{"id":2692,"date":"2026-05-11T06:30:37","date_gmt":"2026-05-11T06:30:37","guid":{"rendered":"https:\/\/vyaparapp.in\/blog\/?p=2692"},"modified":"2026-05-14T11:19:45","modified_gmt":"2026-05-14T11:19:45","slug":"new-gst-rates","status":"publish","type":"post","link":"https:\/\/vyaparapp.in\/blog\/new-gst-rates\/","title":{"rendered":"GST Rates in India 2026-27: New Tax Slabs, Item-Wise List &amp; GST 2.0 Changes"},"content":{"rendered":"\n<div class=\"wp-block-group vy-toc-wrap\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<div class=\"wp-block-rank-math-toc-block\" id=\"rank-math-toc\"><nav><ol><li class=\"\"><a href=\"#1-msme-a-three-pronged-roadmap-for-growth\">Introduction<\/a><\/li><li class=\"\"><a href=\"#tech-upgrade-02-inventory-management-system\">Quick Snapshot: What Changed in GST 2.0<\/a><\/li><li class=\"\"><a href=\"#complete-list-of-accounting-standards\">The New GST Rate Structure in India<\/a><\/li><li class=\"\"><a href=\"#core-standards\">What the 56th GST Council Actually Decided<\/a><\/li><li class=\"\"><a href=\"#who-gets-form-16\">Agriculture &amp; Farm Inputs<\/a><\/li><li class=\"\"><a href=\"#what-got-costlier\">What Got Costlier<\/a><\/li><li class=\"\"><a href=\"#items-at-0-gst-nil-rated-exempt\">Items at 0% GST (Nil-Rated \/ Exempt)<\/a><\/li><li class=\"\"><a href=\"#items-at-5-gst\">Items at 5% GST<\/a><\/li><li class=\"\"><a href=\"#items-at-18-gst\">Items at 18% GST<\/a><\/li><li class=\"\"><a href=\"#items-at-40-gst-sin-goods-luxury\">Items at 40% GST (Sin Goods &amp; Luxury)<\/a><\/li><li class=\"\"><a href=\"#special-niche-rates-3-0-25-1-5-28\">Special Niche Rates: 3%, 0.25%, 1.5%, 28%<\/a><\/li><li class=\"\"><a href=\"#old-vs-new-gst-rates-side-by-side\">Old vs New GST Rates: Side-by-Side<\/a><\/li><li class=\"\"><a href=\"#form-16-vs-form-16-a-vs-form-16-b\">How These Changes Affect Consumers and Businesses<\/a><\/li><li class=\"\"><a href=\"#how-small-businesses-can-adapt\">How Small Businesses Can Adapt<\/a><\/li><li class=\"\"><a href=\"#how-vyapar-helps-you-stay-gst-compliant\">How Vyapar Helps You Stay GST-Compliant<\/a><\/li><li class=\"\"><a href=\"#f\">Frequently Asked Questions (FAQs)<\/a><\/li><\/ol><\/nav><\/div>\n<\/div><\/div>\n\n\n\n<figure class=\"wp-block-image size-full first-img skip-lazy\"><img decoding=\"async\" width=\"1282\" height=\"716\" src=\"https:\/\/vyaparapp.in\/blog\/wp-content\/uploads\/2026\/05\/gst_rates_in_india_2026_27_.webp\" alt=\"\" class=\"wp-image-2694\" fetchpriority=\"high\" loading=\"eager\" srcset=\"https:\/\/vyaparapp.in\/blog\/wp-content\/uploads\/2026\/05\/gst_rates_in_india_2026_27_.webp 1282w, https:\/\/vyaparapp.in\/blog\/wp-content\/uploads\/2026\/05\/gst_rates_in_india_2026_27_-300x168.webp 300w, https:\/\/vyaparapp.in\/blog\/wp-content\/uploads\/2026\/05\/gst_rates_in_india_2026_27_-1024x572.webp 1024w, https:\/\/vyaparapp.in\/blog\/wp-content\/uploads\/2026\/05\/gst_rates_in_india_2026_27_-768x429.webp 768w\" sizes=\"(max-width: 1282px) 100vw, 1282px\" \/><\/figure>\n\n\n\n<style>\n\/* Styling for the Key Takeaways Box *\/\n.key-takeaways-box {\n  border: 2px solid #f36f45;\n  padding: 24px 28px;\n  margin: 30px 0;\n  background: #f9f9f9;\n  border-radius: 4px;\n  font-family: -apple-system, BlinkMacSystemFont, \"Segoe UI\", Roboto, Helvetica, Arial, sans-serif;\n}\n\n.key-takeaways-box h3 {\n  margin-top: 0 !important;\n  letter-spacing: 1px;\n  font-size: 1.2rem;\n  font-weight: 700;\n  color: #222;\n  text-transform: uppercase;\n}\n\n.key-takeaways-box ul {\n  margin: 15px 0 0 0 !important;\n  padding-left: 20px !important;\n  list-style-type: disc !important;\n}\n\n.key-takeaways-box li {\n  margin-bottom: 12px;\n  line-height: 1.6;\n  color: #444;\n  font-weight: 400;\n}\n\n.key-takeaways-box li:last-child {\n  margin-bottom: 0;\n}\n<\/style>\n\n<div class=\"key-takeaways-box\">\n  <h3>KEY TAKEAWAYS<\/h3>\n  <ul>\n    <li>GST 2.0 introduced a simplified tax structure with major slabs reduced to 0%, 5%, 18%, and 40% from 22 September 2025<\/li>\n    <li>The old 12% and 28% GST slabs were largely removed, with items shifted either to 5%, 18%, or 40%<\/li>\n    <li>Daily essentials like soap, shampoo, butter, ghee, namkeen, notebooks, and insurance became significantly cheaper under the new rates<\/li>\n    <li>Luxury and sin goods such as aerated drinks, large cars, casinos, and motorcycles above 350cc now attract 40% GST<\/li>\n    <li>Businesses must update billing software, HSN mappings, invoices, and GST filings to remain compliant with the revised GST structure<\/li>\n  <\/ul>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"1-msme-a-three-pronged-roadmap-for-growth\">Introduction<\/h2>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>Last updated: Reflects the 56th GST Council Meeting decisions and revised rates effective from 22 September 2025<\/p>\n<\/blockquote>\n\n\n\n<p>The 56th GST Council meeting rewrote the rate book. From 22 September 2025, India runs on a much simpler structure: 5%, 18%, and 40%, with a 0% slab for essentials. The old 12% and 28% slabs? Gone.<\/p>\n\n\n\n<p>This guide walks you through everything that changed &#8211; the rate cuts, the rate hikes, the full item-wise tables for each slab, an HSN chapter quick-reference, and a plain-English summary of the official notifications. Whether you&#8217;re an SMB owner updating your billing system, an accountant preparing GSTR-1, or a consumer wondering why prices shifted, this is your one-stop reference.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"tech-upgrade-02-inventory-management-system\">Quick Snapshot: What Changed in GST 2.0<\/h2>\n\n\n\n<p>If you only have 30 seconds, here&#8217;s the list:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><thead><tr><th><strong>Aspect<\/strong><\/th><th><strong>Before 22 Sept 2025<\/strong><\/th><th><strong>After 22 Sept 2025<\/strong><\/th><\/tr><\/thead><tbody><tr><td>Number of main slabs<\/td><td>5 (0%, 5%, 12%, 18%, 28%)<\/td><td>3 (5%, 18%, 40%) plus 0% nil-rated<\/td><\/tr><tr><td>Health &amp; life insurance (individual)<\/td><td>18%<\/td><td>Nil (Exempt)<\/td><\/tr><tr><td>Small cars, two-wheelers \u2264350cc<\/td><td>28% + cess<\/td><td>18%<\/td><\/tr><tr><td>ACs, large TVs, dishwashers<\/td><td>28%<\/td><td>18%<\/td><\/tr><tr><td>Hair oil, shampoo, soap, toothpaste<\/td><td>18%<\/td><td>5%<\/td><\/tr><tr><td>Butter, ghee, paneer, packaged namkeen<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>33 life-saving drugs<\/td><td>12%<\/td><td>Nil<\/td><\/tr><tr><td>Notebooks, pencils, maps, crayons<\/td><td>12%<\/td><td>Nil<\/td><\/tr><tr><td>Pan masala, large cars, aerated drinks<\/td><td>28% (+ cess)<\/td><td>40%<\/td><\/tr><tr><td>Coal, lignite, peat<\/td><td>5%<\/td><td>18%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"key-accounting-standards-for-businesses\">What is a GST Rate, Really?