GST Slab Rate – 4 Slabs from 5% to 28% Aster bIlling

Aster bIlling

GST Slab Rate – 4 Slabs from 5% to 28%

GST slab rate is recently finalized by GST Council. It seems the India is moving one step ahead towards implementation of GST a common tax for goods and services. The GST will be a game changer for the Indian economy as it will abolish many indirect taxes and bring all of them in the single window. GST will also remove the interstate barrier for trading in goods and services. However, looking at GST slab rate it will bring inflation for the common man. It is anticipated that GST will be implemented from 1st April, 2017. Let’s take a look at GST Slab rate and its impact on common man like you and me.

GST Slab Rate – 4 Slabs from 5% to 28%

As per present agreement GST will be implemented in 4 slabs from 5% to 28%. GST shall cover each and every product and services sold and offered in India.

Under 0% Tax Rate – All commodity items such as food grains, rice, wheat and item comprising of 50% consumer price index will fall under this slab.

GST 1^st Slab 5% Tax – All mass consumption items such as spices, tea, mustard oil will fall under this tax slab.

GST 2^nd Slab 12% Tax – Process food items such as bread, cheese, readymade meals, milk will fall under this tax slab.

GST 3^rd Slab 18% Tax – Under this tax slab item such as soaps, oil, toothpaste, refrigerator and smartphone is included.

GST 4^th Slab 28% Tax – This tax slab will include luxury goods, luxury cars, tobacco products, pan masala and aerated drinks etc. There will be additional cess and clean energy cess on the top of the highest tax rate.