{"id":7138,"date":"2022-02-22T15:03:57","date_gmt":"2022-02-22T09:33:57","guid":{"rendered":"https:\/\/www.tickertape.in\/blog\/?p=7138"},"modified":"2022-05-24T10:17:01","modified_gmt":"2022-05-24T04:47:01","slug":"gst-rate","status":"publish","type":"post","link":"https:\/\/www.tickertape.in\/blog\/gst-rate\/","title":{"rendered":"GST Slab Rates 2022: List of Goods and Services Tax Slabs in India"},"content":{"rendered":"\n<p>The <a href=\"https:\/\/www.tickertape.in\/blog\/what-is-gst\/?utm_source=blog&amp;utm_medium=article&amp;utm_campaign=\">Goods and Services Tax (GST)<\/a> was implemented by the Government of India on 1 July 2017. It replaced a large number of indirect taxes. Under <a href=\"https:\/\/www.tickertape.in\/blog\/what-is-gst\/\">GST<\/a>, goods and services are taxed under different tax slabs. In India, there are 5 <a href=\"https:\/\/www.tickertape.in\/blog\/income-tax-slab\/?utm_source=blog&amp;utm_medium=article\">tax slabs<\/a> currently &#8211; 0%, 5%, 12%, 18% and 28%. With the exception of petrol and petroleum products, alcohol, and electricity, all goods and services are taxed in accordance with the slabs.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_66_1 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.tickertape.in\/blog\/gst-rate\/#One-nation-one-tax\" title=\"One nation, one tax\">One nation, one tax<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.tickertape.in\/blog\/gst-rate\/#On-what-basis-are-goods-and-services-taxed\" title=\"On what basis are goods and services taxed?&nbsp;\">On what basis are goods and services taxed?&nbsp;<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.tickertape.in\/blog\/gst-rate\/#0-or-no-tax\" title=\"0% or no tax\">0% or no tax<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.tickertape.in\/blog\/gst-rate\/#5\" title=\"5%&nbsp;\">5%&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.tickertape.in\/blog\/gst-rate\/#12\" title=\"12%&nbsp;\">12%&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.tickertape.in\/blog\/gst-rate\/#18\" title=\"18%&nbsp;\">18%&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.tickertape.in\/blog\/gst-rate\/#28\" title=\"28%&nbsp;\">28%&nbsp;<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.tickertape.in\/blog\/gst-rate\/#Recent-GST-updates\" title=\"Recent GST updates\">Recent GST updates<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.tickertape.in\/blog\/gst-rate\/#Changes-made-in-the-45th-GST-council-meeting\" title=\"Changes made in the 45th GST council meeting\">Changes made in the 45th GST council meeting<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.tickertape.in\/blog\/gst-rate\/#Latest-GST-rates-on-key-goods\" title=\"Latest GST rates on key goods\">Latest GST rates on key goods<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.tickertape.in\/blog\/gst-rate\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\" id=\"one\"><span class=\"ez-toc-section\" id=\"One-nation-one-tax\"><\/span><strong>One nation, one tax<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>GST was introduced in India in place of 16 different and cumbersome taxes like sales tax, VAT, excise duty, etc., and 23 types of cesses that were previously being imposed. This move was implemented in order to prevent the cascading effect of taxes, tax evasion, double taxation, and corruption. The goal was simple &#8211; One Nation, One Tax.&nbsp;<\/p>\n\n\n\n<p>Unlike other countries which have adopted GDP, India did not opt for the 1 or 2 slabs tax system. This was done in consideration of the inflationary pressures such a decision could cause. Fortunately, the one major worry that inflation would increase due to GST did not happen.<\/p>\n\n\n\n<p>However, there were a few difficulties too. Some believe that the Government rushed into implementing GST and instead should have opted for a slow and steady process of integrating it. An increase in the number of compliances and the digitization of everything made it hard for some uninformed people to conduct business.&nbsp;<\/p>\n\n\n\n<p>While the multi-slab system might have been necessary, it also complicated the taxation system, creating a general preconception that GST was a mess.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"on\"><span class=\"ez-toc-section\" id=\"On-what-basis-are-goods-and-services-taxed\"><\/span><strong>On what basis are goods and services taxed?&nbsp;<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The Government introduced 5 different tax slabs to ease the burden of indirect taxes.