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‘GST reforms will stabilise consumption’
Hindustan Times
|August 24, 2025
The upcoming GST 2.0 reforms promise to reduce compliance burdens, stabilise consumption, and boost the economy, according to Dhairyashil H Patil, national president, All India Consumer Products Distributors Federation (AICPDF).
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The federation that represents over 450,000 distributors and 13 million kirana stores across the country is, however, concerned that rate reduction may lead to huge loss of input tax credits (ITCs) on inventories. The GST Council must devise some mechanism so that businesses can avail ITCs on inventories, Patil said in an interview with Rajeev Jayaswal. Edited excerpts:
GST 2.0 may reduce tax rates on several FMCG items from 12% to 5%. How do you view this development?
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