<\/h3>\n\n\n\n<p>A GST rate is just the percentage of tax added on top of the value of any taxable supply of goods or services in India. Simple enough &#8211; but it shows up on your invoice in three different forms depending on the transaction:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>CGST<\/strong> (Central GST) &#8211; half the rate, goes to the Centre on intra-state sales<\/li>\n\n\n\n<li><strong>SGST<\/strong> (State GST) &#8211; the other half, goes to the State on intra-state sales<\/li>\n\n\n\n<li><strong>IGST<\/strong> (Integrated GST) &#8211; the full rate, applied on inter-state sales and imports<\/li>\n<\/ul>\n\n\n\n<p>Here&#8217;s a quick example. You sell goods worth \u20b910,000 in an intra-state sale at 18%. Your invoice will show \u20b9900 CGST + \u20b9900 SGST = \u20b91,800 GST. For an inter-state sale of the same goods, you&#8217;d charge \u20b91,800 IGST instead.<\/p>\n\n\n\n<p>Why does the rate matter so much for your business? Because it directly decides:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The <strong>selling price<\/strong> your customer ends up paying<\/li>\n\n\n\n<li>The <strong>input tax credit (ITC)<\/strong> you can claim on purchases<\/li>\n\n\n\n<li>Your <strong>GST liability<\/strong> when you file GSTR-1 and GSTR-3B<\/li>\n\n\n\n<li>Your <strong>competitive position<\/strong> vs others selling the same category<\/li>\n<\/ul>\n\n\n\n<p>Get the rate wrong, and the consequences ripple across every invoice and every return.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"complete-list-of-accounting-standards\">The New GST Rate Structure in India<\/h2>\n\n\n\n<p>After the 56th Council meeting, the GST world looks a lot cleaner. Think of it as four buckets:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th><strong>Slab<\/strong><\/th><th><strong>What It Covers<\/strong><\/th><th><strong>Examples<\/strong><\/th><\/tr><\/thead><tbody><tr><td>0% (Nil-rated)<\/td><td>Essentials, life-saving drugs, individual insurance, education materials<\/td><td>Fresh fruits, vegetables, milk, paneer, bread, exercise books, pencils, sanitary napkins<\/td><\/tr><tr><td>3%<\/td><td>Gold, silver, platinum, jewellery, imitation jewellery<\/td><td>Gold biscuits, gold\/silver ornaments, coins<\/td><\/tr><tr><td>0.25%<\/td><td>Rough diamonds and unstrung precious\/semi-precious stones<\/td><td>Uncut diamonds, raw rubies, sapphires<\/td><\/tr><tr><td>5%<\/td><td>Mass-market essentials and key inputs<\/td><td>Edible oils, packaged namkeen, butter, ghee, footwear \u2264\u20b92,500, fertilizers, tractors<\/td><\/tr><tr><td>18%<\/td><td>Standard rate for most goods and services<\/td><td>Mobiles, ACs, cement, IT services, small cars, motorcycles \u2264350cc<\/td><\/tr><tr><td>40%<\/td><td>Sin goods and luxury goods<\/td><td>Aerated drinks, large luxury cars, motorcycles &gt;350cc, yachts, betting, casinos<\/td><\/tr><tr><td>28% (residual)<\/td><td>Pan masala and tobacco (until cess obligations clear)<\/td><td>Pan masala, cigarettes, bidis<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>A few special rates continue alongside this:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Composition Scheme:<\/strong> 1% (traders &amp; manufacturers), 5% (restaurants), 6% (specified service providers) on turnover<\/li>\n\n\n\n<li><strong>TDS under GST:<\/strong> 2%<\/li>\n\n\n\n<li><strong>TCS under GST:<\/strong> 0.5% (revised from 1% w.e.f. 9 July 2024)<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"core-standards\">What the 56th GST Council Actually Decided<\/h2>\n\n\n\n<p>This wasn&#8217;t a small tweak &#8211; it was the most significant rate restructuring since GST began in 2017. The headline decisions:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>The 12% slab was scrapped.<\/strong> Items either moved down to 5% or up to 18%.<\/li>\n\n\n\n<li><strong>The 28% slab was largely scrapped.<\/strong> Most items moved to 18%; sin and luxury items moved to a new 40% rate.<\/li>\n\n\n\n<li><strong>Individual health and life insurance<\/strong> were exempted from GST (down from 18%).<\/li>\n\n\n\n<li><strong>33 life-saving drugs<\/strong> went from 12% to nil GST.<\/li>\n\n\n\n<li><strong>School supplies<\/strong> like notebooks, pencils, crayons, maps, globes, and erasers moved to nil.<\/li>\n\n\n\n<li><strong>A revamped service-rate notification<\/strong> clubbed several services into the 18% rate.<\/li>\n\n\n\n<li><strong>New provisional refund rules<\/strong> and a refreshed appeals mechanism were introduced via the CGST Third Amendment Rules, 2025.<\/li>\n<\/ul>\n\n\n\n<p>These changes came through Notifications 09\/2025-CTR to 17\/2025-CTR dated 17 September 2025, taking effect 22 September 2025. The tobacco and pan masala move to 40% has been deferred until compensation cess obligations are settled.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"2-improves-inventory-management\">What Got Cheaper from 22 September 2025<\/h3>\n\n\n\n<p>This is the part most consumers and businesses care about. Here&#8217;s the full picture, broken down by sector.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Daily-Use &amp; FMCG Essentials<\/h3>\n\n\n\n<p>The biggest household-level wins are here.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th>FMCG <strong>Items<\/strong><\/th><th><strong>Old Rate<\/strong><\/th><th><strong>New Rate<\/strong><\/th><\/tr><\/thead><tbody><tr><td>Hair oil, shampoo, toothpaste, toilet soap, toothbrushes, shaving cream<\/td><td>18%<\/td><td>5%<\/td><\/tr><tr><td>Butter, ghee, cheese, dairy spreads<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>Pre-packaged namkeen, bhujia, mixtures<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>Kitchen utensils<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>Feeding bottles, baby napkins, clinical diapers<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>Sewing machines &amp; parts<\/td><td>12%<\/td><td>5%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"who-gets-form-16\">Agriculture &amp; Farm Inputs<\/h2>\n\n\n\n<p>A clear push to make farming inputs more affordable.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th>Agriculture <strong>Items<\/strong><\/th><th><strong>Old Rate<\/strong><\/th><th><strong>New Rate<\/strong><\/th><\/tr><\/thead><tbody><tr><td>Tractor tyres &amp; parts<\/td><td>18%<\/td><td>5%<\/td><\/tr><tr><td>Tractors<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>12 specified bio-pesticides &amp; micro-nutrients<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>Drip irrigation &amp; sprinkler systems<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>Agricultural \/ horticultural \/ forestry machines<\/td><td>12%<\/td><td>5%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\">Healthcare &amp; Medical<\/h3>\n\n\n\n<p>Easily the most socially impactful set of changes.