The government has released a thorough list of goods and services that have gotten more inexpensive since 2017 in advance of the July 1 Goods and Services Tax (GST) implementation’s sixth anniversary.
The government has reduced the GST on pencil sharpeners from 18% to 12%. GST on rab has been reduced from 18% to 5% if sold pre-packed/labeled.
The GST rate in respect of fortified rice kernels for schemes like ICDS from 18% to 5%.
The GST on orthopedic appliances, ostomy appliances, medicine Keytruda for treatment of cancer has been reduced from 12% to 5%.
No IGST is applicable on import of medicines for personal use for Spinal Muscular Atrophy and Duchenne Muscular Dystrophy, earlier 12% was payable.
Consumers have benefited from the lower tax rates, especially in the market for home items including TVs up to 27 inches, refrigerators, washing machines, electrical appliances, geysers, fans, and mobile phones.
The GST, which was implemented six years ago, combined 17 taxes and 13 cesses levied by the federal and state governments. According to a statement from the office of Union Finance Minister Nirmala Sitharaman, since then, it has not only reduced the tax burden on citizens but also served as a stimulant for increasing spending throughout the nation.
Additionally, the implementation of GST has increased government revenue. At the time of its introduction in 2017, monthly GST receipts initially varied between Rs 85,000 and Rs 95,000 crore. However, these numbers have significantly increased over time, with the present monthly revenues hovering around Rs 1.5 lakh crore and continuing to rise. The all-time high of Rs 1.87 lakh crore in GST income was attained in April 2023, marking a significant achievement.