Mumbai: The recent exemption of retail health insurance from the goods and services tax regime has helped reduce premiums. But that alone is not enough to drive growth as the industry continues to battle issues such as high medical inflation, inadequate coverage, differentiated healthcare and claims experience, insurers said in a panel discussion at Mint’s BFSI Conclave 2025.
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Shares of PB Fintech Ltd have fallen more than 7% over the past two trading sessions, as the Insurance Amendment Bill 2025 emerges as a potential headwind. The stock had only just begun to recover from recent goods and services tax (GST) changes.
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Now that software—on smartphones for example—is vital to most of our livelihoods, the use of non-essential services could be held as ‘digital collateral' for repayments. There are case studies of the role it plays in low-risk credit expansion.
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The government identified 489 fake GST registrations linked to forged PAN and Aadhaar, resulting in over ₹3,000 crore tax evasion. In FY'25, as many as 3,977 fraudulent registrations were detected, leading to ₹13,109 crore evasion.
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Source: https://taxguru.in/goods-and-service-tax/gst-2-0-structure-economic-impact.html
In reply to an unstarred Lok Sabha question on GST 2.0, the Ministry of Finance stated that the reform has simplified and rationalised the GST rate structure with the objective of supporting economic growth, formalisation, and ease of doing business.
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The Manipur Goods and Services Tax (Second Amendment) Act, 2025, received Presidential assent on 10 December 2025, amending the Manipur GST Act, 2017. Key amendments include changes to definitions in Section 2, clarifying terms like “local fund,” “municipal fund,” and introducing “unique identification marking” for certain goods.
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Post-festive sentiment has turned positive, supported by policy easing and strong auto sales. But an urban-led rebound and uneven income growth raise questions about how durable the recovery will be.
India’s consumers are beginning to feel—and spend—better again. After months of caution, sentiment has turned positive in the wake of the festival season, helped by policy easing, lower inflation, and improving urban incomes.
Some early indicators, particularly passenger vehicle sales, suggest an increase in demand. But the signals are not as clear for other goods and services owing to a lack of robust data.
India recorded ultra-low retail inflation of 0.25% in October and 0.71% in November. A sharp drop in food prices was a major reason behind the disinflation seen in recent months. The recent cuts in goods and services tax (GST) rates also played their part, primarily in October, the first full month with the revised rates.
Despite federal tax cuts aimed at reviving small car sales, recent data shows consumers favoring larger vehicles. Small car sales increased by just 3%, while compact SUVs grew by 17%, indicating a shift in buyer preferences amidst ongoing debates over emission norms.
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Source: https://taxguru.in/goods-and-service-tax/impact-gst-rationalisation-cooperatives.html
The Ministry of Cooperation has highlighted the positive impact of recent GST rationalisation on cooperatives across dairy, food processing, agriculture, and rural enterprise sectors.
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