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th>Healthcare <strong>Items<\/strong><\/th><th><strong>Old Rate<\/strong><\/th><th><strong>New Rate<\/strong><\/th><\/tr><\/thead><tbody><tr><td>Individual health &amp; life insurance<\/td><td>18%<\/td><td>Nil<\/td><\/tr><tr><td>Thermometers<\/td><td>18%<\/td><td>5%<\/td><\/tr><tr><td>Medical-grade oxygen<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>Diagnostic kits &amp; reagents<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>Glucometers &amp; test strips<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>Corrective spectacles<\/td><td>12%<\/td><td>5%<\/td><\/tr><tr><td>33 specified life-saving drugs<\/td><td>12%<\/td><td>Nil<\/td><\/tr><tr><td>Agalsidase Beta, Imiglucerase, Eptacog alfa<\/td><td>5%<\/td><td>Nil<\/td><\/tr><tr><td>Faricimab, Pertuzumab, Ocrelizumab, Brentuximab Vedotin<\/td><td>12%<\/td><td>5%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\">Automobiles<\/h3>\n\n\n\n<p>Small-car buyers and two-wheeler riders win big here.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th>Automobile <strong>Items<\/strong><\/th><th><strong>Old Rate<\/strong><\/th><th><strong>New Rate<\/strong><\/th><\/tr><\/thead><tbody><tr><td>Petrol, petrol-hybrid, LPG, CNG cars (\u22641200 cc, \u22644000 mm)<\/td><td>28% (+ cess)<\/td><td>18%<\/td><\/tr><tr><td>Diesel &amp; diesel-hybrid cars (\u22641500 cc, \u22644000 mm)<\/td><td>28% (+ cess)<\/td><td>18%<\/td><\/tr><tr><td>Three-wheelers<\/td><td>28%<\/td><td>18%<\/td><\/tr><tr><td>Motorcycles \u2264350 cc<\/td><td>28%<\/td><td>18%<\/td><\/tr><tr><td>Goods transport vehicles<\/td><td>28%<\/td><td>18%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\">Education Supplies<\/h3>\n\n\n\n<p>Back-to-school just got cheaper.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th><strong>Education Supplies Item<\/strong>s<\/th><th><strong>Old Rate<\/strong><\/th><th><strong>New Rate<\/strong><\/th><\/tr><\/thead><tbody><tr><td>Maps, charts, globes<\/td><td>12%<\/td><td>Nil<\/td><\/tr><tr><td>Pencils, sharpeners, crayons, pastels<\/td><td>12%<\/td><td>Nil<\/td><\/tr><tr><td>Exercise books &amp; notebooks<\/td><td>12%<\/td><td>Nil<\/td><\/tr><tr><td>Erasers<\/td><td>5%<\/td><td>Nil<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\">Electronics &amp; Home Appliances<\/h3>\n\n\n\n<p>Festive-season shopping looks far more attractive now.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th>Electronics <strong>Items<\/strong><\/th><th><strong>Old Rate<\/strong><\/th><th><strong>New Rate<\/strong><\/th><\/tr><\/thead><tbody><tr><td>Air conditioners<\/td><td>28%<\/td><td>18%<\/td><\/tr><tr><td>Televisions above 32&#8243; (LED &amp; LCD)<\/td><td>28%<\/td><td>18%<\/td><\/tr><tr><td>Monitors &amp; projectors<\/td><td>28%<\/td><td>18%<\/td><\/tr><tr><td>Dishwashers<\/td><td>28%<\/td><td>18%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"what-got-costlier\">What Got Costlier<\/h2>\n\n\n\n<p>The flip side &#8211; sin goods, luxury items, and a few inputs went up.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Sin Goods &amp; Luxury Items (Now 40%)<\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th>Luxury <strong>Items<\/strong><\/th><th><strong>Old Rate<\/strong><\/th><th><strong>New Rate<\/strong><\/th><\/tr><\/thead><tbody><tr><td>Tobacco &amp; pan masala*<\/td><td>28%<\/td><td>40%<\/td><\/tr><tr><td>Aerated waters &amp; soft drinks<\/td><td>28%<\/td><td>40%<\/td><\/tr><tr><td>Caffeinated beverages<\/td><td>28%<\/td><td>40%<\/td><\/tr><tr><td>Carbonated fruit drinks \/ fruit-juice drinks<\/td><td>28%<\/td><td>40%<\/td><\/tr><tr><td>Other non-alcoholic beverages<\/td><td>18%<\/td><td>40%<\/td><\/tr><tr><td>Large cars &amp; big hybrids (above small-car limits)<\/td><td>28% (+ cess)<\/td><td>40%<\/td><\/tr><tr><td>Motorcycles &gt;350 cc<\/td><td>28%<\/td><td>40%<\/td><\/tr><tr><td>Aircraft for personal use<\/td><td>28%<\/td><td>40%<\/td><\/tr><tr><td>Yachts and pleasure\/sports vessels<\/td><td>28%<\/td><td>40%<\/td><\/tr><tr><td>Smoking pipes, cigar\/cigarette holders<\/td><td>28%<\/td><td>40%<\/td><\/tr><tr><td>Revolvers &amp; pistols<\/td><td>28%<\/td><td>40%<\/td><\/tr><tr><td>Casinos, race clubs, IPL &amp; sports event tickets<\/td><td>28% (with ITC)<\/td><td>40% (with ITC)<\/td><\/tr><tr><td>Online money gaming, betting, lottery, gambling<\/td><td>28% (with ITC)<\/td><td>40% (with ITC)<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>*Tobacco and pan masala move to 40% on a date to be notified later &#8211; once the compensation-cess loan obligations have been discharged.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Other Hikes<\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th>Other <strong>Item<\/strong>s<\/th><th><strong>Old Rate<\/strong><\/th><th><strong>New Rate<\/strong><\/th><\/tr><\/thead><tbody><tr><td>Coal, lignite, peat<\/td><td>5%<\/td><td>18%<\/td><\/tr><tr><td>Apparel &amp; made-ups above \u20b92,500 per piece<\/td><td>12%<\/td><td>18%<\/td><\/tr><tr><td>Quilted\/cotton quilts above \u20b92,500 per piece<\/td><td>12%<\/td><td>18%<\/td><\/tr><tr><td>Dissolving-grade chemical wood pulp<\/td><td>12%<\/td><td>18%<\/td><\/tr><tr><td>Most paper &amp; paperboard (other than exercise-book paper)<\/td><td>12%<\/td><td>18%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"items-at-0-gst-nil-rated-exempt\">Items at 0% GST (Nil-Rated \/ Exempt)<\/h2>\n\n\n\n<p>If you sell any of these, you don&#8217;t charge GST &#8211; but you also can&#8217;t claim ITC on inputs related to them, so plan accordingly.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th><strong>Exempt Item Type<\/strong><\/th><th><strong>What&#8217;s Included<\/strong><\/th><\/tr><\/thead><tbody><tr><td><strong>Fresh produce<\/strong><\/td><td>Fresh and unprocessed vegetables, fruits, nuts (coconut, almond, cashew in shell), ginger, turmeric, tender coconut water (loose), prasadam<\/td><\/tr><tr><td><strong>Dairy &amp; eggs<\/strong><\/td><td>Fresh milk (pasteurised, UHT), curd, lassi, buttermilk (loose), paneer\/chena, fresh eggs, loose honey<\/td><\/tr><tr><td><strong>Grains &amp; staples<\/strong><\/td><td>Loose rice, wheat, millets, maize, oats, barley, sorghum, atta, besan; loose puffed\/beaten rice, pappad, bread, roti, chapati, paratha, khakhra<\/td><\/tr><tr><td><strong>Water &amp; natural beverages<\/strong><\/td><td>Plain non-aerated water, neera (date\/palm)<\/td><\/tr><tr><td><strong>Animal products<\/strong><\/td><td>Live animals, fresh\/chilled meat, fresh fish, fish &amp; shrimp seeds, frozen semen, animal bones (untreated), human hair (raw)<\/td><\/tr><tr><td><strong>Animal feed &amp; plant materials<\/strong><\/td><td>Aquatic, poultry, cattle feed; husks; dicalcium phosphate (feed grade); medicinal plants; fresh hop cones; coconut shell; lac; shellac<\/td><\/tr><tr><td><strong>Textiles &amp; fibre<\/strong><\/td><td>Silkworm cocoons, raw silk, silk waste, khadi fabric (KVIC), wool, raw animal hair, jute fibres, coir fibre\/pith (unbranded), cotton waste, Gandhi Topi, khadi yarn<\/td><\/tr><tr><td><strong>Personal care (traditional)<\/strong><\/td><td>Kajal, kumkum, bindi, sindur, alta<\/td><\/tr><tr><td><strong>Handcrafted items<\/strong><\/td><td>Earthen pots, clay lamps &amp; idols, glass bangles, hand tools (agricultural), pencil sharpeners, brooms (sarkanda), pencils, crayons, chalks, slate pencils, indigenous handmade musical instruments, sal\/sisal leaves<\/td><\/tr><tr><td><strong>Stationery &amp; printed material<\/strong><\/td><td>Printed\/Braille books, newspapers, maps, globes, children&#8217;s picture books, printed music, postal