Lassi, Fish, Palmyra Jaggery, Phool Bahari Jhadoo,|
|2||5%||Sugar, Tea, Coffee (not instant coffee), Edible Oil, Pizza Bread, Indian Sweets, Frozen & Processed food, Rusk, Branded Atta, Besan, Maida, Dal, Domestic LPG, Agarbatti, Cashew nut, Masala, Butter Milk|
|3||12%||Butter, Cheese, Ghee, Packaged Dry Fruits, Fruit Juice, Tooth Powder, Umbrella, Mobile Phones, Namkin, Pickle, Murabba, Ketchup, Sauce, LED Lights, Pen, Pencil, Chutney, Jam, Jelly|
|4||18%||Soap, Hair Oil, Tooth Paste, Tooth Brush, Shaving Cream, Corn flakes, Pasta, Noodles, Cake, Pastry, Potato Chips, Ice Cream, Mineral Water, School Bag, Phone Bill, Kajal pencil sticks, Aluminium foil,|
|5||28% (+)||Shampoo, Tobacco, Pan Masala, Aerated Drinks, Chocolates, Instant Coffee, Liquid Soap, Nail Cutter, Cold Drinks (40%)|
Please Check this link for GST Rates on Products
What will get Cheaper
Sugar, Jaggery, Edible Oil (Palm Oil, Groundnut Oil, Sunflower Oil etc.), Namkin, Pickle, Chutney, Murabba, Ketchup, Sauce, Pasta, Noodles, Cake, Pastry, Chocolates, Tea, Ice Cream, Masala, Milk Powder, Curd, Baking Powder
Tooth Powder, Tooth Paste, Tooth Brush, Bathing Soap, Matchsticks, Candles, Coal, Domestic LPG, Agarbatti, Kajal, LPG Stove
Notebooks, Pens, Papers, School Bag, Exercise Books, Printers
Silk, Woolen Fabrics, Khadi Yarn, Gandhi Topi, Footwear below Rs. 500, Apparel below Rs. 1000
Insulin, X -ray Films for medical use, Diagnostic Kits, Medicines For Diabetes, Cancer
Helmet, Crackers and Explosives, Bikes, Lubricants, Kites, Luxury Cars, Movie Ticket Less than Rs. 100, Scooters, Economy Class Air Tickets, Cement, Hotels with Tariff below Rs. 7500 , UPS, Electric Transformer
What will get Costlier
Chips, Biscuits, Rusk, Pizza Bread, Instant Coffee, Milk Powder, Ghee, Cheese, Butter Milk, Cold Drinks, Paneer, Cornflakes etc.
Umbrella, Liquid Soap, Luxury Goods, Chemical Fertilizers, Pesticides, Tractor Parts, Ready Made Clothes, Gold, Silver, Platinum, Diamond, Phone Bill, Insurance Premium, Financial Services, Real Estate, Restaurant AC/NON AC, AC Train Ticket, Business Class Air Ticket, Truck, Hybrid Car, Bike, Sewing Machine, Agarbatti etc.
Check out below links
- How to Link Aadhaar Card to LPG Gas Connection
- Link Aadhaar With PAN Using SMS: Income Tax Department