Modi government gave a bumper gift to the countrymen, GST on these essential items was reduced to 0%

Business News: The Modi government has taken a big step to simplify the tax system in the country and provide direct benefits to the people. In the 56th meeting of the GST Council, it has been decided to remove GST on many essential everyday goods and services, which will have a positive impact on the pockets of the common man. This meeting was chaired by Union Finance Minister Nirmala Sitharaman. In the meeting, along with changes in tax rates, work is also being done rapidly on simplifying the tax slab again.

Now there will be no GST on these things

After the meeting, the Finance Minister informed that now there will be no tax on ultra-high temperature (UHT) milk, chenna and paneer. Earlier, 5% GST was levied on these. Apart from this, Indian breads like roti and chapati have also been exempted from tax. A decision has also been taken to impose zero tax on education related materials and services like health insurance. Now the goods and services which are under the purview of 0% tax mainly include these-

UHT Milk (Ultra-High Temperature Milk)

• chhena and paneer
• Indian breads like roti and chapati
• Individual health and life insurance policies
• Maps, Charts and Globes
• Life saving drugs
• Stationery items: Exercise book, notebook, pencil, sharpener and eraser

These are the things which are directly connected to the life of every common man, and removal of tax can reduce their prices.

Big change in tax slab

The GST Council has also taken an important step towards making the tax system simple and transparent. The 12% and 28% tax slabs have been abolished. Now most items will remain in only 5% or 18% slab. This change may make some things cheaper for the middle class.

Businessmen also got big relief

In this meeting, relief was also talked about for not only common people but also for small and medium scale businessmen. There was discussion on simplifying the rules of GST and simplifying the process of tax filing. This will make registration and filing of returns much easier for businessmen. Experts say that the change in tax slab and excluding essential items from GST is a part of the government's big plan, which wants to make the tax system simpler, fairer and take it towards development.