With the GST Council reviewing the GST rates on various products and services, there are expectations that prices of various items may come down significantly. Most of the rate cuts will be introduced for items that are currently in the 28 percent GST bracket. The GST Council will be having its meeting tomorrow in Guwahati, Assam, and it will announce its decision subsequently. Bihar Deputy Chief Minister and GST member Sushil Kumar Modi said that a number of items that are currently in the 28% tax slab will be reduced to 18% slab. Many items that are currently in the 18% slab will also be reduced further to the 12% slab. Earlier, finance minister Arun Jaitley had also said that the government is planning to reduce the tax rate on many items. Jaitley had said that the purpose is to tweak GST rates to achieve the perfect balance of taxes and ease and affordability for consumers.
The various items that may become cheaper in the near future include wooden furniture, plastic products, toilet and bath accessories, shampoo, etc. The GST Council may also announce new incentives for small and medium enterprises (SMEs) in order to encourage digital transactions. The aim is also to simplify the GST return filing system. The GST Council is taking inputs from various industry associations and user-friendly measures are expected to be announced tomorrow. The GST Council is also working on to provide more resources to resolve the queries, problems and disputes of various stakeholders.