Overview

• The GST Council is scheduled to consider shifting most goods to 5% or 18% tax rates, replacing the current four-tier structure.
• Analysts report a temporary slowdown in online purchases as shoppers wait for potential rate cuts on electronics and appliances.
• Retailers are holding higher inventory levels, and major platforms are working with brands to recalibrate pricing and promotions for October festive sales.
• Projected price reductions include roughly 10% on a ₹1.2 lakh smartphone if the slabs are revised, which is prompting deferred buying.
• Reports also point to a 40% tier for sin goods to replace the compensation cess, while festive e-commerce sales could climb 15–20% if reforms are enacted.