Goods & Service Tax (GST) is known as the Goods and Services Tax. It is an indirect tax which has replaced many indirect taxes such as the excise duty, VAT, services tax, etc.
What are the final GST rate slabs?
GST has been structured in a way that essential services are placed in the lower tax brackets, while luxury have been placed in the higher tax bracket. Lets dive in
Exempted GST Rate Slab
7% goods and services fall under this category. These goods are part of day to day consumption and are valued less than INR 1000
5% GST Rate Slab
14% goods and services fall under this category. Includes apparel below INR 1000 and footwear below INR 500, packaged food item, medicines, food items etc
12% GST Rate Slab
17% of goods and services fall underthis category. Edible Items, Ayurvedic medicines, cell phones, apparels above INR 1000, Non AC restaurants etc
18% GST Rate Slab
43% of goods and services fall under this category. Pasta, Biscuits, AC Restaurants, Liquor, IT Services, Cameras etc
28% GST Rate Slab
19% of goods and services fall under this category. 5 Star hotel stays, Movie tickets, High end television, motorcycles, personal care items etc.
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