items, exercise books, notebooks, pencils, rupee notes, judicial stamps<\/td><\/tr><tr><td><strong>Healthcare<\/strong><\/td><td>Drugs in Annexure I list (33 life-saving drugs), blood &amp; components, contraceptives, condoms, hearing aids &amp; parts, sanitary napkins\/tampons<\/td><\/tr><tr><td><strong>Insurance<\/strong><\/td><td>Individual health insurance, individual life insurance<\/td><\/tr><tr><td><strong>Religious \/ cultural<\/strong><\/td><td>Indian national flag, salt (table, sea-water, sodium chloride), puja samagri (rudraksha, sacred thread, panchamrit, vibhuti, roli, kalava), rakhi (non-precious), deities (stone, marble, wood)<\/td><\/tr><tr><td><strong>Miscellaneous<\/strong><\/td><td>Electrical energy, uranium ore concentrate, government-to-government grant goods, spacecraft &amp; satellites, firewood, charcoal, plastic\/lac\/shellac bangles, erasers, passenger baggage, municipal\/clinical waste<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"items-at-5-gst\">Items at 5% GST<\/h2>\n\n\n\n<p>The 5% slab is the new workhorse rate &#8211; covering everyday essentials and key business inputs.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th>Goods Classification<\/th><th><strong>What&#8217;s Included<\/strong><\/th><\/tr><\/thead><tbody><tr><td><strong>Processed foods<\/strong><\/td><td>Dried herbs, jaribooti, dried fruits, raisins, roasted coffee, processed tea, spices (pepper, cardamom, cinnamon, cloves, saffron, vanilla), preserved fruits &amp; vegetables, jams, jellies, marmalades, sauces, soups, ice cream, sweetmeats, pre-packaged namkeen\/bhujia, batters, chutney powder, diabetic foods<\/td><\/tr><tr><td><strong>Dairy &amp; fats<\/strong><\/td><td>Condensed milk, sweetened yoghurt, whey, butter, ghee, dairy spreads, cheese (other than paneer), packaged honey, animal fats, wool grease, lanolin<\/td><\/tr><tr><td><strong>Edible oils<\/strong><\/td><td>Soyabean, groundnut, olive, palm, sunflower, coconut, mustard\/rape, jojoba; hydrogenated and modified oils; margarine; edible blends; vegetable waxes<\/td><\/tr><tr><td><strong>Pre-packaged meat &amp; fish<\/strong><\/td><td>Pre-packaged meat &amp; fish products, sausages, preserved meats, caviar, prepared crustaceans &amp; molluscs<\/td><\/tr><tr><td><strong>Sugar &amp; confectionery<\/strong><\/td><td>Cane\/beet sugar, refined sugar, jaggery, packaged khandsari, rab, mishri, gajak, molasses, sugar syrups, boiled candies, cocoa, chocolate<\/td><\/tr><tr><td><strong>Cereal products<\/strong><\/td><td>Pre-packaged millet flour (\u226570%), bread\/pastry mixes, doughs, seviyyan, pasta, noodles, sabudana, corn flakes, cakes, biscuits, rusks, packaged cereals<\/td><\/tr><tr><td><strong>Beverages<\/strong><\/td><td>Mineral water (unsweetened), plant-based milk drinks, soya milk, fruit juices\/pulp drinks (non-carbonated), milk-based beverages, ethyl alcohol for OMC blending<\/td><\/tr><tr><td><strong>Apparel &amp; footwear (\u2264\u20b92,500)<\/strong><\/td><td>Knitted\/non-knitted apparel \u2264\u20b92,500\/piece, made-up textile sets \u2264\u20b92,500, footwear \u2264\u20b92,500\/pair, caps, hats, umbrellas, walking sticks<\/td><\/tr><tr><td><strong>Textiles<\/strong><\/td><td>Silk, wool, cotton, plant-fibre, manmade yarns and fabrics; carpets, rugs, embroidery, lace, zari, technical textiles<\/td><\/tr><tr><td><strong>Metal household items<\/strong><\/td><td>Metal boxes, utensils, milk cans, nails, sewing needles, kerosene stoves, solar cookers, household items in iron\/steel\/copper\/aluminium\/brass, bidriware<\/td><\/tr><tr><td><strong>Stone &amp; ceramic items<\/strong><\/td><td>Sand-lime bricks, stone inlay craft, stone statues\/vases; ceramic and porcelain pots, jars, tableware, kitchenware<\/td><\/tr><tr><td><strong>Minerals (raw)<\/strong><\/td><td>Iron pyrites, sulphur, graphite, quartz, clays, phosphates, gypsum, mica, talc, feldspar, ores, slag, fly ash<\/td><\/tr><tr><td><strong>Renewable energy &amp; fuel<\/strong><\/td><td>Bio-gas, coke &amp; semi-coke, PDS kerosene, bunker fuel, LPG (domestic), hydrogen and fuel-cell vehicles, EV chargers, biofuels<\/td><\/tr><tr><td><strong>Pharma &amp; medical<\/strong><\/td><td>Insulin, drugs &amp; vaccines, ORS, diagnostic kits, glucometers, thermometers, corrective spectacles, dressings, sutures, stents, dialysis units, X-ray machines, surgical instruments, prosthetic aids, Ayurvedic &amp; Unani medicines<\/td><\/tr><tr><td><strong>Agricultural equipment<\/strong><\/td><td>Tractors, tractor tyres &amp; parts, pumps, sprinklers, drip irrigation, harvesting tools, beekeeping &amp; poultry gear, biogas plants, photovoltaic cells, solar\/wind energy units<\/td><\/tr><tr><td><strong>Transport<\/strong><\/td><td>Aircraft, helicopters, spacecraft, ships, bicycles, tricycles, tractors, trailers, non-motorised vehicles<\/td><\/tr><tr><td><strong>Furniture<\/strong><\/td><td>Bamboo, cane, rattan furniture; coir products; quilts \u2264\u20b92,500; lanterns, lamps<\/td><\/tr><tr><td><strong>Toys &amp; sports<\/strong><\/td><td>Toy balloons, tricycles, scooters, pedal cars, chess, carrom, ludo, board games, sports goods, fishing tackle<\/td><\/tr><tr><td><strong>Art &amp; antiques<\/strong><\/td><td>Paintings, mosaics, original prints, sculptures, stamps, antiques (&gt;100 years)<\/td><\/tr><tr><td><strong>Personal care<\/strong><\/td><td>Hair oil, shampoo, toothpaste, toilet soap, shaving cream, toothbrushes, talcum, face powder<\/td><\/tr><tr><td><strong>Bio inputs<\/strong><\/td><td>Bio-pesticides (Bacillus, Trichoderma, neem-based), silicon wafers, biodiesel, fertilisers, agarbatti, natural glues<\/td><\/tr><tr><td><strong>Wood &amp; paper<\/strong><\/td><td>Particle boards, bamboo flooring, barrels, baskets, wooden idols, cork, pulp, newsprint, cartons, kites, brochures<\/td><\/tr><tr><td><strong>Tobacco (raw)<\/strong><\/td><td>Tobacco leaves<\/td><\/tr><tr><td><strong>Religious items<\/strong><\/td><td>Rosaries, prayer beads, hawan samagri, biofuel pellets<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"items-at-18-gst\">Items at 18% GST<\/h2>\n\n\n\n<p>This is the standard rate &#8211; anything that isn&#8217;t an essential, sin good, or luxury item generally lands here.