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The GST Council slashed rates on stationery items like maps, pencils, crayons, and notebooks, making them tax-free.
News18
As the GST Council on Wednesday announced major rate cuts, several stationery items were made tax-free. These items include maps and hydrographic or similar charts of all kinds, including atlases, wall maps, topographical plans, and globes; pencil sharpeners; pencils (including propelling or sliding pencils); crayons; pastels; drawing charcoals and tailor’s chalk; erasers; exercise books; graph books; laboratory notebooks; and notebooks.
Earlier, all of the above-mentioned items fell under the 12% tax slab, except erasers, which were taxed at 5%.
Addressing the press after the 56th GST Council meeting, Union Finance Minister Nirmala Sitharaman announced major Goods and Services Tax (GST) rate cuts, stating that with the newly approved two-tier tax rate system, the common man will benefit greatly.
The Council cleared the Centre’s proposal to streamline the indirect tax structure into a dual slab system of 5% and 18%, with a special 40% slab earmarked for sin and luxury goods.
This overhaul will replace the existing four major slabs — 5%, 12%, 18%, and 28% — with a simplified two-rate system. Under the new framework, essential or “merit” goods will be taxed at 5%, while most goods and services will fall under the 18% standard rate.
The new rates will come into effect from September 22, the first day of Navaratri, Sitharaman announced.
“These reforms have been carried out with a focus on the common man. Every tax on the common man’s daily use items has gone through a rigorous review and in most cases the rates have come down drastically. Labour-intensive industries have been given good support. Farmers and the agriculture sector, as well as the health sector, will benefit. Key drivers of the economy will be given prominence,” Sitharaman said after the GST Council meeting.
The decision marks one of the most significant tax reforms since GST’s rollout in 2017.
The move follows Prime Minister Narendra Modi’s Independence Day promise of a “Diwali gift” in the form of a GST overhaul.
Manisha Roy is a Senior Sub-Editor at News18.com’s general desk. She comes with an experience of over 5 years in media industry. She covers politics and other hard news. She can be contacted at Manisha.Roy@nw18…Read More
Manisha Roy is a Senior Sub-Editor at News18.com’s general desk. She comes with an experience of over 5 years in media industry. She covers politics and other hard news. She can be contacted at Manisha.Roy@nw18… Read More
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