- India plans to cut consumption tax by October to boost the economy
- New tax rates proposed are 5% and 18%, replacing 12% and 28%
- 99% of items in the 12% category to move to 5%
- Items affected include butter, fruit juices, and dry fruits
- Tax cuts aim to counter US tariffs on Indian goods
- Modi encourages promotion of domestic products
- GST Council to make final decision by October
- Estimated revenue loss of 500 billion rupees
- Policy stimulus could reach 0.6%-0.7% of GDP for 2025-26
Source: brecorder.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.
