- 09 Sep 2025 06:18 PM
- New
Festive bonanza for car buyers: Kia, MG Motor among automakers announcing discounts after GST rate cuts
Kia India and MG Motor have reduced vehicle prices ahead of the festive season, effective from September 22, 2025, joining other carmakers such as Mahindra & Mahindra, Tata Motors, and the luxury brand BMW.
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- 09 Sep 2025 06:39 PM
- New
GST Reform: Lowered Rates for Textiles & Garments
Source: https://taxguru.in/goods-and-service-tax/gst-reform-lowered-rates-textiles-garments.html
The Ministry of Textiles has announced that the GST Council’s 56th meeting, held on September 3, 2025, approved a series of GST rate reductions for the textiles sector. These changes are intended to remove structural issues, lower production costs, and improve India’s global market position. The reforms include a reduction of GST on readymade garments and made-ups from 12% to 5% for items up to ₹2,500, a move expected to increase consumer demand, particularly in smaller towns and rural areas. Additionally, GST on man-made fibers and yarns has been lowered from 18% and 12% respectively to a uniform 5%, which corrects the inverted duty structure and eases the financial burden on manufacturers. Handloom, handicraft items, and carpets have also seen their GST reduced from 12% to 5% to support artisans and traditional crafts. These reforms are part of the government’s plan to boost the domestic market and help the textile and apparel sector reach a USD 350 billion target by 2030.
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- 09 Sep 2025 06:12 PM
- New
GST reforms were long overdue, there were too many rates, says Jamshyd Godrej
Jamshyd Godrej, Managing Director of Godrej & Boyce, has said that the Goods and Services Tax (GST) was long overdue and underlined the need for resilience in the face of global disruptions.
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- 09 Sep 2025 06:21 PM
GST reform needs more than rate cuts. The ball is in the states' court
The latest rationalisation of GST slabs has sent a quiet but significant signal: tax rates are no longer untouchable. In the past, governments have hesitated to fiddle with tax rates much, on the premise that a bird in the hand is worth two in the bush.
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- 09 Sep 2025 06:27 PM
Compensation cess accumulated in auto cos books to lapse on Sep 22: Official
New Delhi, Sep 9 (PTI) An estimated ₹2,500 crore accumulated compensation cess on the books of auto companies will lapse on September 22, when the new GST rates come into effect, an official said.
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- 09 Sep 2025 06:49 PM
Fisheries GST Rate Reduction: 5% Rate on Nets, Seafood
The Ministry of Fisheries, Animal Husbandry & Dairying has announced a major GST reduction for the fisheries sector. Approved during the 56th GST Council meeting, the new rates will be effective from September 22, 2025. This change lowers GST to 5% on a range of essential goods and services, including fish oils, preserved fish, and shrimp products, which were previously taxed at 12%. The move aims to make seafood more affordable for domestic consumers and improve the competitiveness of Indian exports. Additionally, inputs critical for aquaculture, such as diesel engines, pumps, aerators, and specific chemicals, will also see a GST reduction from 12-18% down to 5%, significantly decreasing operational costs for farmers. The new rates also apply to fishing gear, job work services in agro-processing, and composting machines, providing financial relief to fishers and processing units. These measures are intended to support the livelihoods of over 3 crore people and contribute to the growth and sustainability of India’s fisheries sector, which is the second-largest in the world.
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- 09 Sep 2025 06:46 PM
GST Rationalization Boosts Dairy Sector; Most Products Now at Nil or 5%
The 56th GST Council approved significant tax rationalizations for India’s dairy sector, effective September 22, 2025. This reform is one of the most extensive overhauls of GST rates for milk and milk products, with most now at a nil or 5% rate. The changes include reducing GST on UHT milk and pre-packaged paneer to nil, while butter, ghee, cheese, condensed milk, and certain milk beverages now have a 5% GST, down from 12%. Ice cream and milk cans also saw their GST rates drop to 5%. This move is expected to benefit over 8 crore rural farmer families and a large segment of consumers. By lowering operational costs and increasing competitiveness, the reforms aim to support the livelihoods of small farmers and landless laborers. As the world’s largest milk producer, with an output of 239 million tonnes in 2023-24, India’s dairy industry is a cornerstone of the agricultural economy, contributing 5.5% to the national GDP. The GST changes are projected to enhance the sector’s productivity and competitiveness, ensuring sustainable livelihoods for millions.
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- 09 Sep 2025 06:37 PM
New GST rates will prove to be a boon for farmers
Source: https://taxguru.in/goods-and-service-tax/gst-rates-prove-boon-farmers.html
Union Agriculture and Rural Development Minister Shri Shivraj Singh Chouhan has announced that recent GST rate revisions will positively impact the agriculture sector, particularly for small and medium-scale farmers. During a press conference in Bhopal, he stated that reduced GST on agricultural equipment like tractors, harvesters, and power tillers from 18% to 5% will lower production costs and increase farmers’ profits. Specific examples show savings ranging from thousands to over a lakh rupees on various machinery. The GST reduction on bio-pesticides and micro-nutrients is intended to promote a shift from chemical to organic farming. The dairy sector will also benefit from the removal of GST on milk and cheese, and a reduction on butter and ghee. Additionally, the new rates apply to allied sectors like beekeeping, fish farming, and handicrafts, supporting integrated farming practices and women’s self-help groups.
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- 09 Sep 2025 06:07 PM
Rajesh Shukla: We can count on India’s GST reset to re-spark consumption
India’s GST Council has finally done what many had hoped for since 2017—simplified the regime and made it more pro-consumption. From 22 September, the goods and services tax (GST) will collapse into two main rates of 5% and 18%, plus a stiff 40% for a narrow set of luxury and ‘demerit’ goods.
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- 09 Sep 2025 06:24 PM
Govt allows revised MRP stickers on unsold stock after GST rate changes
Manufacturers and importers can adjust maximum retail prices to reflect new GST rates until 31 December, easing transition and reducing packaging waste.
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