The burden of inflation has increased on the general public today. After the meeting of the GST Council, the government has changed the tax rates on many products and services, due to which you will have to pay more GST on many items from today. The GST Council has decided to increase the rate of tax on many things used by the common man, while it has decided to do away with the GST exemption on many goods.
The new rates of GST have come into effect from today i.e. 18th July, so you should know from today which services and products you will have to spend more money on.
From today onwards, GST will be applicable on packaged and flat products at the rate of 18 percent. At the same time, earlier it was taxed at the rate of only 5 percent. Apart from this, new rates of 12 percent GST will be applicable on coconut water and 12 percent on the raw material of shoes.
Products like fish, curd, paneer, lassi, honey, dry makhana, dry soybean, peas, wheat, and other cereals, and puffed rice will now attract 5% GST. Let us tell you that till now these items were exempted from GST.
Maps and charts including the atlas will attract a 12 percent fee. Apart from this, unpacked, unlabeled, and unbranded goods will be exempted from GST.
Hotel rooms costing less than Rs 1,000 per day will attract a 12 percent tax. At present, it comes under the category of exemption. Apart from this, 5 percent GST will be levied on hospital room rent above Rs 5,000 per day (excluding ICU). A solar water heater will now attract 12 percent GST as compared to the earlier 5 percent.
Apart from this, products used for 'printing/drawing ink', sharp knives, paper-cutting knives and 'pencil sharpeners, and LED lamps, used for drawing and marking will attract tax at the rate of 18 percent. Solar water heaters will now attract 12 percent GST, which was five percent earlier.
Construction contracts for roads, bridges, railways, metro, waste treatment plants, and crematoriums will now attract 18 percent GST as against 12 percent so far. However, the tax rate on transport of ropeways and certain surgical instruments and passengers has been reduced to five percent. At the same time, earlier they were taxed at 12 percent. Trucks and vehicles used for transportation including fuel costs will now attract 12 percent GST as against 18 percent at present.