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Revised GST Slab Rates in India F.Y. 2024-25 by Council

Subodh Kumawat
GST Slab Rates for FY 2020-21
GST Slab Rates for FY 2023-24

Revised GST Slabs in India

GST is the most important tax-related reformation in the country beginning unity in the taxation structure and reducing the various types of taxes that were applicable in the previous regime. The GST Council meeting is conducted regularly in order to further improve the overall GST rates for multiple goods.

Various states and industries support a decrease in GST tax rate for different items which are taken into discussion in the council meetings. The finance minister Nirmala Sitharaman and its panel of ministers are likely to discuss the complete redesigning of four slab tax GST rates under the regime as per the sources. The lower rates could be hiked to 6% and 13% from the current 5% and 12% and it also made to the sources that the GST rates would be finally merged in a lesser slab. The details on the GST rate hike will be clear in the upcoming time.

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    GST Means Goods and Services Tax. It has 3 Different Tax Categories

    The government recently wanted to change the GST rates and wanted to keep them as per the original rates but the changes in the customer preference and other factors led to different decisions.

    Therefore after the final revaluation of the commodities of the basic consumers, it was found that most of the products must be in the necessities categories instead of the luxury category.

    GST RatesNames of Commodities
    0%Millet Flour (if sold in other than pre-packaged and labelled form), Milk, Butter Milk, Curd, Cereals, Natural Honey, Flour, Besan, Puffed rice, Papad, Bread, Prasad, Salt, Bindi. Sindoor, Contraceptives, Fresh Fruits and Vegetables, Firewood, Bangles (non-precious metals), Agricultural Implements, Stamps, Judicial Papers, Printed Books, Newspapers, Bangles, Human Blood, Guar meal, Hop cone (other than grounded, powdered or in pellet form), Certain dried vegetables such as sweet potatoes, maniac, Unworked coconut shell, Khandsari sugar, de-oiled rice bran, hearing aid accessories, Fortified milk, Sanitary pads, Raw material used in brooms, Commemorative coins circulated by the RBI or government, Saal leaves, Deities made of stone, marbles or wood, Vegetables in the state of uncooked or cooked by steaming or boiling in water while being frozen, branded and are in a unit container, Vegetable briefly preserved under the mixtures of sulfur dioxide gas, in brine, in sulfur water or in other preservative solutions but unsuitable in that state for immediate consumption, Plates and cups made of flowers, leaves and bark, Dried Tamarind, etc.
    0.25%Semi-precious Stones-cut & Polished
    1.50%Diamond Job work, Diamond
    5%Molasses, Millet Flour (if sold in pre-packaged and labelled form), Zari Yarn/ Thread, LD Slag, Uncooked /Unfried Snack, Rab, Pre-Packed Curd, Pre-Packed Lassi, Pre-Packed Buttermilk, Biodiesel, Medicine Keytruda, Fortified Rice Kernels, Retro Fitment Kits for Vehicles, Face Masks, Namkeen/Bhujiya, Coffee, Tea, Kerosene, Coal, Cream, Skimmed Milk Powder, Branded Paneer, Frozen Vegetables, Processed Spices, Pizza Bread, Rusk, Sabudana, Medicines, Stent, Lifeboats, Soyabean, Groundnut, Sunflower Seeds, Vegetable Fats & Oils, Beet Sugar, Cane Sugar, Cocoa Beans, Shells, Paste, Tar, Peat, Lignite, Lpg For Domestic Consumption By Ioc, Hpcl, Bpcl, Nuclear Fuel, Nuclear Grade Sodium, Bakery Mixes, Doughs, Pizza Bread, Vermicelli, Heavy Water and Other Nuclear Fuels, Compressed Air, Animal or Human Blood Vaccines, Iron/ Steel/ Ferrous Alloy – Kerosene Burners and Stoves, Iron/ Steel/ Ferrous Alloy – Table or Kitchen or Other Household Articles, Table or Kitchen or Other Household Articles of Copper, Copper Utensils,  Diagnostic Kits for Detection of All Types of Hepatitis, Newsprint, Handmade Safety Matches, Geometry Boxes, Hand Pumps, Renewable Energy Devices, Boats, Fishing