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Union Finance Minister Nirmala Sitharaman has said that the implementation of next generation GST reforms on September 22 has led to a growth in sales across sectors, including automobiles, consumer durables, e-commerce among others. Further, Sitharaman said her Ministry would continuously work on further simplifying the Goods and Services Tax system.

She said Prime Minister Narendra Modi has been stressing the simplification of GST norms, rate cuts and product classifications. She said ‘He (Prime Minister Narendra Modi) wanted to ensure that small traders should benefit from GST reforms as it is they who take the products to the rural parts of the country.’

Moreover, she said ‘There have been several rounds of discussions and every time the prime minister has been extending all his support for the introduction of the next generation GST reforms. She stated as per his view, the rates have been reduced and classifications of the products has been simplified. she added ‘Now, there are only two rates -- 5 per cent and 18 per cent (as GST).’

Besides, talking to the 40 per cent GST tax levied on some products, Sitharaman said, ‘Those products which are described as super luxury products are taxed at 40 per cent. They are also called as SIN goods. For example, tobacco products like cigarettes come under this category.’