GoM Proposes Lower GST on Water Bottles and Bicycles; Higher Taxes on Luxury Shoes and Watches

The Group of Ministers (GoM) has proposed lowering the GST on water bottles and bicycles while increasing taxes on luxury shoes and watches. This recommendation aims to make essential goods more affordable while generating higher revenue from luxury items. The proposal includes reducing the GST rate on water bottles and bicycles to promote their accessibility and usage. Conversely, the GoM suggests raising the GST rate on luxury shoes and watches to ensure that high-end consumers contribute more to the tax revenue. These changes are part of the government’s efforts to rationalize the GST structure and balance the tax burden across different segments of the economy. The proposed adjustments are expected to be reviewed and approved by the GST Council in the upcoming meeting.