Vehicles, Coronary Stents, Artificial Kidneys, Broomsticks, Jhadoo, Steel Utensils, Curtains, Toilet Linen, Blankets and Travelling Rugs, Bed Linen, Kitchen Linen, Terry Toweling, Terry Fabrics, Napkins, Mosquito Nets, Sacks and Bags, Man-made Apparel, Life Jackets (Highlighted Goods Under INR 1000), Job work on textile, Footwear under INR 1000, Cotton and Natural Fibres, Khadi Yarn, Match Boxes, Packed Organic Fertilizer, Fertilizers, Lobhan, Mishri, Batasha, Bura, Insulin, Agarbattis, Cashew Nuts, Mango Sliced Dry, Khakra & Plain chapati/roti, Food preparations for Weaker Sections, Ayurvedic/Unani/Siddha/Homeopathy medicines(Unbranded),  Plastic Waste/Parings/ Scrap, Rubber Waste/Parings/ Scrap, Hard Rubber Waste or Scrap, Poha Bran, Fried Gram, Paper waste or scrap, puffed rice chikki, peanut chikki, sesame chikki, revdi, tilrevdi, khaza, kazuali, groundnut sweets gatta, kuliya, Flour of potatoes put up in unit container bearing a brand name, Chutney powder, Fly ash, Sulphur recovered in refining of crude, Fly ash aggregate with 90% or more fly ash content, Desiccated coconut, Narrow woven fabric including cotton newar [with no refund of unutilised input tax credit], Idli, dosa batter, Coir cordage and ropes, jute twine, coir products, Worn clothing, mehendi paste in cones, velvet fabric, tamarind kernel powder, articles of straw, Fertiliser grade phosphoric acid, Handloom dari, imported urea, E-books, Parts and accessories for the carriages for the disabled person, Marble rubble, Natural Cork, Walking Stick, Fly ash Blocks, Renewable energy devices & parts for their manufacture (biogas plant/solar power based devices, solar power generating system (SGPS) etc) [falling under chapter 84, 85 or 94 of the Tariff] or other equipment being used in such plants attracting GST, Construction services applicable to the solar power plants, For the clarification of all the cases having 70% of the gross value shall be deemed as the value of supply of the particular goods having 5% GST rate and the remaining portion (30%) of the aggregate value of such EPC contract shall be deemed as the value of supply of taxable service having standard GST rate, Electric Vehicles, Outdoor Catering (without ITC), Marine fuel, Wet grinders (consisting of stone as a grinder), Specified goods for petroleum operation under HELP, etc.
    12%Pencil Sharpeners, Ostomy Appliances, Splints and Other Fracture Appliance, Artificial Parts of the Body, Other Appliances which are worn or carried, Implanted in the Body to Compensate for a Defect or Disability, Intraocular Lens, Solar Water Heater and Syetem, Maps & Charts, Dry Fruits In Packaged Form, Ayurvedic Medicines (Branded), Butter, Cheese, Ghee, Fruits And Vegetable Juices, Tooth Powder, Coloring Books, Picture Books, feature phones, Umbrella, Sewing Machine, Milk Beverages, Bio-Gas, Medicinal Grade Hydrogen Peroxide, Anaesthetics, Potassium Iodate, Iodine, Steam, Glands And Other Organs For Organo-Therapeutic Uses, Ayurvaedic, Unani, Homoeopathic Siddha Or Biochemic Systems Medicaments, Sterile Suture Materials, Sterile Catgut, Sterile Suture Material, Sterile Dental Yarns, Sterile Tissue Adhesives For Surgical Wound Closure, Dental Haemostatics, Fountain Pen Ink, Ball Pen Ink, Candles, Silicon Wafers, Natural Cork Wood Pulp, Children’S Drawing Books, Calendars, Ceramic Tableware, Kitchenware, Toilet Articles, Lenses Used In Spectacles, Barbed Wire Of Iron And Steel, Screw, Bolts, Nuts, Sewing/Knitting Needles, Lpg Stoves, Aluminium Utensils, Bicycles, Spectacle Lens, Sports Goods, Art Works, Antiques, Curtains, Toilet Linen, Blankets and Travelling Rugs, Bed Linen, Kitchen Linen, Terry Toweling, Terry Fabrics, Napkins, Mosquito Nets, Life Jackets, Man-made Apparel (Highlighted Goods Above INR 1000), All synthetic filament yarn, such as nylon, polyester, acrylic, All artificial filament yarn, such as viscose rayon, Cuprammonium, Wet grinders consisting of stone as grinder, Tanks and other armoured fighting vehicles, Condensed milk, Refined sugar and sugar cubes, Pasta, Curry