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th><strong>Goods Classification<\/strong><\/th><th><strong>What&#8217;s Included<\/strong><\/th><\/tr><\/thead><tbody><tr><td><strong>Premium apparel &amp; footwear (&gt;\u20b92,500)<\/strong><\/td><td>Apparel\/made-ups &gt;\u20b92,500\/piece, waterproof footwear, footwear with rubber\/plastic\/leather\/textile uppers (&gt;\u20b92,500\/pair), flexible bulk containers<\/td><\/tr><tr><td><strong>Headgear &amp; accessories<\/strong><\/td><td>Hat forms, felt hoods, knitted\/crocheted\/lace caps, headbands, peaks, chinstraps<\/td><\/tr><tr><td><strong>Hair &amp; wig items<\/strong><\/td><td>Artificial flowers, prepared wool\/animal hair for wigs, wigs, false eyelashes, hair switches<\/td><\/tr><tr><td><strong>Iron &amp; steel basics<\/strong><\/td><td>Pig iron, ferro-alloys, semi-finished metal products, ingots, scrap, granules, powders<\/td><\/tr><tr><td><strong>Rolled metal products<\/strong><\/td><td>Flat-rolled iron\/steel, bars, rods, wires of stainless steel\/copper\/aluminium<\/td><\/tr><tr><td><strong>Pipes &amp; fittings<\/strong><\/td><td>Tubes, pipes, hollow profiles, couplings, elbows, sleeves of base metals<\/td><\/tr><tr><td><strong>Structural items<\/strong><\/td><td>Sheet piling, track materials, bridges, towers, frameworks, large tanks, gas cylinders<\/td><\/tr><tr><td><strong>Wires &amp; cables<\/strong><\/td><td>Stranded wire, ropes, plaited bands, barbed wire, fencing, expanded metal<\/td><\/tr><tr><td><strong>Fasteners<\/strong><\/td><td>Chains, nails, screws, bolts, nuts, rivets, washers, springs, anchors<\/td><\/tr><tr><td><strong>Hand tools &amp; cutlery<\/strong><\/td><td>Saws, files, pliers, wrenches, anvils, dies, knives, blades, scissors, razors, hair clippers, manicure sets, spoons, forks<\/td><\/tr><tr><td><strong>Household appliances<\/strong><\/td><td>Air conditioners, televisions &gt;32&#8243; (LED\/LCD), monitors, projectors, dishwashers, stoves, cookers, barbecues, radiators, sanitary ware (cast iron)<\/td><\/tr><tr><td><strong>Hardware &amp; fittings<\/strong><\/td><td>Locks, padlocks, keys, hinges, door closers, safes, filing cabinets, name plates, electrodes<\/td><\/tr><tr><td><strong>Paints &amp; dyes<\/strong><\/td><td>Dyes, pigments, paints, varnishes, printing inks, writing inks, pesticides (non-bio), thinners, lubricants, fragrances, biodiesel (non-OMC)<\/td><\/tr><tr><td><strong>Cosmetics &amp; detergents<\/strong><\/td><td>Perfumes, deodorants, beauty creams, skincare products, detergents, polishes, dental wax (other than basic toilet soap &amp; oral care now at 5%)<\/td><\/tr><tr><td><strong>Casein &amp; enzymes<\/strong><\/td><td>Casein, protein derivatives, glues, enzymes, peptones, culture media, albumins, whey proteins for industrial use<\/td><\/tr><tr><td><strong>Industrial ceramics<\/strong><\/td><td>Refractory bricks, nozzles, crucibles, lab ware (siliceous, alumina-based)<\/td><\/tr><tr><td><strong>Building ceramics<\/strong><\/td><td>Tiles, chimney pots, conduits, paving blocks, hearth and wall coverings<\/td><\/tr><tr><td><strong>Sanitary ceramics<\/strong><\/td><td>Sinks, basins, baths, urinals, bidets<\/td><\/tr><tr><td><strong>Stone &amp; aggregates<\/strong><\/td><td>Building stones, decorative stones, mosaic cubes, slates, millstones, abrasives<\/td><\/tr><tr><td><strong>Insulation &amp; composites<\/strong><\/td><td>Rock wool, expanded clays, asphalt\/bitumen, plaster panels, fibre-cement boards<\/td><\/tr><tr><td><strong>Cement &amp; concrete<\/strong><\/td><td>Cement and concrete articles, asbestos-cement goods, friction materials<\/td><\/tr><tr><td><strong>Electrical machines<\/strong><\/td><td>Motors, generators, transformers, electromagnets, batteries (primary &amp; storage)<\/td><\/tr><tr><td><strong>Industrial appliances<\/strong><\/td><td>Vacuum cleaners, heaters, ignitions, lighting, welding machines, ovens<\/td><\/tr><tr><td><strong>Audio\/visual<\/strong><\/td><td>Cameras, recorders, microphones, speakers, transmitters, radars, CCTV, alarms<\/td><\/tr><tr><td><strong>Electronics &amp; semiconductors<\/strong><\/td><td>Switches, fuses, lamps, semiconductors, integrated circuits, LEDs, wires, insulators, e-waste<\/td><\/tr><tr><td><strong>Explosives<\/strong><\/td><td>Propellant powders, detonators, fireworks, pyrotechnics, lighter fuels<\/td><\/tr><tr><td><strong>Spirits &amp; vinegar<\/strong><\/td><td>Artificial honey, ethyl alcohol (non-OMC), industrial spirits, vinegar<\/td><\/tr><tr><td><strong>Petroleum products<\/strong><\/td><td>Coal, lignite, petroleum oils, tar, gasoline, propane, butane, waxes, bitumen<\/td><\/tr><tr><td><strong>Chemicals<\/strong><\/td><td>Most inorganic and organic chemicals (other than gibberellic acid and natural menthol)<\/td><\/tr><tr><td><strong>Glass<\/strong><\/td><td>Sheets, rods, tubes, safety glass, mosaics, bottles, jars, lamp bulbs, mirrors, optical glass, lenses, watch glass, decorative &amp; lab glassware<\/td><\/tr><tr><td><strong>Furniture<\/strong><\/td><td>Residential, medical, industrial furniture; bedding; lighting fixtures; prefab buildings<\/td><\/tr><tr><td><strong>Electronic toys<\/strong><\/td><td>Consoles, gaming machines, fairground equipment, exercise equipment<\/td><\/tr><tr><td><strong>Stationery<\/strong><\/td><td>Pens, brushes, mops, markers, stamps, ink pads, office sets<\/td><\/tr><tr><td><strong>Industrial machinery<\/strong><\/td><td>Engines, turbines, reactors, boilers, pumps, compressors, refrigeration, conveyors, CNC tools, vending machines, data-processing machines, bearings, gears, gaskets<\/td><\/tr><tr><td><strong>Leather goods<\/strong><\/td><td>Travel bags, wallets, purses, holsters, leather clothing, gloves, belts<\/td><\/tr><tr><td><strong>Furs<\/strong><\/td><td>Raw, tanned, dressed furs; fur apparel; artificial fur<\/td><\/tr><tr><td><strong>Mineral ores<\/strong><\/td><td>Ores of iron, manganese, copper, aluminium, zinc, lead; cement, slags, dross<\/td><\/tr><tr><td><strong>Plastics<\/strong><\/td><td>Polymers, resins, plastic pipes, fittings, packaging, kitchenware, woven bags<\/td><\/tr><tr><td><strong>Rubber<\/strong><\/td><td>Synthetic rubber, vulcanized rubber, conveyor belts, tyres (other than agricultural), tubes, retreads, gloves, hygienic containers<\/td><\/tr><tr><td><strong>Watches &amp; clocks<\/strong><\/td><td>All watches, clocks, time recorders, timers, movements, cases, bands, straps<\/td><\/tr><tr><td><strong>Musical instruments<\/strong><\/td><td>String, wind, percussion, electric instruments; music boxes; accessories<\/td><\/tr><tr><td><strong>Weapons<\/strong><\/td><td>Firearms (other than 40%-rated handguns), explosives, swords, grenades, missiles<\/td><\/tr><tr><td><strong>Optical &amp; precision<\/strong><\/td><td>Binoculars, microscopes, telescopes, lasers, gauges, thermometers, analyzers, lab equipment<\/td><\/tr><tr><td><strong>Tobacco-related<\/strong><\/td><td>Cigarette filter rods<\/td><\/tr><tr><td><strong>Nicotine cessation<\/strong><\/td><td>Nicotine patches, oral &amp; transdermal cessation products<\/td><\/tr><tr><td><strong>Rail transport<\/strong><\/td><td>Locomotives, coaches, wagons, signalling gear, refrigerated containers<\/td><\/tr><tr><td><strong>Road vehicles<\/strong><\/td><td>Buses, larger goods carriers, SPVs, vehicle parts, chassis<\/td><\/tr><tr><td><strong>Aircraft &amp; boats<\/strong><\/td><td>Aircraft, parachutes, vessels, canoes, boats<\/td><\/tr><tr><td><strong>Wood &amp; paper<\/strong><\/td><td>Plywood, fibre boards, joinery, flooring, framing, pulp, paper (most grades), kraft, tissue, coated, carbon, cigarette paper, wallpaper, stationery, printed promotional materials<\/td><\/tr><tr><td><strong>Services<\/strong><\/td><td>IT services, telecom, banking, financial services, restaurants (specified categories), professional services, courier and postal services, multimodal &amp; non-Indian-Railways container transport, manufacturing job work (most categories)<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"items-at-40-gst-sin-goods-luxury\">Items at 40% GST (Sin Goods &amp; Luxury)<\/h2>\n\n\n\n<p>The new 40% slab is small and specific &#8211; it&#8217;s for items the government wants to discourage or tax for redistribution.