GST Impact: Here's the list of what may get cheaper and what may get dearer

Zee Media Bureau

New Delhi: India moved a major step closer towards a unified goods and services tax regime across the country, with the upper house of Parliament passing the relevant Constitution amendment bill on Wednesday, in what is seen as the most radical indirect tax reform since independence.

 

The Constitution (One Hundred and Twenty-Second Amendment) Bill, 2014 and amendments were first declared approved by a voice vote. Following a division called by Deputy Chairperson P.J. Kurien and electronic voting, it was declared approved by a two-thirds majority.

 

The new regime -- the idea for which was mooted some 13 years ago -- seeks to subsume all central indirect levies like excise duty, countervailing duty and service tax, as also state taxes such as value added tax, entry tax and luxury tax, to create a single, pan-India market.

 

Here's the list of what may get cheaper and what may get dearer assuming the standard GST rate at 18 percent.

 

Sectors	Impact	Current Tax Rates	New Rates
Auto	Positive	30-47%	18%
Consumer Durables	Positive	7-30%	18%
FMCG	Slight Positive	20-35%	18%
Home Decor	Slight Positive	Above 20%	18%
Cement	Positive	27-32%	18%
Multiplexes	Positive	22-24%	18%
Media	Mixed	20-21%	18%
Textiles	Negative	6-7%	18%
Pharmacuticals	Neutral	6% or lower	18%
IT	Slight Negative	14%	18%
Financial Services	Neutral	14%	18%
Metals	Positive	19-21%	18%
Telecom	Negative	14%	18%