paste, mayonnaise and salad dressings, mixed condiments and mixed seasoning, Diabetic food, Medicinal grade oxygen, Hand bags and shopping bags of jute and cotton, Hats (knitted or crocheted), Parts of specified agricultural, horticultural, forestry, harvesting or threshing machinery, Specified parts of sewing machine, Spectacles frames, Furniture wholly made of bamboo or cane, drinking water packed in 20 litre bottles, sprinklers Mechanical Sprayer, bamboo wood building joinery, drip irrigation system, bamboo flooring, Cork roughly squared or debagged, Articles of natural cork, Agglomerated cork, Supplies of Railways wagons & coaches (without refund of accumulated ITC), Other Job Work, Hotels (Room Tariff from Rs 1,001 to Rs 7,500), Woven/ Non-woven Polyethylene Packaging bags, Slide Fasteners, Protein Powder etc.
    18%Tetra Pak, Tar Whether from Coal, Coal Gasification Plants, Producer Gas Plants and Coke Oven Plants, Machines for Cleaning, Sorting or Grading, Seed, Grain Pulses, Pawan Chakki that is Air Based Atta Chakki, Wet Grinder, Machines for Cleaning, Fruit or Other Agricultural Produce and its Parts, Milking Machines and Dairy Machinery, Drawing and Marking out Instruments, Bicycle Pumps, Power Driven Water Pumps, Deep Tube-well Turbine Pumps, Submersible Pumps, Printing, Writing or Drawing Ink, Led Lights, Fixtures, LED Lamps, Knives with Cutting Blades, Paper Knives, Blades Therefor, Spoons, Forks, Ladles, Skimmers, Cake Servers, Railway Parts, Locomotives & Other Goods, Pens, Scrap of Polyurethanes and Other Plastics, Ores and concentrates, Iron, Copper, Aluminum, Zinc, Handwash Sanitizer, Preserved Vegetables, Tissues, Envelopes, Tampons, Note Books, Cornflakes, Pastries And Cakes, Jams, Jellies, Sauces, Soups, Ice Cream, Instant Food Mixes, Steel Products, Disinfectants, Household Plastic Products, Hot Water Bottles, Printed Circuits, Speakers, Camera, Smartphones, Infant Use Preparations, Waffles, Jams, Tea Concentrates, Sharbet, Mineral/Aerated Water (Without Sugar), Lpg For Domestic Supply By Ioc, Hpcl, Bpcl, Petroleum Jelly, Paraffin Wax, Petroleum Coke, Petroleum Bitumen, Nicotine Polacrilex Gum, Essential Oils, Hair Oil, Dentrifices -Toothpaste, Soap, Whey Proteins & Fitness Supplements, Gelatin, Propellant Powder, Insecticides, Fungicides, Toilet Paper, Notebooks, Helmets, Headgears, Copper Bars, Rods, Wires, Copper Screws, Nuts, Bolts, Nickel Bars, Rods, Nickel Screw, Nuts, Bolts, Nickel Tubes, Pipes, Netting, Aluminium Ingots, Rods, Wires, Lead Plates, Sheets, Strips, Zinc Goods, Tin Bars, Rods, Padlocks, Locks, Braille Typewriters, Manmade Fibres,Footwear above INR 1000, Biscuit, School Bags, Printers, Tractors Parts, Poster Colour, Marble, Granite, Cables, Insulated Conductors, electrical insulators, electrical plugs, switches, sockets, fuses, relays, electrical connectors, Electrical boards, panels, consoles, cabinets etc for electric control or distribution, Particle/fibre boards and ply wood. Article of wood, wooden frame, paving block, Furniture, mattress, bedding and similar furnishing, Trunk, suitcase, vanity cases, briefcases, travelling bags and other handbags, cases, Detergents, washing and cleaning preparations, Liquid or cream for washing the skin, Shampoos; Hair cream, Hair dyes (natural, herbal or synthetic) and similar other goods; henna powder or paste, not mixed with any other ingredient, Pre-shave, shaving or after-shave preparations, personal deodorants, bath preparations, perfumery, cosmetic or toilet preparations, room deodorisers, Perfumes and toilet waters, Beauty or make-up preparations, Fans, pumps, compressors, Lamp and light fitting, Primary cell and primary batteries, Sanitary ware and parts thereof of all kind, Articles of plastic, floor covering, baths, shower, sinks, washbasins, seats, sanitary ware of plastic, Slabs of marbles and granite, Goods of marble and granite such as tiles, Ceramic tiles of all kinds, Miscellaneous articles such as vacuum flasks, lighters, Wrist watches, clocks, watch movement, watch cases, straps, parts, Articles