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th><strong>Goods Classification<\/strong><\/th><th><strong>What&#8217;s Included<\/strong><\/th><\/tr><\/thead><tbody><tr><td><strong>High-sugar &amp; carbonated drinks<\/strong><\/td><td>Sweetened\/aerated waters, flavoured non-alcoholic drinks, caffeinated beverages, carbonated fruit-juice drinks<\/td><\/tr><tr><td><strong>Gambling &amp; gaming<\/strong><\/td><td>Betting, casinos, horse racing, lotteries, online money gaming (actionable claims), admission to IPL and similar sporting events<\/td><\/tr><tr><td><strong>Handguns<\/strong><\/td><td>Revolvers and pistols<\/td><\/tr><tr><td><strong>High-engine vehicles<\/strong><\/td><td>Motorcycles &gt;350 cc; passenger cars excluding small-car limits; petrol\/petrol-hybrid cars &gt;1200 cc or &gt;4000 mm length; diesel\/diesel-hybrid cars &gt;1500 cc or &gt;4000 mm length<\/td><\/tr><tr><td><strong>Aircraft &amp; yachts<\/strong><\/td><td>Aircraft for personal use, yachts, pleasure vessels<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>Tobacco products and pan masala will move to 40% on a date to be notified after compensation cess loans are repaid. Until then, they continue at 28% (plus existing cess).<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"special-niche-rates-3-0-25-1-5-28\">Special Niche Rates: 3%, 0.25%, 1.5%, 28%<\/h2>\n\n\n\n<p>Not everything fits the 5-18-40 buckets. A few specialised categories continue at their own rates:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th><strong>Goods Classification<\/strong><\/th><th><strong>Item<\/strong><\/th><th><strong>Rate<\/strong><\/th><\/tr><\/thead><tbody><tr><td><strong>Pan Masala (residual)<\/strong><\/td><td>Pan masala<\/td><td>28%<\/td><\/tr><tr><td><strong>Tobacco products<\/strong><\/td><td>Unmanufactured tobacco, tobacco refuse, cigars, cheroots, cigarillos, cigarettes, manufactured tobacco, biris, tobacco-substitute inhalation products<\/td><td>28%<\/td><\/tr><tr><td><strong>Precious metals<\/strong><\/td><td>Pearls (natural\/cultured, unstrung); silver and silver-plated forms; gold and gold-plated forms; platinum; precious metal scrap; precious-metal-clad base metals<\/td><td>3%<\/td><\/tr><tr><td><strong>Jewellery<\/strong><\/td><td>Gold, silver, platinum jewellery and parts; goldsmith\/silversmith wares; pearl articles; imitation jewellery; coins<\/td><td>3%<\/td><\/tr><tr><td><strong>Diamonds &amp; gemstones<\/strong><\/td><td>Rough or sawn diamonds; precious stones (non-diamond); semi-precious unstrung stones; synthetic\/reconstructed stones (unstrung); synthetic diamonds<\/td><td>0.25%<\/td><\/tr><tr><td><strong>Diamond job work<\/strong><\/td><td>Job work on diamonds<\/td><td>1.5%<\/td><\/tr><tr><td><strong>Bricks\/Tiles<\/strong><\/td><td>Fly-ash bricks, building bricks, fossil bricks, earthen\/roofing tiles<\/td><td>12% (Notification 14\/2025-CTR)<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"old-vs-new-gst-rates-side-by-side\">Old vs New GST Rates: Side-by-Side<\/h2>\n\n\n\n<p>If you want to see the full impact of GST 2.0 in one place, this is the table to bookmark.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th><strong>Item \/ Category<\/strong><\/th><th><strong>Old GST<\/strong><\/th><th><strong>New GST<\/strong><\/th><th><strong>Impact<\/strong><\/th><\/tr><\/thead><tbody><tr><td>Hair oil, shampoo, toothpaste<\/td><td>18%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Butter, ghee, paneer, cheese<\/td><td>12%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Pre-packaged namkeen, bhujia<\/td><td>12%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Sewing machines &amp; parts<\/td><td>12%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Tractors<\/td><td>12%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Tractor tyres &amp; parts<\/td><td>18%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Drip irrigation, sprinklers<\/td><td>12%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Bio-pesticides, micronutrients<\/td><td>12%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Individual health &amp; life insurance<\/td><td>18%<\/td><td>Nil<\/td><td>Much cheaper<\/td><\/tr><tr><td>33 life-saving drugs<\/td><td>12%<\/td><td>Nil<\/td><td>Much cheaper<\/td><\/tr><tr><td>Thermometer<\/td><td>18%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Glucometer &amp; test strips<\/td><td>12%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Corrective spectacles<\/td><td>12%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Diagnostic kits &amp; reagents<\/td><td>12%<\/td><td>5%<\/td><td>Cheaper<\/td><\/tr><tr><td>Air conditioners<\/td><td>28%<\/td><td>18%<\/td><td>Cheaper<\/td><\/tr><tr><td>TVs above 32&#8243; (LED\/LCD)<\/td><td>28%<\/td><td>18%<\/td><td>Cheaper<\/td><\/tr><tr><td>Monitors &amp; projectors<\/td><td>28%<\/td><td>18%<\/td><td>Cheaper<\/td><\/tr><tr><td>Dishwashers<\/td><td>28%<\/td><td>18%<\/td><td>Cheaper<\/td><\/tr><tr><td>Small petrol cars (\u22641200 cc, \u22644000 mm)<\/td><td>28% (+ cess)<\/td><td>18%<\/td><td>Much cheaper<\/td><\/tr><tr><td>Small diesel cars (\u22641500 cc, \u22644000 mm)<\/td><td>28% (+ cess)<\/td><td>18%<\/td><td>Much cheaper<\/td><\/tr><tr><td>Three-wheelers<\/td><td>28%<\/td><td>18%<\/td><td>Cheaper<\/td><\/tr><tr><td>Motorcycles \u2264350 cc<\/td><td>28%<\/td><td>18%<\/td><td>Cheaper<\/td><\/tr><tr><td>Goods transport vehicles<\/td><td>28%<\/td><td>18%<\/td><td>Cheaper<\/td><\/tr><tr><td>Cement<\/td><td>28%<\/td><td>18%<\/td><td>Cheaper<\/td><\/tr><tr><td>Notebooks, exercise books<\/td><td>12%<\/td><td>Nil<\/td><td>Much cheaper<\/td><\/tr><tr><td>Pencils, sharpeners, crayons<\/td><td>12%<\/td><td>Nil<\/td><td>Much cheaper<\/td><\/tr><tr><td>Maps, charts, globes<\/td><td>12%<\/td><td>Nil<\/td><td>Much cheaper<\/td><\/tr><tr><td>Erasers<\/td><td>5%<\/td><td>Nil<\/td><td>Cheaper<\/td><\/tr><tr><td>Apparel \u2264\u20b92,500\/piece<\/td><td>5% \/ 12%<\/td><td>5%<\/td><td>Same \/ Cheaper<\/td><\/tr><tr><td>Apparel &gt;\u20b92,500\/piece<\/td><td>12%<\/td><td>18%<\/td><td>Costlier<\/td><\/tr><tr><td>Footwear \u2264\u20b92,500\/pair<\/td><td>Various<\/td><td>5%<\/td><td>Simplified<\/td><\/tr><tr><td>Footwear &gt;\u20b92,500\/pair<\/td><td>18%<\/td><td>18%<\/td><td>Same<\/td><\/tr><tr><td>Coal, lignite, peat<\/td><td>5%<\/td><td>18%<\/td><td>Costlier<\/td><\/tr><tr><td>Aerated\/carbonated beverages<\/td><td>28%<\/td><td>40%<\/td><td>Costlier<\/td><\/tr><tr><td>Caffeinated beverages<\/td><td>28%<\/td><td>40%<\/td><td>Costlier<\/td><\/tr><tr><td>Other non-alcoholic beverages<\/td><td>18%<\/td><td>40%<\/td><td>Much costlier<\/td><\/tr><tr><td>Large cars (above small-car limits)<\/td><td>28% (+ cess)<\/td><td>40%<\/td><td>Similar \/ Costlier<\/td><\/tr><tr><td>Motorcycles &gt;350 cc<\/td><td>28%<\/td><td>40%<\/td><td>Costlier<\/td><\/tr><tr><td>Yachts, personal aircraft<\/td><td>28%<\/td><td>40%<\/td><td>Costlier<\/td><\/tr><tr><td>Revolvers &amp; pistols<\/td><td>28%<\/td><td>40%<\/td><td>Costlier<\/td><\/tr><tr><td>Casinos, IPL admission, online gaming<\/td><td>28% (+ ITC)<\/td><td>40% (+ ITC)<\/td><td>Costlier<\/td><\/tr><tr><td>Smoking pipes, cigar holders<\/td><td>28%<\/td><td>40%<\/td><td>Costlier<\/td><\/tr><tr><td>Pan masala<\/td><td>28%<\/td><td>40%*<\/td><td>Deferred<\/td><\/tr><tr><td>Tobacco products<\/td><td>28% (+ cess)<\/td><td>40%*<\/td><td>Deferred<\/td><\/tr><tr><td>Gold, silver, platinum jewellery<\/td><td>3%<\/td><td>3%<\/td><td>No change<\/td><\/tr><tr><td>Rough diamonds, uncut gemstones<\/td><td>0.25%<\/td><td>0.25%<\/td><td>No change<\/td><\/tr><tr><td>Mobile phones<\/td><td>18%<\/td><td>18%<\/td><td>No change<\/td><\/tr><tr><td>Restaurant services (most)<\/td><td>5%<\/td><td>5%<\/td><td>No change<\/td><\/tr><tr><td>EVs (Electric Vehicles)<\/td><td>5%<\/td><td>5%<\/td><td>No change<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>*Tobacco and pan masala continue at 28% until compensation cess loans are repaid; the move to 40% will be notified separately.