(This piece was originally published by BloombergQuint prior to the GST rollout and provides a comprehensive comparison of the rates of products and services before and after the new tax reform.)
Rates for most items and services under the Goods and Services Tax have been finalised in the two-day meeting of the GST Council that ended on Friday. While the rates on key daily use items like sugar, tea and hair oil have come down, they have been increased for luxury and sin products. Eating out in a five-star restaurant will be taxed at the highest bracket.
BloombergQuint, in collaboration with tax consultancy SKP Business Consulting LLP, breaks down how the rates under GST compare with the current tax structure. The calculations took into account Maharashtra VAT, which means existing rates may vary for other states. Here’s the list:
Toothpaste, Branded Cereals May Cost More
Shampoos, Perfumes May Cost More
Higher Rates On Electrical Hot Plates
Wallpaper, Paints In Highest Slab
Fresh Milk, Vegetables Exempt
No Tax On Condoms, Human Blood
Plastic Products To Cost More
Eating Out, Phone Calls Costlier
(This piece was originally published by BloombergQuint and has been re-published with permission.)
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