New GST rates have been implemented nationwide. As a result, daily-use products, including food and beverages, have become cheaper. Previously, there were four GST slabs, but now only two remain. Only the 18% and 5% GST slabs will be applicable. The question is whether LPG cylinder prices will decrease.
Customers will need to understand the impact of the new GST slabs on domestic and commercial cylinder prices. The government decided to reform the GST at the GST Council meeting on September 3rd. This is a major step in the GST field since 2017, and it will provide significant relief to the general public.
How much cheaper will LPG cylinders become?
The new GST reforms will not affect LPG cylinders. Before the 22nd, commercial LPG cylinders were subject to an 18% GST, while domestic LPG cylinders were subject to a 5% GST. Even after the new GST reforms, LPG cylinders remain in the same tax slabs. The implication is clear: there will be no change in the prices of domestic and commercial cylinders. Customers will have to spend the same amount as before.
GST reduced on these items
The central government has exempted several products from GST. Many edible items, such as ghee, cheese, butter, and pickles, have been exempted from GST. Now, these items may become significantly cheaper. FMCG companies are preparing for a price reduction. The direct benefit will be felt by customers.
With the implementation of the new GST slab, items like cars, televisions, washing machines, and air conditioners will also become significantly cheaper. According to a report, the price of TVs will decrease by between ₹2,500 and ₹85,000. Additionally, room ACs may decrease by around ₹4,700 and dishwashers by around ₹8,000.
Vehicles will also become cheaper.
Small vehicles have been placed in the 18% GST slab. Large, or luxury, vehicles have been taxed at 28%. This means that small vehicles previously attracted a 28% GST. This has been reduced by 10% since the 22nd.
Vehicles 4 meters or smaller have now become significantly cheaper. 33 life-saving medicines have been exempted from GST, resulting in lower rates. The GST on medical devices has been reduced. Now, a total of 5% GST will be charged.