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"form-16-vs-form-16-a-vs-form-16-b\">How These Changes Affect Consumers and Businesses<\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">For Consumers<\/h3>\n\n\n\n<p>The good news is widespread. Daily-use FMCG items &#8211; soap, shampoo, toothpaste, butter, ghee, packaged namkeen &#8211; are noticeably cheaper now. Insurance premiums dropped 18% for individual policies. Big-ticket buys like air conditioners, large TVs, dishwashers, small cars, and motorcycles are 10 percentage points cheaper. Healthcare costs fell across the board: 33 life-saving drugs at nil GST, plus thermometers, glucometers, and diagnostic kits dropping from 12\u201318% down to 5%. Back-to-school shopping is lighter on the wallet too &#8211; notebooks, pencils, crayons, and maps are all at 0% now.<\/p>\n\n\n\n<p>The bad news is narrower but real. Aerated drinks, energy drinks, big cars, premium motorcycles, casinos, and online gaming all moved to 40%.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">For Businesses<\/h3>\n\n\n\n<p>The transition isn&#8217;t optional &#8211; every invoice from 22 September 2025 onwards must reflect the new rates. That means catalogues, MRPs, and ERP\/billing systems all need updating.<\/p>\n\n\n\n<p>A few practical things to keep in mind:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>HSN code accuracy is everything.<\/strong> Even one wrong digit can put your item in the wrong slab, causing return mismatches.<\/li>\n\n\n\n<li><strong>Inventory transition needs care.<\/strong> Stock procured at old rates but sold post-22 September has to follow time-of-supply rules cleanly.<\/li>\n\n\n\n<li><strong>ITC implications matter.<\/strong> When items move to nil-rated (like individual insurance), the supplier loses ITC on related inputs. Businesses with mixed supplies need to reassess proportional ITC reversal under Rules 42\/43.<\/li>\n\n\n\n<li><strong>Cash flow gets a boost on inputs.<\/strong> Cement, electronics, and capital goods moving from 28% to 18% means less capital blocked in inventory tax.<\/li>\n\n\n\n<li><strong>Watch the first two filing cycles.<\/strong> October and November 2025 returns had the highest mismatch risk. Double-check yours.<\/li>\n\n\n\n<li><strong>Talk to your customers.<\/strong> Many noticed the price change. A short note explaining the GST rate change goes a long way.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"how-small-businesses-can-adapt\">How Small Businesses Can Adapt<\/h2>\n\n\n\n<p>Here&#8217;s a 7-step checklist to get through the transition cleanly:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Update your billing software.<\/strong> Make sure your invoicing tool reflects the new rates and HSN-code mappings. Vyapar updates its rate masters automatically, so this is mostly a setup-once thing.<\/li>\n\n\n\n<li><strong>Re-verify HSN codes for every SKU.<\/strong> Don&#8217;t skip this. One wrong digit is the difference between 5% and 18%.<\/li>\n\n\n\n<li><strong>Reprice your catalogue.<\/strong> Decide whether to pass the GST cut entirely to the customer, hold some margin, or use it for promotions.<\/li>\n\n\n\n<li><strong>Train your team.<\/strong> Anyone at a billing counter or on the phone with customers should know which items moved.<\/li>\n\n\n\n<li><strong>Review supplier invoices.<\/strong> Ensure incoming bills also reflect the new rates &#8211; your ITC depends on it.<\/li>\n\n\n\n<li><strong>Reconcile transition stock.<\/strong> For inventory bought at old rates and sold at new rates, document the time-of-supply rule applied.<\/li>\n\n\n\n<li><strong>File the first two GST returns carefully.<\/strong> September and October 2025 cycles are most error-prone.<\/li>\n<\/ol>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"how-vyapar-helps-you-stay-gst-compliant\">How Vyapar Helps You Stay GST-Compliant<\/h2>\n\n\n\n<p><a href=\"https:\/\/vyaparapp.in\">Vyapar App<\/a> is built for Indian SMBs navigating exactly this kind of change. With GST 2.0 live, here&#8217;s what Vyapar does for you out of the box:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Auto-updated GST rates<\/strong> &#8211; Pick an item or HSN, Vyapar applies the right slab automatically (5%, 18%, 40%, or nil).<\/li>\n\n\n\n<li><strong>Smart HSN suggestions<\/strong> &#8211; Built-in HSN code lookup, so you never misclassify.<\/li>\n\n\n\n<li><strong>GST-compliant invoices<\/strong> &#8211; Every bill carries the right CGST + SGST or IGST split, with a clear breakup for the customer.<\/li>\n\n\n\n<li><strong>One-click GSTR reports<\/strong> &#8211; GSTR-1, GSTR-3B, and GSTR-9-ready summaries, generated straight from your transactions.<\/li>\n\n\n\n<li><strong>E-invoicing &amp; e-way bill<\/strong> &#8211; Generate IRN and e-way bills in-app, fully aligned with the new rules.<\/li>\n\n\n\n<li><strong>Inventory adjustments<\/strong> &#8211; Track items bought at old rates and sold at new rates with proper time-of-supply handling.<\/li>\n\n\n\n<li><a href=\"https:\/\/vyaparapp.in\/tools\/gst-calculator\">Free GST Calculator<\/a> &#8211; A handy tool for quick GST math, even when you&#8217;re not on the app.<\/li>\n<\/ul>\n\n\n\n<p>Whether you sell daily essentials at 5%, standard goods at 18%, or premium items at 40%, every invoice comes out right &#8211; without you memorizing the rate book.<\/p>\n\n\n\n<div class=\"wp-block-group vy-faq-section\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<h2 class=\"wp-block-heading\" id=\"f\">Frequently Asked Questions (FAQs)<\/h2>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question has-medium-font-size\"><h3>From which date are the new GST rates effective?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>22 September 2025. Tobacco and pan masala move to 40% on a separately notified date once compensation cess loans are repaid.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>What about invoices issued before 22 September 2025?