Page 4 - Gst Rate Cuts

Will the GST rate cut bring back foreign investors to Indian stock market?

The primary reason for the underperformance of the Indian market in the past year, according to analysts, is weak domestic growth

Celebrations commence with GST reform announcements, marking economic shift

This courageous move signals the emergence of a stronger economy, clearly indicating that India is firmlyset on a path of progress and growth

GST reforms to boost competitiveness of exporters across sectors

The removal of the value threshold for GST refunds will significantly benefit small and e-commerce exporters by making even low-value shipments eligible for refunds

Datanomics: Fast-moving goods and services key to meeting Modi's objectives

Looking from a different perspective of durability of the products, it is non-durable or fast moving products which would have higher impact on the demand

GST rate rejig above expectation, stocks price in most positives: Analysts

The breadth and depth of the new rate cuts, analysts at Bernstein said, especially in the fast-moving consumer goods (FMCG) categories saw rate reductions well beyond what they thought was possible

GST rate rejig may ease inflation by up to 75 bps in FY26: SBI Research

The GST rate rejig, which will bring down tax rates on essential household items and services, may help moderate retail inflation by 65-75 basis points in the next fiscal, SBI Research Report said on Thursday. The 56th meeting of the GST Council on Wednesday rationalised the current 4-tiered tax rate structure into a citizen-friendly 'Simple Tax' - a two-rate structure with a standard and merit rate of 18 per cent and 5 per cent, respectively. A special de-merit rate of 40 per cent has been set for a select few goods and services. The new tax rates will be effective from September 22, except for tobacco and related products, for which a date will be announced later. Of the 453 goods where GST rate has changed, 413 goods saw a decrease in rates, while only 40 goods witnessed an increase in rates. Almost 295 goods now have new GST rate of 5 per cent/NIL from earlier 12 per cent, the report said. "Since the GST rate of essential items (around 295 items) has declined from 12 per cent t

GST rate cuts to boost demand in India's ₹19 trillion dairy sector: Govt

The government on Thursday said the decision to ensure that most dairy products are now either exempt from tax or attract only a 5 per cent rate will boost demand in the Rs 19 lakh crore industry. In an official statement, the Ministry of Fisheries, Animal Husbandry & Dairying said the 56th GST Council, in its meeting held on Wednesday, approved sweeping tax rationalisations on milk and milk products. "These reforms mark one of the most comprehensive overhauls of GST rates in the sector, ensuring that most dairy products are now either exempt from tax or attract only a 5 per cent rate," it added. Under the revised structure, effective from September 22, 2025, the GST rate on ultra-high temperature (UHT) milk is reduced to nil from 5 per cent. The GST on paneer / chhena (Pre-packaged and labelled) has been reduced from 5 per cent to nil. Butter, ghee, dairy spreads, cheese, condensed milk, milk-based beverages will attract 5 per cent GST from 12 per cent. The GST on ice cream wil

GST rate for jewellery unchanged at 3 pc, but industry sees indirect gains

Even though the GST for gems and jewellery remained unchanged at 3 per cent, jewellers on Thursday welcomed the government's decision to reduce GST rates in other sectors, saying it would indirectly benefit the industry and boost demand. "The current GST reforms (GST 2.0) offer no direct and immediate relief to gems and jewellery exporters. Importantly, the gems and jewellery sector was excluded from the latest reforms. The reforms do not offset the adverse impact of the US tariffs, since input costs and compliance burdens remain unchanged," All India Gem and Jewellery Domestic Council (GJC) Chairman Rajesh Rokde told PTI. However, he said, by focusing on stimulating consumption, the GST changes will support the gems and jewellery sector indirectly over the longer term. "The new rates, effective from September 22, are expected to boost consumption, with the overall fiscal impact of the overhaul estimated at around Rs 50,000 crore," Rokde added. The GST Council, in its meeting held

Indian coal prices to drop after tax changes, boosting local demand

That could push up domestic consumption at the expense of imports, they said, putting further pressure on already plunging global coal pricesZ

