Next Gen GST reforms to directly ease financial burden on households and strengthen consumers

In order to bring direct savings to households, the government has reduced taxes on everyday essentials and packaged foods. GST rates on products like hair oil, soap, shampoo, toothpaste, toothbrush and shaving cream have been reduced from 18 per cent to 5 per cent. Items like Ultra-high temperature milk, paneer, chena, and all varieties of Indian breads, including roti and parantha, are now under the zero tax category. Popular food items such as namkeen, bhujia, sauces, pasta, noodles, chocolates, coffee, cornflakes, butter, and ghee have also been slashed down to a 5 per cent tax slab, which earlier were part of the 12 per cent slab. Other household essentials such as bicycles, kitchenware, diapers and sewing machines will now attract only 5 per cent GST. This decision by the GST council will directly ease the financial burden on households and strengthen consumers by increasing their purchasing power.