of cutlery, stoves, cookers and similar non electric domestic appliances, Razor and razor blades. Multi-functional printers, cartridges, Office or desk equipment, Door, windows and frames of aluminium, Articles of plaster such as board, sheet, Articles of cement or concrete or stone and artificial stone, Articles of asphalt or slate, Articles of mica, Ceramic flooring blocks, pipes, conduit, pipe fitting, Wall paper and wall covering, Glass of all kinds and articles thereof such as mirror, safety glass, sheets, glassware, Electrical, electronic weighing machinery, Fire extinguishers and fire extinguishing charge, Fork lifts, lifting and handling equipment, Bull dozers, excavators, loaders, road rollers, Earth moving and levelling machinery, Escalators, Cooling towers, pressure vessels, reactors, Crankshaft for sewing machine, tailor’s dummies, bearing housings, gears and gearing; ball or roller screws; gaskets, Electrical apparatus for radio and television broadcasting, Sound recording or reproducing apparatus, Signalling, safety or traffic control equipment for transports, Physical exercise equipment, festival and carnival equipment, swings, shooting galleries, roundabouts, gymnastic and athletic equipment, All musical instruments and their parts, Artificial flowers, foliage and artificial fruits, Explosive, anti-knocking preparation, fireworks, Cocoa butter, fat, oil powder, Extract, essence ad concentrates of coffee, miscellaneous food preparations, Chocolates, Chewing gum / bubble gum, Malt extract and food preparations of flour, groats, meal, starch or malt extract, Waffles and wafers coated with chocolate or containing chocolate, Rubber tubes and miscellaneous articles of rubber, Goggles, binoculars, telescope, Cinematographic cameras and projectors, image projector, Microscope, specified laboratory equipment, specified scientific equipment such as for meteorology, hydrology, oceanography, geology, Solvent, thinners, hydraulic fluids, anti-freezing preparation, second-hand medium & SUVs, Bio-fuels powered buses, Sugar boiled confectionery, admission to theme parks, water parks, Lithium-ion batteries, Food grinders, mixers, Vaccum cleaners, Shavers, hair clippers, Storage water heaters, Water cooler, Ice cream freezer, Paint, Electric smoothing irons, Refrigerators, Perfumes, Hand dryers, Cosmetics, Scents, Varnishes, Trailers, Special Purpose Vehicle, Work Truck, Photographs, Mirrors, Toilet Spray, Hair Curlers, Bamboo Flooring, TV (up to 68 cm i.e. 27 inches), putty, washing machine, Concrete Mixer, TVs and Monitor screen of up to 32 inches screen size, Pulleys, transmission shafts, and cranks, gearboxes, etc. falling under HS Code 8483, Re-treaded or used pneumatic tires of rubber, Power banks having lithium ion batteries note that Lithium-ion batteries are currently at 18%, Parts and accessories for the carriages for disabled persons, Digital cameras and video camera recorders, Hotels (Room Tariff of Rs.7501 or above), Almond Milk, etc.
    28%Automobiles, Motorcycles, Chocolate Not Containing Cocoa, Aerated Water, Dishwasher, Atm, Vending Machines, Aircraft For Personal Use, Yachts, Powder, Chocolates, Instant, Aroma Coffee, Coffee Concentrates, Custard Powder, Protein Concentrates, Sugar Syrups, Aerated Water (With Sugar), Artists’, Students’ Or Signboard Colours, Wall Fillings, Dental Floss, Toothpaste, Liquid Soap, Commercial Plastic Products, Rubber Tyres, Fur & Artificial Fur Apparel, Particle Board, Plywood, Headbands, Felt Hats, Wigs, False Beards, Eyelashes, Artificial Flowers, Plaster, Calcerous Stone, Tempered Glass, Stoves (Other Than Kerosene Stove And Lpg Stoves), Barbecues, Braziers, Gas-Rings, Electrical Hot Plates, Electrical Heaters, Aluminium Foil, Razors, Manicure, Pedicure Sets, Air-conditioners, Printer, Photocopier, Fax Machines, Motor Cars,  Pianos, Revolvers, Monitor screen of more than 32 inches screen size, Furniture, portland cement, electric batteries, etc.
    28% (with Cess)Luxury and De-Merits Goods, Caffeinated Beverages + 12% Cess