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"0-or-no-tax\"><\/span><strong>0% or no tax<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>No tax is imposed on regular consumables and basic necessities goods like milk, butter, flour, salt, etc. Also included are services offered on Pradhan Mantri Jan Dhan Yojana and Basic Savings Bank Deposit, and on hostels which charge less than Rs. 1,000 per day, etc.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"5\"><\/span><strong>5%&nbsp;<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Air <a href=\"https:\/\/www.tickertape.in\/blog\/effective-money-saving-travel-hacks\/\">travel<\/a>, the printing of newspapers, leasing of aircraft, tour service operators, etc.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"12\"><\/span><strong>12%&nbsp;<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Rail transportation (for services by any other than Indian Railways), movie tickets that cost less than Rs. 100, hostels which charge between Rs. 1,001 to Rs. 7,500 per day, food\/drinks without A\/C, etc.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"18\"><\/span><strong>18%<\/strong>&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Food\/drinks at venues with a liquor license and\/or AC, outdoor catering, theatres and drama, movie tickets over Rs. 100, monitors, speakers, notebooks, furniture, and so on.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"28\"><\/span><strong>28%&nbsp;<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Betting and gambling, 5-star establishment services, sporting events like IPL, washing machines, automobiles, tobacco, aerated drinks, water heater, personal care items, etc.<\/p>\n\n\n\n<p><strong><em>Note: <\/em><\/strong><em>This is not an exhaustive list.<\/em><\/p>\n\n\n\n<p>Usually, the goods are placed into slabs according to the level of necessity\/luxury associated with them. Most basic necessities are placed in the 0-5% tab, while luxuries are placed in the 18-28% tab. Another point to be noted is that GST rates are not uniform in a sector since different goods from the same sector\/industry are charged different rates.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"recent\"><span class=\"ez-toc-section\" id=\"Recent-GST-updates\"><\/span><strong>Recent GST updates<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>GST slabs and rates on different goods and services are revised periodically. Certain new changes have been made that come to effect from 1<sup> <\/sup>January 2022. Read on to find out more about the changes.<\/p>\n\n\n\n<p>The following key goods and services have changed their GST rate effective from 1<sup> <\/sup>January 2022.<\/p>\n\n\n\n<ul><li>The GST rate on textiles (knitted fabrics, knitting, saree falls, embroidery works, curtains, bed linen, home furnishings, and dyeing services) has been increased from 5% to 12%. The industry is already suffering through increased input costs. This move is expected to hinder the industry\u2019s growth.<\/li><li>Tax on carriages for disabled persons will be reduced from 18% to 12%.<\/li><li><a href=\"https:\/\/www.tickertape.in\/blog\/buying-stocks-gets-as-convenient-as-making-online-purchases\/\">E-commerce<\/a> operators are now liable to pay GST on delivery and transport services. Companies like <a href=\"https:\/\/www.tickertape.in\/blog\/zomato-received-underweight-rating\/\">Zomato<\/a>, Ola, Swiggy, etc., will be affected.&nbsp;<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"changes\"><span class=\"ez-toc-section\" id=\"Changes-made-in-the-45th-GST-council-meeting\"><\/span><strong>Changes made in the 45<\/strong><strong><sup>th<\/sup><\/strong><strong> GST council meeting<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The taxes on the following goods and services were decreased:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Item<\/strong><\/td><td><strong>Old tax rate<\/strong><\/td><td><strong>New tax rate<\/strong><\/td><\/tr><tr><td>Import of life-saving drugs like Viltepso or as advised by an appropriate government department<\/td><td><br>12%<\/td><td><br>Nil<\/td><\/tr><tr><td>IGST on goods sold at Indo-Bangladesh border&nbsp;<\/td><td><br>Applicable rate<\/td><td>&nbsp;0%<\/td><\/tr><tr><td>Air and water transportation of goods abroad extended up to 30 September 2022<\/td><td><br>0%<\/td><td><br>0%<\/td><\/tr><tr><td>Paid national permit grants to goods carriages&nbsp;<\/td><td><br>18%<\/td><td><br>0%<\/td><\/tr><tr><td>Skill enhancement courses ( for when the state\/central government funds 75% or more of the expenditure)<\/td><td><br>18%<\/td><td>&nbsp;0%<\/td><\/tr><tr><td>Services on the 2022 AFC Women&#8217;s Asia Cup&nbsp;<\/td><td><br>18%<\/td><td><br>0%<\/td><\/tr><tr><td>\u2018Keytruda\u2019 cancer treatment drug<\/td><td><br>12%<\/td><td><br>5%<\/td><\/tr><tr><td>Biodiesel, sold for the purpose of blending with diesel<\/td><td><br>12%<\/td><td><br>5%<\/td><\/tr><tr><td>Rice grains for the Integrated Child Development Services (ICDS) Scheme, etc.