New GST Rates: The public will get more good news, the tax burden will be further reduced after the GST reduction..

New reduced GST rates have come into effect across the country since September 22nd. This has reduced the prices of hundreds of items, including daily use and food items. The reduction in GST rates is being considered very beneficial for both the general public and businesses.

But there is another good news for both the general public and businesses. In fact, Prime Minister Narendra Modi has announced further tax reductions.

What did PM Modi say?
PM Modi has written an open letter on the implementation of the new GST rates, in which he stated that GST reforms will continue. He also discussed the benefits of the GST rate reduction.

'Tax rates will be further reduced'
The PM said in the letter, "We have increased the income and savings of the people of India. We will not stop here... As we strengthen our economy, we will continue to reduce taxes. The process of GST reforms will continue."

PM Modi believes that structural reforms in GST will give India a new impetus to its growth story. He said, "GST registration will become easier, tax disputes will be reduced, and MSMEs will receive faster refunds."

"Tax burden will further reduce"
Speaking about the GST reforms implemented on Monday, PM Modi said that as India's economy progresses, the tax burden on people will further reduce.

The new GST reforms aim to promote savings and domestic consumption so that every section of society directly benefits. PM Modi wrote in the letter, "These reforms will encourage greater growth and investment and accelerate the progress of every state and region."

Expected savings of ₹2.5 lakh crore
Under the new reforms, the government has changed the GST rate system and simplified the multi-rate system by converting it into two slabs of 5% and 18%.

Daily essentials like food items, medicines, soap, health and life insurance, and many other items will now be either tax-free or fall in the lowest tax slab of 5%. Most items that were previously taxed at 12% have been placed in the 5% slab. Combined with the income tax rate cuts and GST 2.0, Indians are expected to save around ₹2.5 lakh crore this year.

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