GST Council Proposal for Textile Tax Structure
- GoM proposes a new tax slab structure for textiles, retaining 5% GST for items up to ₹ 1,500.
- Proposes to increase tax to 18% for products between ₹ 1,500 and ₹ 10,000.
- For textiles priced above ₹ 10,000, the tax goes up to 28%.
- Present GST structure levies 5% tax on items up to ₹ 1,000 and 12% on those above.
- GST rate on bicycles having a value of less than ₹ 10,000 to be reduced to 5% from 12%.
- GST on exercise books and packaged drinking water above 20 liters to be reduced from 12% to 5%.
- GST operates on a four-tier basis, exempting essentials from the tax, and heavily taxing luxury and demerit goods.
