- KR Bharat
- 2025-09-23
Effective from September 22, 2025, India's Goods and Services Tax (GST) reforms—dubbed GST 2.0—have come into effect, bringing significant price reductions across a wide range of goods and services. The revamped tax structure consolidates the previous four slabs into two: 5% and 18%, with a new 40% rate introduced for luxury and sin goods .
Key Items with Reduced GST:
1. Dairy and Packaged Foods:
Products like milk, butter, ghee, paneer, cheese, ice cream, and items from the Safal frozen foods range now attract a 5% GST, down from 12% or higher. Mother Dairy has already implemented price cuts ranging from ₹2 to ₹30 on these items.
2. Essential Groceries:
Staples such as packaged bread, khakhra, and pizza bread have been moved to the 5% GST slab, down from 12%.
3. Stationery and School Supplies:
Items like notebooks, pens, and other stationery products are now taxed at 5%, a reduction from the previous 12% rate.
4. Consumer Electronics and Appliances:
Products such as TVs, air conditioners, and washing machines have seen their GST reduced from 28% to 18%
