Get to know GST tax rate list online in just 2 minutes

Time is the most precious thing and if something is wasting your time, do not do it. GST is an important part of your life so if you can get everything related to it in lowest possible time, it is great. Goods and Service tax was implemented in India on July 2017.

After the implementation of GST, more than 22 council meets have happened and we do not know how many more are yet to happen. Having said that, a common man is only interested in knowing the gist of GST tax rate list to understand what are the products covered under different GST tax slabs. So, for further information, you should read this article.

GST tax slabs for different goods and services

There are total 5 GST tax slabs - 0%, 5%, 12%, 18% and 28%. Each of the tax slab has some goods and services which are commonly used by a person. There is a detailed list of GST tax slab which is available on the official website of GST council.

0% Tax Slab

• Hotels and lodges with tariff below ₹1000
  
• Rough precious and semi-precious stones - 0.25%.
  

5% Tax Slab                                                                          

• Railways and airways
  
• Transport of passengers by air in economy class
  
• Supply of tour operators’ services
  
• Selling of space for advertisement in print media
  
• Small restaurants with turnover of ₹50 Lakhs
  
• Transport of passengers by motor cabs and radio taxis
  

12% Tax Slab

• Business class air tickets
  
• Hotels, inns, guest houses with a room tariff between ₹1000 and ₹2500 per room per night
  

18% Tax Slab      

• AC hotels which serve liquor to customers
  
• Hotels, inns, guest houses, which have a room tariff of ₹2500 and above but less than ₹5000 per room per night
  
• IT services
  
• Telecom services
  

28% Tax Slab

• Race club betting & gambling
  
• Five-star Hotels
  
• Entertainment & Cinema
  
• Hotels, inns, guest houses, which have a room tariff of ₹5000 and above per room per night
  

Below are the advantages of GST slab rates

Some of the advantages of GST are here:

• Reduction in the overall tax burden on goods, which is currently estimated at 25%-30%.
  
• Reduction in prices as it would not have to include taxes as a part of their cost of production, which would lead to reduction in prices.
  
• Lower compliance and procedural cost as there would be reduction in the load to maintain compliance.
  
• Easy to understand the tax payment.
  
• Unified GST which is regarded as the best method of Indirect Taxes.
  
• It can help boost India’s GDP growth by 100-200 bps or (1-2%)
  
• Beneficial for foreign investors.
  
• GST will be beneficial with more transparency, efficient compliance, ramp up in GDP growth to the Centre, states, industrialists, manufacturers, the common man and the country at large.
  

As you can see, most of the products come under GST tax slab of 5% and 12%. It is also important that you check what are the products and services on a particular service you are looking for. You should know that GST tax rate list is also applicable on fintech services.