‘Common man will benefit enormously’: PM Modi hails GST rate cuts; calls it wide-ranging reform

NEW DELHI: Prime Minister Narendra Modi on Wednesday hailed the next-generation GST reforms, which he stated would enhance the lives of residents and guarantee ease of doing enterprise for all, particularly small merchants and companies.“During my Independence Day Speech, I had spoken about our intention to bring the Next-Generation reforms in GST. The Union Government had prepared a detailed proposal for broad-based GST rate rationalisation and process reforms, aimed at ease of living for the common man and strengthening the economy,” PM Modi stated.He additional stated: “Glad to state that GST council, comprising the Union and the States, has collectively agreed to the proposals submitted by the Union Government on GST rate cuts & reforms, which will benefit the common man, farmers, MSMEs, middle-class, women and youth. The wide-ranging reforms will improve lives of our citizens and ensure ease of doing business for all, especially small traders and businesses.“

Finance minister Nirmala Sitharaman on Wednesday introduced main Goods and Services Tax (GST) rate cuts, saying that with the two-tier tax rate system accepted, the widespread man will benefit enormously. The GST Council accepted the two-tier rate construction of 5% and 18%.

What will get cheaper?

The GST rate rationalisation will be applied from September 22, based on a PTI report. “For common man and middle class items, there is a complete reduction from 18% and 12 to 5%. Items such as hair oil, toilet, soap bars, soap bars, shampoos, toothbrushes, toothpaste, bicycles, tableware, kitchenware and other household articles are now at 5%,” FM Sitharaman stated. “UHT milk, paneer, all the Indian breads will see nil rate,” she added. The 56th Goods and Services Tax (GST) Council assembly commenced on Wednesday to overview potential rate reductions and class changes for quite a few objects below the oblique taxation system.