As the GST council meet has come to an end, one thing that we all hover about is what gets cheaper and costlier? Which is quite human. The meeting scheduled for two days – September 3 and September 4. In the meet the council decided to eliminate the 12% and 28% GST slabs in foavour of 18% and 5% with an addition of 40% slab on sin and luxury goods.
Essentials and Groceries Get Cheaper Under New GST
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Nil GST:
Ultra-high temperature milk
Paneer
Parathas
Pizza bread
Khakhra
Roti
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5% GST (reduced from 12–18%)
Butter
Ghee
Cheese
Jams
Sauces
Soups
Pasta
Namkeens
Confectionery
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Dry Fruits at 5%:
Almonds
Pistachios
Cashews
Dates
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Other items at 5%:
Citrus fruits
Healthcare Items See Major Tax Relief
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Nil GST (tax-free):
Life-saving drugs:
Agalsidase Beta
Onasemnogene
Daratumumab
Alectinib
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5% GST (reduced from 12–18%):
Most medicines
Diagnostic kits
Bandages
Thermometers
Oxygen supplies
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Medical Devices:
Shifted to lower rates, now cheaper for patients and hospitals
GST Reduced on Personal Care and Consumer Goods
Personal care items such as hair oil, shampoos, soaps, toothpaste, shaving products, talcum powder, toothbrushes, candles, and safety matches now attract only 5% GST. Stationery items including notebooks, pencils, sharpeners, and erasers also became cheaper.
Toys, sports goods, handicrafts, and bamboo or cane furniture shifted into the 5% category as well. The Council said that cutting GST on these goods would support students, households, and artisans.
By bringing personal care and consumer goods under lower tax rates, the Council ensured direct relief to consumers in their everyday purchases.
Transport and Housing Materials See GST Cuts
18% GST (reduced from 28%):
Cement
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Reduced GST Slabs:
Tractors
Bicycles
Motorcycles below 350cc
Small cars (petrol/diesel engines under 1200–1500cc, length under 4 metres)
Electric vehicles
Hybrid vehicles
Ambulances
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5% GST:
Marble
Granite blocks
Eco-friendly building materials (e.g., particle boards made from crop residue)
Must Read: 40% GST’ Trends On X! GST On Cigarettes, Alcohol, Gambling Surges
Sin Goods and Luxury Products Become Costlier
The Council raised GST on tobacco and luxury goods. Pan masala, gutkha, chewing tobacco, and cigarettes now attract 40% GST, up from 28%.
Carbonated drinks, caffeinated beverages, and fruit-based fizzy drinks moved to the 40% slab as well. Luxury vehicles such as SUVs, large cars above 1200cc or 1500cc engines, motorcycles above 350cc, yachts, private aircraft, revolvers, and pistols also shifted into the 40% bracket. Coal, lignite, and peat saw an increase from 5% to 18%.
Biodiesel not blended with diesel moved to 18% from 12%. High-value apparel, cotton quilts, and paper products also shifted to 18%.
Swastika Sruti is a Senior Sub Editor at NewsX Digital with 5 years of experience shaping stories that matter. She loves tracking politics- national and global trends, and never misses a chance to dig deeper into policies and developments. Passionate about what’s happening around us, she brings sharp insight and clarity to every piece she works on. When not curating news, she’s busy exploring what’s next in the world of public interest. You can reach her at [swastika.newsx@gmail.com]