GST rate cut may ease CPI inflation by 25bps; 40bps dent on fiscal deficit

Here's how analysts leading brokerages assess the impact of the GST rate rejig on the Indian economy, bond markets and the possibility of an aggressive interest rate cut by the Reserve Bank of India

GST on luxury cars, SUVs now at 40%, but it's still good news for consumers

GST Council announcements: New two-slab GST system cuts tax on smaller cars to 18 per cent, trims luxury cars and SUVs to 40 per cent, making high-end vehicles slightly cheaper

New GST rates to come into effect from Sept 22: Your top questions answered

The GST Council's 56th meeting has notified sweeping changes effective September 22, impacting goods and services from milk and medicines to cars, coal and casinos

Here's how political leaders, India Inc reacted to new GST rate reforms

The next-generation GST reforms mark a defining moment in India's journey towards building a simpler, fairer, and more inclusive tax system, Mahindra Group CEO & MD Anish Shah said on Wednesday. Reacting to the GST Council's decision to overhaul the tangled Goods and Services Tax (GST), Shah said the Mahindra group views these reforms as transformative as it simplifies compliance, expands affordability, and energises consumption, while enabling industry to invest with greater confidence. "The next-generation GST reforms announced today mark a defining moment in India's journey towards building a simpler, fairer, and more inclusive tax system," he said in a statement. Shah further said by moving to a streamlined two-rate structure and focusing on essentials that touch the lives of every citizen- from food, health, and insurance to agriculture and small businesses - the government has "reaffirmed its commitment to ease of living and ease of doing business". "The rationalisation ...

GST Council clears 2-slab structure: What gets cheaper, what gets expensive

Finance Minister Nirmala Sitharaman announces GST overhaul with zero tax on breads and life-saving drugs, lower duty on cement, soaps and tractors, and higher rates on TVs and cars

Proposed GST rejig saved the day for Indian stock markets, says Chris Wood

Wood has removed the investment in Aditya Birla Real Estate in his India long-only equity portfolio and replaced it with an investment in Mahindra & Mahindra (M&M)

GST reforms: How and where to invest in the stock market? Analysts decode

At the bourses, the consumption-driven theme has played out well thus far in FY26 with the Nifty India Consumption index rising nearly 11 per cent as compared to around 5 per cent rise in Nifty 50

Very close to decision on reducing GST rates & slabs: Nirmala Sitharaman

Speaking on the ongoing efforts to simplify the GST structure, Nirmala Sitharaman said, 'We are very close to closing in on a final call on the reduction in GST rates and slabs'

GoM recommends lowering GST rate on water bottles, bicycles to 5%: Report

The GoM on GST rate rationalisation on Saturday decided to lower tax rates on 20-litre packaged drinking water bottles, bicycles and exercise notebooks to 5 per cent, but suggested raising taxes on high-end wrist watches and shoes, an official said. The rate rejig decision taken by the GoM on GST rate rationalisation under Bihar Deputy Chief Minister Samrat Chaudhary would lead to a revenue gain of Rs 22,000 crore, the officials added. The GoM proposed reducing GST on packaged drinking water of 20 litres and above to 5 per cent from 18 per cent. If the GoM's recommendation is accepted by the GST Council, the GST on bicycles costing less than Rs 10,000 will be reduced to 5 per cent from 12 per cent. Also, GST on exercise notebooks will be reduced to 5 per cent from 12 per cent, the GoM proposed. The GoM also suggested hiking GST on shoes above Rs 15,000 a pair and on wrist watches above Rs 25,000 from 18 per cent to 28 per cent. The GoM on rate rationalisation in its previous meeti

GST rate panel for keeping current 4-slab tax structure 'for now'

Asks fitment panel to submit findings on potential impact of rate changes to Council at Sep 9 meet

Farmers, apple growers hold demonstrations in Himachal seeking GST rate cut

Farmer's organisations and apple growers, under the banner of Samyukta Kisan Manch (SKM), demonstrated at multiple locations in Himachal Pradesh and sought GST rate cut on boxes used for apple