Revised GST rates: What is likely to become cheaper
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The council rationalised the 28 per cent slab by bringing down the tax rate on seven items in the highest tax bracket, thereby leaving only 28 items in the slab.
The GST Council on Saturday held a meeting in New Delhi and decided to slash rates for items from 28 per cent. Union Finance Minister Arun Jaitley told media that rates on 23 commonly used goods and services, including TV screens, movie tickets and power banks have been slashed in a move billed to bring relief to the common man.
The council rationalised the 28 per cent slab by bringing down the tax rate on seven items in the highest tax bracket, thereby leaving only 28 items in the slab.
The new tax rates will come into effect from January 1, 2019.
Puducherry Chief Minister V Narayanasamy also interacted with reporters and informed that 33 items have come down from 18% to 12% & 5% as they are common to man’s consumption goods.
Here's taking a look at the revised rates and commodities that will now be available at cheaper prices.
| Items | Previous rate | New rate |
|
Cinema tickets above Rs 100 |
28 | 18 |
|
Cinema tickets up to Rs 100 |
18 | 12 |
|
Power banks of lithium ion batteries |
28 | 12 |
|
Monitors and TVs up to 32 inches |
28 | 18 |
|
Digital cameras and video camera recorders |
28 | 18 |
|
Video game consoles, others under HS code 9504 |
28 | 18 |
|
Third party insurance premium of goods carrying vehicles |
18 | 12 |
|
Vegetables frozen, branded and stacked in a unit container |
5 | 0 |
| Vegetable provisionally preserved but unsuitable in that state for immediate consumption |
5 | 0 |
The new tax rates will come into effect from January 1, 2019. Other items with reduced GST rates include music books, pulleys, transmission shafts, gear boxes, accessories for the carriages for disabled people, among others.
According to the finance minister, the annual revenue implication of the rate cuts would be Rs 5,500 crore.
"Movie tickets up to Rs 100 brought down to 12% and above Rs 100 has been brought down to 18% from 28%. Monitors and Television screens, Tyres, Power banks of Lithium-ion batteries have brought down from 28% to 18% slab. Accessories for carriages for specially abled persons have been brought down to 5%," the finance minister informed.