Big Update: PM Modi Announces New GST Slabs to Reduce Financial Burden on Middleman:

Big Update: PM Modi Announces New GST Slabs to Reduce Financial Burden on Middleman The government of India has recently announced new GST slabs aimed at reducing the financial burden on the middleman and also ensuring fair taxation. Prime Minister Narendra Modi recently, on August 15, 2025 emphasize about the next generation of reforms under GST. he said over the past years the government has undertaken a historic wave of reforms and terminated over 40,000 unnecessary complaints and over 280 provisions were removed to make the government simpler and more accessible for every Indian. The following are the new GST slabs:

• Everyday items such as Food, medicines, Education, Groceries and Bicycles are reduced to 5%
• Electronic and Appliances such as ACs, TVs and Fridges are reduced to 18%; earlier it was 28%
• Insurance will from 18% to 5% or Nil
• Maximum service will stay under 18% slab
• Luxury Items such as Cigarettes, Beer and Online gaming will be taxed at 40%

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The main motive of this reform is to make essentials cheaper while keeping luxury and harmful goods at higher rates. these new reforms will bring relief to the common man, farmers, the middle class and MSMEs. This is a step towards a balanced economy, affordability and people-first governance. PM Modi shared the requirement for new GST reforms to make an 'Atmanirbhar Bharat'.