India Simplifies GST: Consolidates Rates to 18% and 5%, Introduces 40% on Select Goods

• India’s Prime Minister Narendra Modi announced simplification of Goods and Services Tax rates and reforms
• Existing four rates will be consolidated to two rates: 18 percent and 5 percent
• A higher rate of 40 percent will apply to a limited range of goods, including tobacco
• Details of the rate changes and other reforms will be provided by October 2025

Source: vatcalc.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.