5% & 18%: Just Two GST Slabs From September 22

5% tax for daily use items; no GST for individual health, life insurance

- Pushpita Dey & Dipak Mondal @ New Delhi

The 56th GST Council meeting held here on Wednesday cleared all the proposed changes in the Goods and Services Tax (GST), including the two-rate tax structure. Taxes on most daily use items, which were earlier in the 18% and 12% slabs, have been cut to 5%. Many goods in the 28% slab were also brought down to 18%. All these rates will come into effect from September 22.

Addressing the media after the meeting that went past 9 pm, Finance Minister Nirmala Sitharaman said efforts have been made to not just reduce the rates on items for the common man but also ease the compliance burden for businesses.