GST Rate Cuts 2025: What’s Cheaper, What’s Costlier for Consumers

The government has announced major GST rate cuts in 2025, making essentials, healthcare, education, and even automobiles more affordable. From daily-use goods to farming equipment and electronics, here’s a quick look at what’s cheaper and what’s costlier for consumers.

Save Big on Daily Essentials

Items	From	To
Hair Oil, Shampoo, Toothpaste, Toilet Soap Bar, Tooth Brushes, Shaving Cream	18%	5%
Butter, Ghee, Cheese & Dairy Spreads	12%	5%
Pre-packaged Namkeens, Bhujia & Mixtures	12%	5%
Utensils	12%	5%
Feeding Bottles, Napkins for Babies & Clinical Diapers	12%	5%
Sewing Machines & Parts	12%	5%

Uplifting Farmers & Agriculture

Items	From	To
Tractor Tyres & Parts	18%	5%
Tractors	12%	5%
Specified Bio-Pesticides, Micro-Nutrients	12%	5%
Drip Irrigation System & Sprinklers	12%	5%
Agricultural, Horticultural or Forestry Machines for Soil Preparation, Cultivation, Harvesting & Threshing	12%	5%

Relief in Healthcare Sector

Items	From	To
Individual Health & Life Insurance	18%	Nil
Thermometer	18%	5%
Medical Grade Oxygen	12%	5%
All Diagnostic Kits & Reagents	12%	5%
Glucometer & Test Strips	12%	5%
Corrective Spectacles	12%	5%

Automobiles made affordable

Items	From	To
Petrol & Petrol Hybrid, LPG, CNG Cars (not exceeding – 1200 CC & 4000mm)	28%	18%
Diesel & Diesel Hybrid Cars (not exceeding – 1500 CC & 4000mm)	28%	18%
3 Wheeled Vehicles	28%	18%
Motor Cycles (350 CC & below)	28%	18%
Motor Vehicles for transport of goods	28%	18%

Affordable Education

Items	From	To
Maps, Charts & Globes	12%	Nil
Pencils, Sharpeners, Crayons & Pastels	12%	Nil
Exercise Books & Notebooks	12%	Nil
Eraser	12%	Nil

Save on Electronic Appliances

Items	From	To
Air Conditioners	28%	18%
Television (above 32”) (including LED & LCD TVs)	28%	18%
Monitors & Projectors	28%	18%
Dish Washing Machines	28%	18%

PROCESS REFORMS

Registration

• Automatic registration within 3 working days for applicants: identified by the system based on data analysis.
• Who determines that he would not pass Input Tax Credit exceeding ₹2.5 Lakh per month and opts for the Scheme.

Refund

• Sanction of Provisional Refunds by proper officer, through system based risk evaluation for:
• Zero Rated Supplies
• Supplies with Inverted Duty Structure