GST has replaced a series of taxes from 1st July. According to the GST implementation, the states are required to file a simplified tax. During this, the central board of excise and customs has listed some items where the tax is lower. The report has mentioned some items with the current GST rate and the pre GST tax. It has been shown that these items are attracting almost no tax after the implementation of GST.
The pre-GST rate had been higher, and with the Central Sales Tax, the price would have gone much higher. As an example – Ultra high-temperature tea, milk or milk powder attract 5% GST. The Central Sales Tax would have been 6 to 10%.
Wheat used to attract 2.5% tax which is now attracting no tax at all. The same can be said for rice. It used to attract 2.47% tax earlier which now would have no tax at all. Unbranded flour attracts nil GST, which attracted 3.5% tax in the pre-GST era. Curd, butter milk or lassi attracted 4% tax. Now, these items come with no tax. Ultra high-temperature milk attracted 6% tax earlier which now would attract 5% tax. Milk powder, sugar, vegetable edible oil and spices used to attract 6% tax earlier. Now they would attract 5% GST.
Ketchup, mustard sauce or toppings of different kinds, would see no change in the tax rate. These items are to attract the same 12% tax as they used. Mineral water and sugar confectionery would attract 18% GST which is a drop from the earlier tax rate.
Coal which is a daily use item for many households would see a price drop with the decline of tax rate after GST implementation. Hair oil, soap, footwear costing over ₹ 500 would attract lower tax rate. The same goes for CCTV, baby carriage, and helmets. These items would attract lower tax rate after GST.