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GST: Companies to reduce supplies ahead of the new tax regime

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GST: Companies to reduce supplies ahead of the new tax regime

[vc_row][vc_column][vc_column_text]The move is to ensure that the companies clear all the pending orders and adopt new systems quickly

By Deepti Jain

With less than two weeks to go before the implementation of the Goods and Services Tax (GST), several manufacturers across various sectors have decided to stop taking fresh orders from dealers.

This move is intended to ensure that the companies clear their stock in the next two-three days and devote the remaining four-five days to update the system for transition in accordance with the new tax regime from July 1.

Another reason for minimizing the supply of the products is that the dealers will have to pay an additional tax  if the product is dispatched before July 1 but is sold after that date. Transition rules allow dealers to get credit for only 40-60 percent of excise duty paid on goods that remain unsold in their showrooms on June 30.

“Though there is no major change in production due to GST transition, we do foresee a slowdown in production in some category of products,” said Dabur CFO Lalit Malik.

Several online retailers like Flipkart, Amazon  and Paytm  have already started  giving discounts to the consumers on apparel, footwear, electronic accessories, mobile accessories, premium watches, handbags, leather products, and health and beauty products in order to clear their catalogue before the implementation of the GST.

“The Paytm sale will host over 6,000 retailers across 500+ brands, with all major brand labels participating in the retail extravaganza,”said a Paytm official.

“We will offer deep discounts and attractive cashback offers on consumer durables including TVs, laptops, phones, ACs and refrigerators,” he added.[/vc_column_text][vc_raw_html]JTNDYmxvY2txdW90ZSUyMGNsYXNzJTNEJTIydHdpdHRlci10d2VldCUyMiUyMGRhdGEtbGFuZyUzRCUyMmVuJTIyJTNFJTNDcCUyMGxhbmclM0QlMjJlbiUyMiUyMGRpciUzRCUyMmx0ciUyMiUzRS0lMjBVcCUyMHRvJTIwJUUyJTgyJUI5MjAlMkMwMDAlMjBDYXNoYmFjayUyMG9uJTIwVFZzJTNDYnIlM0UtJTIwVXAlMjB0byUyMCVFMiU4MiVCOTIwJTJDMDAwJTIwQ2FzaGJhY2slMjBvbiUyMExhcHRvcHMlM0NiciUzRS0lMjBGbGF0JTIwNzAlMjUlMjBDYXNoYmFjayUyMG9uJTIwSmVhbnMlM0NiciUzRSUzQ2JyJTNFU2hvcCUyME5vdyUzQSUyMCUzQ2ElMjBocmVmJTNEJTIyaHR0cHMlM0ElMkYlMkZ0LmNvJTJGbHljVEpSMzZqaiUyMiUzRWh0dHBzJTNBJTJGJTJGdC5jbyUyRmx5Y1RKUjM2amolM0MlMkZhJTNFJTIwJTNDYSUyMGhyZWYlM0QlMjJodHRwcyUzQSUyRiUyRnQuY28lMkZqOVZqNEpIMXNOJTIyJTNFcGljLnR3aXR0ZXIuY29tJTJGajlWajRKSDFzTiUzQyUyRmElM0UlM0MlMkZwJTNFJTI2bWRhc2glM0IlMjBQYXl0bSUyME1hbGwlMjAlMjglNDBQYXl0bU1hbGwlMjklMjAlM0NhJTIwaHJlZiUzRCUyMmh0dHBzJTNBJTJGJTJGdHdpdHRlci5jb20lMkZQYXl0bU1hbGwlMkZzdGF0dXMlMkY4NzQ1NzM2NTQ3NzU5MTQ0OTclMjIlM0VKdW5lJTIwMTMlMkMlMjAyMDE3JTNDJTJGYSUzRSUzQyUyRmJsb2NrcXVvdGUlM0UlMEElM0NzY3JpcHQlMjBhc3luYyUyMHNyYyUzRCUyMiUyRiUyRnBsYXRmb3JtLnR3aXR0ZXIuY29tJTJGd2lkZ2V0cy5qcyUyMiUyMGNoYXJzZXQlM0QlMjJ1dGYtOCUyMiUzRSUzQyUyRnNjcmlwdCUzRSUwQQ==[/vc_raw_html][vc_column_text]Meanwhile, the experts believe that India may witness an inflationary impact during the transition phase, which will fade away gradually with proper law enactment and implementation of measures like anti-profiteering.

Here is a look, at the expected immediate impact of GST on the common man’s pocket:

These services are likely to become more expensive

  • Mobile bills
  • Renewal premium for life insurance policies
  • Banking and investment management services
  • Basic luxuries for a common man like WIFI and DTH services, online booking

Services that may get cheaper in most states

  • With entertainment taxes getting subsumed in GST, prices of movie tickets and theatrical performances may become cheaper in most states.
  • Dining in restaurants may also become more pocket friendly in most states.

Prices of these essential services are likely to rise

  • Residential rent
  • Health care
  • School fees
  • Courier services
  • Commuting by metro or rail

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India News

BJP-led Mahayuti surges ahead in BMC polls as Thackerays lose Mumbai stronghold

The BJP-led alliance has taken a strong lead in the BMC elections, signalling a major political shift in Mumbai as counting continues across Maharashtra.

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shinde and fadnavis

The BJP-led alliance is heading towards a decisive victory in the Brihanmumbai Municipal Corporation (BMC) elections, dealing a major blow to the Thackeray cousins’ long-standing control over Mumbai’s civic administration. Early trends from the ongoing vote count show the ruling alliance opening a clear lead in the country’s richest municipal body.

