The most hot topic in India nowadays is Goods and Services tax (GST). Today I would be sharing with you about items under 5% tax slab in GST. Government has categorized 1211 items under various tax slabs. Already GST bill has been successfully passed in all the state assemblies. Prime Minister Modi and his government is making all the efforts for the successful implementation of GST.
From the midnight of 30 June 2017, the GST will come into effect. With the launch of GST ,India will become one tax country. All the taxes including service tax, VAT, cess will get abolished.
Items under 5% tax slab in GST (Goods and Services Tax 2017)
GST tax rates at 5% has been declared by Indian government on the items mentioned below in my article. Here is the list of items under 5% tax slab in GST –
Goods with 5% Tax
Following items will come under the GST tax slab 5% –
Items such as fish fillet, Apparel below Rs 1000, packaged food items, footwear below Rs 500, cream, skimmed milk powder, branded paneer, frozen vegetables, coffee, tea, spices, pizza bread, rusk and sabudana will come under this slab.
Kerosene, coal, medicines, stent, lifeboats, Cashew nut, Cashew nut in shell, Raisin, Ice and snow, Bio gas, Insulin, Agarbatti, Kites, Postage or revenue stamps, stamp-post marks, first-day covers also comes under 5% tax slab.
Services with 5% Tax
Following services come under the tax slab of 5% –
Transport services (Railways, air transport), small restraurants will be under the 5% category because their main input is petroleum, which is outside GST ambit.
Goods and Services Tax (GST) is very new to the people of India. So it becomes very important that you know about what items are charged with what amount of tax. This is more important from the point of view of businessman, traders and merchants as it will directly affect their earnings.
So, this was my GST guide for all the items under GST 5% tax slab. I hope this guide is helpful for you in understanding the goods and service tax.