In good news for Indian consumers, the government has made big changes to the Goods and Services Tax (GST) to make life easier and more affordable. BJP MP Medha Kulkarni praised Prime Minister Narendra Modi and Finance Minister Nirmala Sitharaman for simplifying the GST system.
She explained that the GST, which used to have four different tax slabs, has now been cut down to just two main slabs: 5% and 18%. There’s still a higher 40% rate for ultra-luxury items, but most everyday essentials are now taxed at lower rates, or not taxed at all.
In fact, common household items like ghee are now entirely exempt from GST, making them more affordable for families. Agricultural goods, which were taxed at 12%, are now at just 5%, helping farmers and consumers alike. Medical products and insurance policies have also benefited from lower GST rates, reducing costs for many.
Kulkarni called these reforms a “Diwali gift” for the people and said they support Prime Minister Modi’s promise to make GST more citizen-friendly. She added that these changes will help ease expenses for families, especially during festive seasons like Ganesh Utsav, which is currently celebrated across Maharashtra.
Prime Minister Modi echoed this positivity on social media, saying the new GST measures are part of his vision for a healthier and stronger India. He highlighted that these reforms will make essential food and cooking items more affordable, contributing to the government’s goal of a “Swasth Bharat” (Healthy India). Modi also linked these changes to other initiatives like Ayushman Bharat and POSHAN Abhiyaan, which aim to improve health and nutrition for all.
Over the past decade, Modi pointed out, India has seen many bold reforms, including corporate tax cuts, the introduction of GST, and easier income tax rules. These steps have helped boost the economy, attract investments, and improve India’s credit rating. The new GST reforms continue this journey to simplify the tax system, promote growth, and increase fairness.
PM Modi also emphasized the importance of the rural economy, especially the dairy sector. He said that initiatives like the Rashtriya Gokul Mission and support for cooperatives have helped dairy farmers and strengthened nutritional security. The recent GST reforms are another move to empower farmers, add value to dairy products, and make them more affordable for households.
Overall, these reforms aim to benefit millions of Indians by making everyday essentials cheaper and easing the financial burden on families. As India moves forward, these changes are seen as a positive step towards building a stronger, healthier, and more inclusive nation.
