New Delhi: The Centre has directed companies to publish revised price lists of consumer goods, including automobiles and durables, reflecting the recent Goods and Services Tax (GST) reductions, The Economic Times reported.
The revised lists, showing both pre- and post-GST rates, will be displayed on the official GST portal to ensure transparency and help consumers gauge the relief expected once the reforms take effect on September 22.
The Central Board of Indirect Taxes and Customs (CBIC) on Wednesday held a detailed meeting with industry associations, business chambers, and officials from the ministries of heavy industry, consumer durables, agriculture, and pharma to smoothen the rollout of the new tax structure.
GST Revamp: Key Highlights
- Two main slabs: 5% and 18%
- Special slab of 40% for super luxury and sin goods
- Rate cuts expected to lower consumer durable prices by ~10% and automobiles by 12–15%
- Government aims for 90% of rate rationalisation benefits to reach consumers
Finance Minister Nirmala Sitharaman, while announcing the reforms on September 3, called it a “major overhaul” aimed at easing consumer burden and boosting consumption.
Industry Response
Officials said industry representatives gave an “encouraging response”, agreeing to pass on tax savings to customers. “While the quantum of benefit may vary from sector to sector, we will work with them to remove any pain points,” an official told The Economic Times.
Executives from FMCG companies, however, urged CBIC to closely monitor prices post-implementation to ensure compliance. They also sought directives mandating proper stickering, revised invoicing, and six-month monitoring to ensure consumers benefit fully.
Fiscal Implications
While the GST cuts are expected to boost private consumption, analysts warn of potential fiscal costs. A Citi report cited by Reuters estimates that moving most goods to the 5% and 18% slabs could lead to a revenue loss of nearly ₹50,000 crore (0.15% of GDP), taking the total policy stimulus for households in FY26 to 0.6–0.7% of GDP.