    GST on Loans and Advances 

    Before GST, there was a Service Tax which was levied on an allotment of loans. The rate of Service Tax was 15% which has now increased to 18% for GST. According to the opinion of lots of people, the effective loan amount will increase due to higher GST rates by 3% over Service Tax rates. While others say that increased GST rates will increase EMIs. However, all the doubts of people will also be cleared that GST is not collected on repayment of loan or payment of interest on the loan.  

    GST is levied on the processing charges and any other charges rather than the principal repayment and interest payment amount. Among others, the included charges are Loan Processing, Loan Prepayment Charges, etc, if any. Since a major part of the loan repayment consists of principal repayment and interest payment, the GST effect on loans would tend to be negligible. To have a better understanding of the GST impact have a look at the mentioned GST impacts on loans. 

    The important loans and their respective GST rates are listed down here.

    GST on Cars

    Since the implementation of GST on cars, the GST rates on all personal use vehicles have been fixed at 28% no matter whether the vehicle is petrol-powered or diesel-powered. Other than this, a composition cess is also levied on cars over the announced GST rates. This, in turn, estimated the applicable tax rates on vehicles under GST between 29% to 50%. However, vehicles using cleaner technologies such as fuel cells (e.g. hydrogen fuel cells) and electric vehicles attract subsidized lower rates of taxation. Know more about GST on cars.

    GST on Gold In India

    Since gold-made items (jewellery) are brought into the GST system, the rates applicable are 3%. However, a 5% GST is also levied as jewellery-making charges if the manufacturing task is being outsourced from a job worker. The Jeweler is liable to claim these making charges as an input tax credit (ITC) which in turn calculates the final bill to be paid by the purchaser only at a chargeable 3% GST charge. Know more about GST on Gold and its impact on the gold industry. 

    GST On Real Estate

    In the real estate sector, the GST is levied only on the purchase of an under-development property. After the inclusion of real estate under the GST regime, the applicable tax rates on commercial and residential transactions were 12% valid till 31st March 2019. But, from the very next day, Ist April, the GST rates on residential real estate have been altered to 5% for non-affordable housing properties while for affordable housing properties levied tax rate is 1%. on the other hand, the ready-to-move-in property is not liable to attract any GST. In addition to this, various building materials used for the construction of houses/flats that fall under GST are taxable from 5% (sand, marble rubble, etc.) to 28% (cement, etc.). Know more about GST’s impact on real estate in India. 

    Products Likely to Introduce Under GST Slab Rates

    The Government is considering some new tactics so that a few new products could also be brought into the GST system. The Finance Minister hinted the same that the government could include other products under GST with tax rates reduction on some products. The highly anticipated products to introduce under the GST rates slab include:

    GST Impact on Indian Economy

    The introduction of GST has turned the Indian economy upside-down and it became only possible by bringing in the net appropriate price for the goods and services under a single taxation system. A few of the important GST rate impacts on the Indian economy are listed below:

    Increase in Production, Increase in Competition

    The GST implementation in the country has brought down the prices of goods and services and consequently, the final consumer experiencing less tax burden on the goods and services. It has been seen that the GST system has extended the scope of increased production which increases competition. 

    Simple Tax Structure 

    The introduction of the single taxation system, GST has simplified the calculation of tax to a greater extent. In addition to this, the existing multiple taxations have been superseded which results in saving of time and money. 

    Uniform Tax Regime 

    Earlier, the applicable multiple taxes at almost every stage of supply made the taxpayers confused. But with the GST, a uniform tax system has been established in the country for an easy collection of tax. 

    Increase in Exports

    Since the day GST got imposed in the Indian economy, the cost of production has been seen falling. Consequently, the competition towards international markets has increased which directly impacted the exports positively.

    Protest Against GST Rates

    The implementation of GST brought various traders, cloth merchants, and private security agencies to protest against GST rates. Cloth merchants were in protest against the 5 % sales tax on textiles under this new tax regime while the iron, wire dying and steel traders were opposing high GST rates. The steel traders were pushing their forces to prove GST high rates and elaborated paper works responsible for a 40% collapse in trade 

    Also, the owners and employees of private security agencies silently held a protest against the levied GST rates of 18% on security services because with the higher GST rates a major part of their wages and benefits were taken away from them. 

    GST Rates on Services

    The government implied GST on services, which follows a similar 4-tier tax structure as on goods. The GST rates of 5%, 12%, 18% and 28% on goods, were affecting consumers with several pros and cons on services. However, services such as healthcare and educational services were excluded from GST. The passed GST rates slabs from the GST council consist of NIL, 5%, 12%, 18%, and 28% rates on different services. Some of them are mentioned below under different categories. 

    Nil GST

    Chargeable services are offered on Basic Savings Bank Deposit (BSBD) accounts opened under the PMJDY (Pradhan Mantri Jan Dhan Yojana)

    5% Tax Slab

    12% Tax Slab

    18% Tax Slab

    28% Tax Slab

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