Overview

• The new structure leaves only 5% and 18% slabs, scrapping 12% and 28%, with changes taking effect on 22 September.
• Individual life and health insurance premiums move to a 0% rate, alongside staples such as UHT milk, paneer, roti and pizza bread.
• Daily-use items like shampoos, soaps and cooking oil shift to 5%, while many 28% goods move to 18%, including small cars, air-conditioners, refrigerators and cement.
• A new 40% slab targets sin and super‑luxury goods, covering tobacco products, flavored sugary carbonated drinks and private jets.
• Prime Minister Narendra Modi calls the package next‑generation GST reform benefiting households and MSMEs, with Council approval across Centre and states.