According to experts, tax rates cleared by the GST Council will bring cheer to the industry as prices of consumer products are likely to drop with the implementation of the new indirect tax regime from July 1.
As per reports, the GST Council, comprising state finance ministers and headed by Union Finance Minister Arun Jaitley, finalised the rates on a host of items. Commenting on the issue, Pratik Jain, tax expert with PwC told the media, "On rates, categorisation of several consumer products like soaps, toothpaste and hair oil under 18 per cent is good news and should see prices drop for consumers.
Similarly, several food items such as edible oil, tea, coffee sugar etc have been kept at 5 per cent...which would also bring cheer to the industry." As per reports, the Goods and Services Tax (GST) will subsume most of the indirect taxes and lead the country towards 'one tax one nation'.