PM Modi’s government has abolished 12% and 28% GST slabs. Now most of the goods will be applied 5% and 18% GST. This will reduce the price of everyday items. Consumption will increase.
GST Tax Slabs: Prime Minister Narendra Modi’s government has made a big change in GST (Goods and Services Tax). 12% and 28% slabs have been finished. Now most of the goods will be applied 5% and 18% GST. New changes will reduce the price of everyday goods.
The Goods and Services Tax Council on Wednesday evening approved measures to reduce the burden of compliance on businesses. Approved measures include MSME (ie medium, small and micro enterprises) and registration for startups from 30 days to three days. The proposal for automatic GST refund for exporters was also approved.
The two -day meeting of the GST Council started on Wednesday morning. The government has abolished 28% slab. 90 percent of the items present in this slab have been brought under 18 percent tax slab. Some goods have been reduced from 12 percent tax category to 5 percent tax category. This will increase domestic consumption. At the same time, there is a possibility of revenue loss of 50 thousand crore rupees. It will be compensated by increasing consumption. 40% tax will be levied on some luxury and tobacco like drugs.