GST 2.0: GoM Backs Two-Slab Structure, Big Savings Ahead

The festival season may bring more cheer than ever — thanks to sweeping GST reforms. Less than a week after PM Modi’s Independence Day address, the Group of Ministers has backed a simplified two-slab GST structure of 5% and 18%, scrapping the four-tier system. If approved in September’s GST Council meet, the change could slash grocery bills, lower insurance premiums, and make appliances and cars cheaper. A small car could cost over ₹1.5 lakh less, while a middle-class family might save up to ₹600 monthly on groceries. But the gains come with challenges — states fear revenue loss of ₹85,000 crore. Will consumption growth and higher GDP balance the shortfall? Watch this full report.