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GST CUT SWEETENS DEAL FOR FESTIVE SHOPPERS ACROSS TN
The New Indian Express Chennai
|October 12, 2025
Tax reduction on clothes, toys and traditional sweets has lifted the festive spirit, bringing cheer to households who are celebrating the festival of lights
THIS Deepavali, Tamil Nadu’s markets are bustling with activity and joy, thanks to recent Goods and Services Tax (GST) reductions on a range of consumables, including apparel, toys, traditional sweets and festive essentials. The tax cuts, announced last month by the GST Council, have given a much-needed boost to middle-class families across the state, who are shopping more freely and celebrating the festival with renewed enthusiasm.
Under the revised GST structure, tax on garments priced below ₹2,500 has been reduced from 12% to 5%, GST on toys has been slashed from 18% to 12%, and traditional Indian sweets are now exempt from GST altogether. These changes have led to an immediate surge in sales across retail shops, street vendors and online platforms throughout Tamil Nadu.
For middle-class households in cities such as Chennai, Coimbatore, Madurai and Tiruchy, the move has provided crucial financial relief amid ongoing inflation and rising living costs.
“This year, we managed to buy new outfits for the entire family without worrying about stretching our budget,” said Lakshmi Narayanan, a government employee from Coimbatore. “The price difference may seem small on paper, but it adds up when you're buying for five people. We could even afford a few extra gifts for relatives,” she added.
This story is from the October 12, 2025 edition of The New Indian Express Chennai.
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