Revised GST Rates on June 2022: Find What Got Costlier & Cheaper

The GST council’s decision to revise the GST rates to bring more items under its umbrella was made public by Finance Minister Nirmala Sitharaman on Wednesday, Jun 29, 2022. The revised GST rates will be applicable from July 18 onwards which will lead to an increase in the cost of several goods and services. The Finance Minister, while announcing the GST council’s verdict, made it clear that the inefficiencies in the “value chain” will be taken care of with the new GST rates.

 

Given below is the list of items that will cost more to the public come Jul 18, 2022.

Commodity/Services	Increase in GST Percentage
Tetra Packs	12% to 18%
Drawing Instruments
Lights, LED Lamps and Fixtures
Dairy/Cleaning/Milking/Sorting Machinery
Power Pumps
Knives
Drawing/Writing/Printing Ink
Composition/Chamois/Finished/Prepared Leather	5% to 12%
Solar Water Heater and its Systems
Foreman services supplied to chitfunds	12% to 18%
Leather/Skin/Hide processing jobs
Footwear/Leather Goods jobs
Clay bricks manufacturing jobs
Contract jobs for Local Authorities/State/Central governments
Cut & Polished Diamonds	0.25% to 1%

 

Here is the list of items and services that will become cheaper after the new GST rates are implemented on July 18:

Commodity/Services	Decrease in GST Percentage
Ostomy and Orthopaedic Appliances	12% to 5%
Truck Renting (along with the fuel cost)	18% to 12%
Goods and Passengers Transportation (via ropeways)	18% to 5%

 

The Finance Minister also reiterated that the council is considering the GST rate rationalization seriously. It is one thing for technology to correct any anomaly or inefficiency that has a positive impact on revenue collections, but the decline in the revenue-neutral rate requires a correction said Sitharaman. Several measures were also cleared to ensure fraudulent entities do not get GST registration.