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Small stores slow to pass on GST rate cuts
Mint Chennai
|October 22, 2025
maximum retail prices (MRPs). ‘They have the option to affix new price stickers.
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The govt cannot take legal action if businesses raise prices after the monitoring period.
(AF)
However, the government cannot take legal action against unorganized retailers who fail to comply, given that they are not registered under GST.
Only merchants with annual sales above ₹4.0 lakh are required to register under the tax system, and the threshold is ₹20 lakh for those selling across state borders.
Policymakers expect compliance to improve as existing inventory gets sold.
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