New GST Rates
The rates on several popular home items have been lowered by the Goods and Services Tax (GST) Council. Late on Wednesday, September 3, 2025, the governing board adopted a two-tier rate structure consisting of 5% and 18%, which will take effect on September 22 and replace the previous slabs of 12% and 28%.
- Dairy spreads, butter, ghee, and butter oil: 12% to 5%
- Cheese: between 12% and 5%
- Pre-packaged and labeled paneer or chena: Brazil nuts (dried): from 12% to 5% or 0%
- Almonds, hazelnuts, chestnuts, pistachios, pine nuts, and other dry nuts: between 12% and 5%
- 12% to 5% of dates, figs, pineapples, avocados, guavas, and dried mangoes
- Citrus fruits: 12% to 5% (oranges, mandarins, grapefruit, lemons, limes, and dried
- Other nut and fruit mixes (other from tamarind): 12% to 5%
- Fat from pigs and poultry: 12% to 5%
- Fats from sheep, goats, and cows: 12% to 5%
- Between 12% and 5% for lard stearin, lard oil, and tallow oil
- Oils from fish and marine mammals: 12% to 5%
- Lanolin and wool grease: 12% to 5%
- 12% to 5% of other animal fats and oils
- 12% to 5% of animal or microbiological fats and oils are hydrogenated.
- Inedible chemically manipulated fats and oils: 12% to 5%
- Crude glycerol: between 18% and 5%
- Beeswax, spermaceti, and vegetable waxes: 18% to 5%
- Degras and wax/fat residues: between 18% and 5%
- From 12% to 5% for sausages and related pork items
- Meat and fish preserved: between 12% and 5%
- Meat, fish, and crustacean extracts and juices: 12% to 5%
This action would lower the cost of a number of necessities, including cars, air conditioners, shampoo, soap, and more. Food items like bread and milk will also be exempt from GST. Policies for life and health insurance would likewise be completely tax-exempt. Union Finance Minister Nirmala Sitharaman presided over the 56th meeting of the GST Council, where the decision was made.
- Refined sugar (cubes, colored, and flavored): 12% to 5%
- Additional sugars, syrups, and caramel: 18% to 5%
- Candy made with sugar: 12–18% to 5%
- Oil, fat, and cocoa butter: 18% to 5%
- Powdered cocoa: 18% to 5%
- Chocolate: between 18% and 5%
- Food preparations and malt extract: 18% to 5%
- Noodles, pasta, and couscous: 12% to 5%
- Communion wafers, cakes, cookies, and other baked goods: 18% to 5%
- FRK, bulgar wheat, and corn flakes: 18% to 5%
- Pastries, cakes, and cookies (but not bread or roti): 18% to 5%
- Savory extruded products: 12% to 5%
- Bread for pizza: 5% to 0%
- Chapati, khakhra, and roti: from 5% to 0%
- 12% to 5% of vegetables are preserved in vinegar or acids.
- Mushroom and tomato preserves: 12% to 5%
- Marmalades, jams, and jellies: 12% to 5%
- Packaged coconut water: 12% to 5%
- Chicory, coffee, and tea extracts: 12–18% to 5%
- Baking powders and yeasts: 12% to 5%
- Seasonings, sauces, and condiments: 12% to 5%
- Broths and soups: 18% to 5%
- Edible ice and ice cream: 18% to 5%
- From 18% to 0% for paratha, parotta, and other Indian breads
- Soya bari, or texturized vegetable proteins, is a type of bari prepared from batters and pulses like mungodi. Between 12% and 5%
- Bhujia, Namkeens, and packaged mixtures: 12% to 5%
- Pan masala: between 28 and 40 percent
- New GST Rates for Chemicals, Fertilizers, Medicines, Beverages, Tobacco, Cement, and Coal
- Foods for diabetics: 12% to 5%
- 20L bottles of drinking water: 12% to 5%
- Mineral, aerated, flavorless, and sugar-free waters: 18% to 5%
- From 28% to 40% for all sweetened or flavored fluids, including aerated waters
- Additional non-alcoholic drinks: 18% to 40%
