Page 2 - Latest Updates on GST Revamp

Record agri output in 2025 amid GST cuts, tariffs; new bill eyed for 2026

India's agriculture sector closed 2025 with a projection of record foodgrain output surpassing last year's 357.73 million tonnes (MT) despite US tariffs disrupting farm exports, while landmark GST reforms delivered input cost relief, and stakeholders await passage of key seed and pesticide bills in 2026 to tackle fake inputs. The year showed both resilience and fragility -- GST rate reductions delivered noticeable cost savings, while American tariff wall compelled market diversification, officials said. "We are hopeful of achieving record foodgrain production this year 2025-26 (July-June). Kharif output remained positive and rabi sowing is progressing well," Agriculture Secretary Devesh Chaturvedi told PTI. Above-normal southwest monsoons boosted kharif sowing, with the agriculture ministry's first advance estimate projected kharif foodgrain output at a record 173.33 MT for 2025-26, up from 169.4 MT in 2024-25. Rice production is predicted to exceed 124.5 MT, with maize at 28.3 MT.

India cuts GST, revamps tax regime in 2025, I-T Act in effect from April 1

India overhauled its tax regime in 2025 with sharp cuts in Goods and Services Tax (GST) rates and a higher income tax exemption limit, with the spotlight now turning to customs duty rationalisation and procedural simplification in the coming Budget. Next year will see the new simplified Income Tax Act, 2025, to come into effect from April 1, replacing the over six-decade-old current Income Tax Act, 1961. Also, two new laws -- one to levy additional excise duty on cigarettes and another to levy cess on pan masala over and above GST rates -- will be implemented on a date decided by the government. The tax reforms rolled out by the government in 2025 were aimed at stimulating demand amid a challenging global economic environment. With tariff uncertainties casting a shadow over economic decision-making, India's tax reform measures focused on boosting domestic demand to drive consumption and support growth. A key highlight was the reduction of GST rates on about 375 goods and services .

Premium bike sales rise 4% despite GST hike for 350 cc-plus models

Sales volumes rose 7.2 per cent year-on-year in October 2025 to 19,555 units, before moderating by 1.4 per cent in November to 10,396 units

GST cuts: Insurers still negotiating commission revisions with distributors

Life insurers have formed committee to discuss the capping of distributor commission

Explained: What's the Central Excise Bill, 2025 moved by govt in Lok Sabha?

The Bill was tabled earlier amid the Opposition's protest demanding a discussion on the Special Intensive Revision (SIR) of electoral rolls

Protecting revenue: GST may need further reforms to safeguard collections

Govt hikes excise on tobacco, levies pan masala cess amid tepid GST growth, raising concerns over divisible pool

The next turn: How taxes and trade deals are reshaping luxury car prices

GST 2.0, which levies a flat 40 per cent tax on luxury vehicles, has spurred renewed enthusiasm. Prices have fallen by 6-8 per cent

GST rate cuts boost consumption, India set for steady growth: FinMin report

The GST rate rationalisation gave a "measurable" boost to consumption, and the Indian economy is on a stable footing to navigate risks and maintain growth momentum through the current fiscal, a finance ministry report said on Thursday. The Finance Ministry's Monthly Economic Review for October said that with inflationary pressures easing and recent tax reforms boosting household disposable incomes, the near-term consumption outlook appears increasingly positive. Retail inflation has reached an all-time low in the current series, dropping to 0.25 per cent in October 2025, down from 1.44 per cent in September 2025. The decline can largely be attributed to the complete impact of reduced GST rates, a favourable base effect, and significant falls in food inflation, the ministry said. "The rationalisation of GST rates has provided a measurable boost to consumption, as reflected in the strengthening of high-frequency indicators, including higher e-way bill generation, record festive-seaso

After GST rationalisation, innovation will boost life insurance: CEOs

Insurance leaders view the GST waiver as an inflexion point, detailing plans to boost customer value and make products the engine for growth

Consumption stocks yet to fully price GST 2.0 boost: Analysts

The consumer sector, according to a Motilal Oswal note, reported the third quarter of mid-single-digit earnings growth of 5 per cent year-on-year in Q2-FY26

Economy picked up steam in Oct on GST rejig, festival spends: RBI bulletin

Measures undertaken this yr pave way for virtuous cycle

GST fast-track registration scheme triggers spike in automatic approvals

142,000 applications cleared in 15 days

GST boost fuelling growth; private capex showing spark: HDFC Bank

NIMs could improve going forward for the bank as borrowings are replaced by deposits and deposits get repriced downwards

Stellantis India CEO says GST 2.0 to push car industry growth to 5%

The passenger car industry is expected to log over 5 per cent volume growth, driven by the recent GST 2.0 reforms, which have particularly boosted the demand for small cars, a top Stellantis India official has said. Stellantis India, which operates two brands -- Jeep and Citroen -- in the country and has three manufacturing facilities in India, including the Hosur powertrain and gearbox plant, also said it is eyeing an over four-fold jump in exports to Rs 10,000 crore next year, in component exports, from Rs 4,000 crore. Hosur facility, along with the one in Bengaluru, churns out up to 3.74 gearboxes and 3 lakh engines per annum is serving as a key pillar Stellantis global business. Prior to the GST 2.0 reforms, there was hardly any growth in car sales, Shailesh Hazela, Managing Director and CEO at Stellantis India, said, adding, "But with GST, the growth percentage will be more than 5 per cent for the auto (industry)." Stating that automobiles' demand went up in the last eight day

GST reforms expected to ignite animal spirits in financial sector: DEA secy

Recent uncertainties created by global tariffs have not impacted the Indian economy severely, she said

GST 2.0, customs reforms to boost Indo-Japan auto ties and EV push: Report

Significant regulatory transformations such as GST 2.0 and progressive customs reforms are likely to accelerate investment flows, promote EV adoption, and drive the next wave of Indo-Japan collaboration in clean mobility and advanced manufacturing, according to a report. With USD 43.3 billion in cumulative investments, Japan is India's fifth-largest foreign investor. A deeper utilisation of the Indo-Japan FTA will be key to driving competitiveness, enabling technology transfer, and advancing India's journey toward a sustainable, innovation-led automotive future, Grant Thornton Bharat and the Indo-Japan Chamber of Commerce and Industry (IJCCI) said in a joint whitepaper. "The convergence of GST 2.0 and targeted customs incentives marks a defining moment for India's automotive sector. Reduced tax rates, simplified compliance, and supply-chain-focused exemptions will not only elevate India's cost competitiveness but also strengthen its positioning as a manufacturing and export hub for .

Restore APM allocation for CNG sector, include gas under GST regime: Panel

To boost natural gas adoption, a PNGRB expert panel has recommended restoring APM gas allocation for CNG, including gas under GST, and recognising it as a cleaner fuel in the scrappage policy

Pent-up demand boosted retail health insurance segment in October

According to data released by the General Insurance Council, standalone health insurers (SAHI) reported 38.3 per cent Y-o-Y growth in premiums for October, reaching ₹3,738.34 crore

Emami Q2 profit drops 30% on GST disruption, rain impact on sales

FMCG major Emami posted a 30.2% YoY fall in Q2 profit to Rs 148.35 crore, hit by temporary trade disruption from GST rate changes and heavy rains affecting key product categories

Notebook makers raise GST concerns, warn of rising costs and import surge

The All India Notebook Manufacturers Association has urged the government to address GST anomalies that are pushing up raw material costs and could lead to cheaper imports from ASEAN countries