<\/td><td><br>18%<\/td><td><br>5%<\/td><\/tr><tr><td>Retro fitment kits in carriages for the disabled<\/td><td>Applicable rate<\/td><td>5%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>Taxes on the following goods and services were increased:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Item<\/strong><\/td><td><strong>Old tax rate<\/strong><\/td><td><strong>New tax rate<\/strong><\/td><\/tr><tr><td>Polyurethanes and other plastics wastes<\/td><td>5%<\/td><td>18%<\/td><\/tr><tr><td>Cartons, bags, boxes, paper packing containers, etc<\/td><td><br>12-18%<\/td><td><br>18%<\/td><\/tr><tr><td>Paper products like cards, printed catalogs, etc specified under Chapter 49<\/td><td><br>12%<\/td><td><br>18%<\/td><\/tr><tr><td>Entertainment sector-related services like licensing, broadcasting, and showing original films, television programs, radio, sound recordings, etc.<\/td><td><br>12%<\/td><td><br>18%<\/td><\/tr><tr><td>Printing and reproducing recorded media&nbsp;<\/td><td>12%<\/td><td>18%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>GST rate corrections for inverted tax structure:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Item<\/strong><\/td><td><strong>Old tax rate<\/strong><\/td><td><strong>New tax rate<\/strong><\/td><\/tr><tr><td>Certain renewable energy tools and parts<\/td><td>5%<\/td><td>12%<\/td><\/tr><tr><td>Ores and metal concentrates<\/td><td>5%<\/td><td>18%<\/td><\/tr><tr><td>Pens (all types)<\/td><td>12-18%<\/td><td>18%<\/td><\/tr><tr><td>Railway parts, locomotives, and goods in Chapter 86<\/td><td>12%<\/td><td>18%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>All of these changes came into effect from 1 October 2021 onwards.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Latest-GST-rates-on-key-goods\"><\/span><strong>Latest GST rates on key goods<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li><strong>Food and beverages: <\/strong>All the goods have fallen down by one slab. For instance, foods that were taxed at 28% earlier will now be taxed at 18%.<\/li><li><strong>Daily-use household goods:<\/strong> Most goods have fallen down by one tax slab. For instance, goods that were taxed at 5% earlier are now not taxable at all.<\/li><li><strong>Educational items:<\/strong> Tax has been reduced from 28% to 12%.<\/li><li><strong>Agricultural Items:<\/strong> Goods taxed at 18% are being taxed at 12%, and goods that were being taxed at 12% are being taxed at 5%.<\/li><li><strong>Loans:<\/strong> GST is 18% for personal, home, and car loans.&nbsp;<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><strong>Conclusion<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Overall, there is a positive outlook towards GST and it has the potential to boost the economy, and also possibly shift up India\u2019s position on the <em>\u201cease of doing business\u201d <\/em><a href=\"https:\/\/www.tickertape.in\/blog\/stock-market-index\/\">index<\/a> as the taxation system faces more improvements. Also, the Government must take further care to ease the compliance process, reduce costs, and enable people from all facets to stay informed about GST.&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Wondering what are the latest GST tax rates? Find the updated GST percent list for different items &#038; check the different tax slab rates. Click here to know more!<\/p>\n","protected":false},"author":45,"featured_media":7131,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"_lmt_disableupdate":"no","_lmt_disable":"no","footnotes":""},"categories":[8,1741],"tags":[714,1350,1349,1348],"acf":[],"modified_by":null,"jetpack_featured_media_url":"https:\/\/www.tickertape.in\/blog\/wp-content\/uploads\/2022\/02\/08.png?wsr","_links":{"self":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts\/7138"}],"collection":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/users\/45"}],"replies":[{"embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/comments?post=7138"}],"version-history":[{"count":6,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts\/7138\/revisions"}],"predecessor-version":[{"id":8467,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts\/7138\/revisions\/8467"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/media\/7131"}],"wp:attachment":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/media?parent=7138"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/categories?post=7138"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/tags?post=7138"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}