Prime Minister Narendra Modi on Monday hailed the rollout of the next-generation Goods and Services Tax reforms, calling it a &ldquo;double bonanza&rdquo; for ordinary families and small businesses. Addressing the nation on the launch of GST 2.0, he said the revamped system will &ldquo;bring lower costs and brighter smiles in every home,&rdquo; as hundreds of daily-use items have become cheaper.
The reforms, approved by the GST Council earlier this month, mark one of the biggest tax overhauls since GST&rsquo;s introduction in 2017. The earlier four-slab structure has now been streamlined, with most goods and services falling into two main categories of 5% and 18%. A higher 40% bracket has been reserved for ultra-luxury and sin goods, ensuring that essentials and common consumer products remain affordable.
According to government estimates, prices of more than 375 items ranging from packaged foods, dairy products, medicines and personal care goods to electronics like televisions and washing machines are set to fall. The Centre has projected that the combined benefit of tax relief and GST reform will translate into savings of nearly ₹2.5 lakh crore for households and businesses.
&ldquo;From groceries to medicines, from youth to farmers, every section of society will benefit from these reforms. This is not just about tax reduction, but about easing the daily lives of crores of families,&rdquo; Modi said, describing the rollout as a &ldquo;GST Bachat Utsav.&rdquo;
The Prime Minister also urged citizens to prefer &ldquo;Swadeshi&rdquo; products, emphasising that lower GST rates would help domestic industries grow while encouraging self-reliance. Economists believe the reforms will not only reduce inflationary pressure but also simplify compliance for traders and MSMEs, who had long complained of a complex structure.
While the government is confident the relief will reach consumers, experts caution that effective monitoring is needed to ensure retailers and manufacturers pass on the benefits. For now, however, households across India are set to feel immediate relief in their monthly budgets, turning the GST overhaul into a politically significant reform ahead of festive season spending.

PM Modi hails GST 2.0 rollout, prices set to drop

GST 2.0 simplifies slabs, cuts rates on 375 items, PM says every home will save more

PM Modi hails GST 2.0 rollout, prices set to drop

GST 2.0 simplifies slabs, cuts rates on 375 items, PM says every home will save more

September 22, 2025 | 22:35 IST