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>They follow the old rates. From 22 September onwards, all new invoices use the new rates. For transitional cases (advance received earlier, supply made later, etc.), apply the time-of-supply rule under Section 14 of the CGST Act.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>How many GST slabs does India have now?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Four main rates: 0%, 5%, 18%, 40%. Plus niche rates: 3% (gold\/jewellery), 0.25% (rough diamonds &amp; gemstones), 1.5% (diamond job work), 12% (specified bricks and tiles), and 28% (residual for tobacco\/pan masala until separately notified).<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>Is GST on gold the same?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Yes. Gold jewellery, biscuits, and semi-manufactured gold (HSN Chapter 71) continue at 3% (1.5% CGST + 1.5% SGST, or 3% IGST).<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>What&#8217;s the GST rate on mobile phones?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>18% under HSN 8517. No change.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>What&#8217;s the GST on cement now?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Cement now attracts 18% (down from 28%). Big relief for the construction sector.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>Is GST applicable on health and life insurance?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Individual health insurance and individual life insurance policies are now exempt (Nil) from GST. Group insurance and reinsurance have specific treatment under Notification 16\/2025-CTR.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>What&#8217;s the GST rate on hotel stays?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Rooms with tariff up to \u20b97,500 per night per unit are typically at the lower slab (around 5%); rooms above \u20b97,500 attract 18%. Always check the latest service-rate notification for your specific category.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>Are mineral water and aerated drinks taxed differently?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Yes. Plain mineral water (unsweetened) is at 5%. Sweetened\/aerated\/carbonated drinks now attract <strong>40%<\/strong> under the sin-goods slab.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>Are tractors and farm equipment cheaper now?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Big yes. Tractors moved from 12% to 5%, tractor tyres &amp; parts from 18% to 5%, drip irrigation, sprinklers, and farm machinery to 5%. A clear win for the agricultural sector.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>What about restaurants?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Most restaurant services remain at 5% (without ITC). Specific categories (AC restaurants in certain hotel classes) may have different rates. Refer to Notification 11\/2017-CTR (as amended) for your exact category.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>How do I find the GST rate for a specific item?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Three ways: (a) Look up the HSN\/SAC code on gst.gov.in, (b) Use the Vyapar GST Calculator and HSN-code finder built into the app, (c) Refer to the chapter-wise table above.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>Are the new GST rates the same across all states?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Yes. GST is uniform across India. CGST + SGST applies to intra-state sales; IGST applies to inter-state and imports. The total rate is identical regardless of state.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>What about composition scheme dealers?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Composition rates are unchanged: 1% for traders\/manufacturers, 5% for restaurants, 6% for specified service providers &#8211; all on turnover.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>What&#8217;s the highest GST rate in India today?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>40% &#8211; applied to sin and luxury goods like aerated drinks, large luxury cars, motorcycles above 350 cc, yachts, casinos, and online money gaming.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>Has TCS under GST changed?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Yes. TCS under GST is now 0.5% (reduced from 1% w.e.f. 9 July 2024). TDS continues at 2%.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>How is provisional refund processed under the new rules?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Under amended Rule 91(2), provisional refunds in Form GST RFD-04 are sanctioned within 7 days based on risk parameters (effective 1 October 2025). Aadhaar-authenticated taxpayers and certain sectors are excluded.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group vy-faq-item\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<ul class=\"wp-block-list\">\n<li class=\"vy-faq-question\"><h3>Where can I read the official notifications?<\/h3><\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-group vy-faq-answer\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>All 56th Council notifications (09\/2025-CTR to 17\/2025-CTR) are on the CBIC website at cbic.gov.in and the official PIB press release at pib.gov.in.<\/p>\n<\/div><\/div>\n<\/div><\/div>\n<\/div><\/div>\n","protected":false},"excerpt":{"rendered":"<p>KEY TAKEAWAYS GST 2.0 introduced a simplified tax structure with major slabs reduced to 0%, 5%, 18%, and 40% from 22 September 2025 The old 12% and 28% GST slabs were largely removed, with items shifted either to 5%, 18%, or 40% Daily essentials like soap, shampoo, butter, ghee, namkeen, notebooks, and insurance became significantly&#8230;<\/p>\n","protected":false},"author":11,"featured_media":2694,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"footnotes":""},"categories":[7],"tags":[],"class_list":{"0":"post-2692","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-gst"},"_links":{"self":[{"href":"https:\/\/vyaparapp.in\/blog\/wp-json\/wp\/v2\/posts\/2692","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vyaparapp.in\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vyaparapp.in\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vyaparapp.in\/blog\/wp-json\/wp\/v2\/users\/11"}],"replies":[{"embeddable":true,"href":"https:\/\/vyaparapp.in\/blog\/wp-json\/wp\/v2\/comments?post=2692"}],"version-history":[{"count":19,"href":"https:\/\/vyaparapp.in\/blog\/wp-json\/wp\/v2\/posts\/2692\/revisions"}],"predecessor-version":[{"id":2747,"href":"https:\/\/vyaparapp.in\/blog\/wp-json\/wp\/v2\/posts\/2692\/revisions\/2747"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vyaparapp.in\/blog\/wp-json\/wp\/v2\/media\/2694"}],"wp:attachment":[{"href":"https:\/\/vyaparapp.in\/blog\/wp-json\/wp\/v2\/media?parent=2692"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vyaparapp.in\/blog\/wp-json\/wp\/v2\/categories?post=2692"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vyaparapp.in\/blog\/wp-json\/wp\/v2\/tags?post=2692"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}