Overview

• New CBIC guidance outlines specifics ahead of rollout, including 5% on ready‑to‑eat popcorn, exemptions for individual life and health insurance, and options for renting cars at 5% with limited ITC or 18% with full ITC.
• Finance Minister Nirmala Sitharaman says over 350 items saw cuts and about 99% of goods previously at 12% move to 5%, with many food items now at 5% or zero.
• FMCG companies plan to keep Rs 5, Rs 10 and Rs 20 MRPs unchanged and pass on benefits by increasing pack quantity, while large players have told the government they will transmit gains to consumers.
• Administrative changes include three‑day registration, automatic provisional refunds of 90% and standardized classifications to reduce disputes and speed compliance.
• Analysts report revenue exposure near ₹93,000 crore from the reset, with media citing finance ministry expectations of roughly a ₹48,000 crore fiscal gap this year.