With results still being tallied, the BJP-led bloc is ahead in 115 wards of the BMC. Of these, the BJP is leading in 86 wards, while Chief Minister Eknath Shinde’s Shiv Sena has an edge in 29 wards.

In contrast, the Thackeray cousins appear to be struggling to retain their grip on the civic body they once dominated for decades. Together, they are leading in 77 wards, with Uddhav Thackeray’s Shiv Sena (UBT) ahead in 71 wards and Raj Thackeray’s Maharashtra Navnirman Sena (MNS) leading in six.

High-stakes election after nine-year gap

The BMC elections were held after a nine-year gap, following a four-year delay, making the contest one of the most closely watched civic polls in Maharashtra. Over 1,700 candidates were in the fray for 227 seats in Mumbai alone. The BMC’s annual budget exceeds Rs 74,400 crore, underscoring the political and financial significance of the results.

In the 2017 elections, the undivided Shiv Sena, which then included Eknath Shinde, had retained control of the BMC, continuing its decades-long dominance.

BJP ahead across Maharashtra civic bodies

The BJP’s strong showing is not limited to Mumbai. Across 29 municipal corporations in Maharashtra, early trends indicate that the party is leading overall. Combined figures show the BJP ahead in 909 wards, while its ally, the Shinde-led Shiv Sena, is leading in 237 wards.

In the party-wise standings, the Congress is placed third with leads in 179 seats, largely from Bhiwandi-Nizampur, Nagpur and Kolhapur. The Shiv Sena (UBT) follows with 118 seats, closely trailed by Ajit Pawar’s NCP, which is leading in 112 wards.

Pune also tilts towards BJP

Pune has emerged as another key battleground, especially as rival factions of the Nationalist Congress Party, led by Ajit Pawar and Sharad Pawar, joined hands for the civic polls. Despite the alliance, the BJP is leading in 52 seats in Pune, while the combined NCP factions are ahead in seven seats.

Large-scale polling across the state

Polling for 2,869 seats across 893 wards in the 29 civic bodies was held on Thursday. Around 3.48 crore voters were eligible to cast their ballots, deciding the political fate of 15,931 candidates, including those contesting in Mumbai.

Besides Mumbai and Pune, counting is underway in several other municipal corporations, including Navi Mumbai, Thane, Kalyan-Dombivli, Nagpur, Nashik, Pimpri-Chinchwad, Vasai-Virar, Mira-Bhayandar, Solapur, Kolhapur and Aurangabad, among others.

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India News

International Bihar and Purvanchal Festival to be held in Sydney on March 22

Praveen Kumar reiterated, “The land of Bihar produces gold. Such a region cannot remain poor. What is needed is collective effort, work in the right direction, and the creation of opportunities for the people.”

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With the objective of providing a new global direction to development, investment, and opportunities in Bihar and the Purvanchal region, the International Bihar and Purvanchal Festival will be organised on March 22, 2026, in Sydney, Australia. This was announced by Praveen Kumar, the chief organiser of the event, during a press conference held in Patna on January 15.

Praveen Kumar said several prominent personalities from India and abroad, along with representatives from industry, policymakers, and members of the Indian diaspora, will participate in the Sydney event.

On this platform, the vision of a “Developed Bihar and Purvanchal” will be formally launched, and a concrete roadmap for Bihar’s overall development will be deliberated upon. He said the festival is not merely a cultural event but a global platform to mobilise international cooperation, investment, and policy-level support for Bihar.

“We will extend support at every level for the development of Bihar and Purvanchal and create opportunities that enable better utilisation of local talent and resources,” Praveen Kumar said.

Referring to his earlier remarks made during a podcast, Praveen Kumar reiterated, “The land of Bihar produces gold. Such a region cannot remain poor. What is needed is collective effort, work in the right direction, and the creation of opportunities for the people.”

It was also informed during the press conference that the Sydney event will feature special sessions on investment, education, skill development, culture, and diaspora engagement for Bihar. The objective is to highlight that Bihar is not only rich in potential but also capable of providing leadership on the global stage.

According to the organisers, the festival will prove to be a significant step towards giving Bihar a new international identity.

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PM Modi urges people to read Tirukkural on Thiruvalluvar Day

Prime Minister Narendra Modi on Thiruvalluvar Day appealed to people to read the Tirukkural, calling it a reflection of the humane and harmonious ideals of Tamil philosopher-poet Thiruvalluvar.

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Prime Minister Narendra Modi on Friday urged people across the country to read the Tirukkural, highlighting its enduring relevance and the intellectual legacy of Tamil philosopher-poet Thiruvalluvar.

Marking Thiruvalluvar Day, which coincides with the Pongal celebrations every year, the prime minister paid tribute to the revered scholar, describing him as a symbol of harmony, compassion and Tamil cultural excellence.

In a message shared on social media platform X, Modi said Thiruvalluvar’s works and ideals continue to inspire countless people even today. He noted that the philosopher envisioned a society rooted in compassion and balance.

The prime minister encouraged citizens to engage with the Tirukkural, a classical Tamil text that deals with various aspects of human life, ethics and governance, calling it a window into the profound intellect of Thiruvalluvar.

Thiruvalluvar Day is observed annually to honour the philosopher-poet, whose literary contributions remain central to Tamil culture and thought.

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