Major Changes in GST Slabs: Daily Essentials to Get Cheaper – See the Full List | GST Council Meet

In a significant decision taken during the GST Council meeting held on September 3, Union Finance Minister Nirmala Sitharaman announced a major restructuring of the GST slab system. Going forward, only two main GST slabs – 5% and 18% – will apply, as the 12% and 28% slabs have been eliminated. Items previously falling under those slabs will now be reclassified under the approved two-tier system.

The government has also introduced a special 40% GST slab for luxury and harmful products, such as tobacco and high-end vehicles. The new GST rates will come into effect from September 22.

Here’s what’s getting cheaper and costlier under the new GST structure:

✅ Daily Essentials That Will Become Cheaper

Personal Care Products:

• Hair oil, shampoo, toothpaste, soap, toothbrush, shaving cream
  → GST reduced from 18% to 5%

Dairy Products:

• Butter, ghee, cheese, and other dairy items
  → GST reduced from 12% to 5%

Snacks:

• Pre-packaged namkeen and savory items
  → GST reduced from 12% to 5%

Utensils:

• All basic kitchen utensils
  → GST reduced from 12% to 5%

Baby Products:

• Feeding bottles, baby diapers, and napkins
  → GST reduced from 12% to 5%

Sewing Machines:

• Sewing machines and their parts
  → GST reduced from 12% to 5%

✅ Healthcare Sector Relief

• Health and life insurance
  → GST reduced from 18% to 0% (zero-rated)
• Thermometers
  → GST reduced from 18% to 5%
• Medical-grade oxygen
  → GST reduced from 12% to 5%
• Glucometers and testing strips
  → GST reduced from 12% to 5%
• Eyeglasses
  → GST reduced from 12% to 5%

✅ Stationery Items Now Tax-Free

• Maps, charts, and globes
  → GST reduced from 12% to 0%
• Pencils, sharpeners, crayons, and pastel colors
  → GST reduced from 12% to 0%
• Textbooks and notebooks
  → GST reduced from 12% to 0%
• Erasers
  → GST reduced from 5% to 0%

✅ Relief for Farmers

• Tractors
  → GST reduced from 12% to 5%
• Tractor tires and parts
  → GST reduced from 18% to 5%
• Pesticides and micronutrients
  → GST reduced from 12% to 5%
• Agricultural machinery for ploughing, harvesting, and threshing
  → GST reduced from 12% to 5%

✅ Vehicles to Get Cheaper

• Petrol, LPG & CNG cars (up to 1200 CC and 4000 MM)
  → GST reduced from 28% to 18%
• Diesel cars (up to 1500 CC and 4000 MM)
  → GST reduced from 28% to 18%
• Three-wheelers
  → GST reduced from 28% to 18%
• Motorcycles up to 350 CC
  → GST reduced from 28% to 18%
• Goods transport vehicles
  → GST reduced from 28% to 18%

✅ Lower GST on Electronic Devices

• Air conditioners
  → GST reduced from 28% to 18%
• Televisions larger than 32 inches
  → GST reduced from 28% to 18%
• Monitors and projectors
  → GST reduced from 28% to 18%
• Dishwashing machines
  → GST reduced from 28% to 18%

❌ What’s Getting Costlier?

A new 40% special GST slab has been introduced for luxury and harmful products, including:

• Luxury cars and bikes
• Tobacco products and cigarettes
• Fast food and cold drinks

These items will now attract the highest GST rate of 40%, as part of the government’s strategy to encourage healthy and sustainable consumption.