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GST Overhaul: Only 5% and 18% slabs from September 22, 40% for luxury items

The Union government has overhauled GST, leaving only two slabs — 5% and 18% — from September 22, while super luxury items will attract 40%.

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Nirmala Sitharaman

The Union government has simplified the Goods and Services Tax (GST) structure by reducing the existing four slabs to just two — 5% and 18% — effective from September 22. Additionally, a 40% sin tax will apply to luxury and super luxury items.

Relief for common citizens and farmers

Essential goods such as food items, medicines, toiletries, dairy products, and farm equipment will either be tax-free or fall under the 5% bracket. Life and health insurance policies, along with 33 life-saving medicines, will now be completely exempt from GST. Educational materials like notebooks, pencils, and crayons will also see reduced rates, making them more affordable.

Changes for aspirational and luxury products

Products like televisions, air conditioners, motorbikes under 350cc, and small cars will now attract 18% GST instead of the earlier 28%, making them comparatively cheaper. Meanwhile, luxury cars, high-end bikes, tobacco products, and carbonated beverages will face the highest 40% GST rate.

Government’s justification for reform

Union Finance Minister Nirmala Sitharaman described the changes as “multi-sectoral and multi-thematic reforms” that will make life easier for citizens and simplify business operations. The GST Council noted that the 12% slab had minimal revenue impact, while the 28% slab discouraged consumption, leading to the decision to drop both.

PM Modi hails GST rationalisation

Prime Minister Narendra Modi welcomed the decision, calling it a “next-generation reform” that will benefit the common man, farmers, and small traders. He said the simplification reflects the government’s commitment to ensuring ease of doing business and boosting economic growth.

Background

GST was first rolled out on July 1, 2017, as a unified tax system to replace multiple indirect taxes. Initially launched with five slabs, it was later reduced to four. However, critics argued that India’s structure remained among the most complicated globally. The new two-slab system aims to end that criticism by making GST more transparent and predictable.

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Big action after Noida techie’s death: Authority CEO removed, SIT to probe drowning case

The Uttar Pradesh government has removed the Noida Authority CEO and ordered an SIT probe after a 27-year-old software engineer drowned when his car fell into a water-filled pit at a construction site.

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The Uttar Pradesh government has removed Noida Authority CEO M Lokesh following the death of a 27-year-old software engineer whose car plunged into a water-filled pit at a construction site in Noida’s Sector 150, triggering public outrage and allegations of official negligence.

The victim, Yuvraj Mehta, was returning home from work late on Friday when his vehicle fell into the pit amid dense fog conditions. Police said the engineer suffocated under water and also suffered a cardiac arrest, leading to his death.

Chief Minister Yogi Adityanath has ordered a Special Investigation Team (SIT) probe into the incident. According to an official statement, the SIT has been directed to conduct a detailed investigation and submit its report to the chief minister within five days.

Allegations of negligence and delayed rescue

The victim’s father, Raj Kumar Mehta, accused local authorities of negligence and demanded accountability to prevent similar incidents in the future. He said responsibility must be fixed so that “no one else loses their son like this”.

A delivery agent who witnessed the incident claimed that rescue efforts were delayed, suggesting that the engineer could have survived if timely action had been taken. Residents of the area staged protests, alleging inadequate barricading and the absence of reflectors at the accident-prone construction site.

Police, however, denied negligence in the rescue operation. An FIR has been registered against two real estate developers following a complaint by the victim’s family.

Barricades installed after protests

After protests by local residents, the Noida Authority installed barricades at the site where the accident occurred. The incident has renewed concerns over safety measures at construction zones, particularly during low-visibility conditions.

The case has sparked wider discussions on accountability and enforcement of safety norms at infrastructure and real estate project sites across the region.

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Shinde fears corporators may defect, says Congress MP Varsha Gaikwad

Congress MP Varsha Gaikwad has accused Maharashtra Deputy Chief Minister Eknath Shinde of fearing defection within his ranks after the BMC elections, alleging that resort politics has entered Mumbai’s civic body for the first time.

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In the wake of the Brihanmumbai Municipal Corporation (BMC) election results, Congress MP and Mumbai Congress President Varsha Gaikwad has launched a sharp attack on Maharashtra Deputy Chief Minister Eknath Shinde, accusing him of lacking confidence in his own corporators.

Speaking to media, Gaikwad dismissed speculation about any defection within the Congress and questioned the decision by the Shinde-led Shiv Sena faction to move its newly elected corporators to a luxury hotel in Bandra.

Resort politics allegation after BMC polls

Calling it an unprecedented move in the city’s civic politics, Gaikwad alleged that “hotel and resort politics” has entered the BMC for the first time.

She said Shinde’s actions reflected fear that his corporators could switch sides. According to her, such steps exposed a trust deficit within the ruling Mahayuti alliance.

Gaikwad asserted that the Congress, despite a reduced tally, remains united and rooted among the people. She described the party’s 24 corporators as “24-carat gold,” underlining their loyalty and independence.

Congress dismisses defection speculation

Contrasting the two camps, Gaikwad said Congress corporators were moving freely across the city and staying connected with citizens, unlike those confined to hotels.

She also addressed statements by Shiv Sena (UBT) leader Sanjay Raut, who had suggested that political equations could still change in the BMC. Gaikwad clarified that no discussions or negotiations were underway between the Congress and UBT regarding control of the civic body.

“There are no backdoor talks and no such initiative has even begun,” she said, rejecting rumours of a possible shift in power.

Internal dissent reflects democracy, says Gaikwad

Responding to questions on internal dissent within the Mumbai Congress, including demands for her resignation by senior leaders, Gaikwad maintained that such differences reflected internal democracy.

She said leaders in the Congress were free to express opinions, unlike other parties where dissent is not tolerated.

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Ram temple project proposed in Bengal’s Nadia, BJP MLA says it is not election-linked

A grand Ram temple inspired by Bengal’s cultural traditions is proposed in Nadia’s Shantipur, with the trust behind it asserting the project is not linked to elections.

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Ram Mandir

A proposal to construct a grand Ram temple inspired by Bengal’s cultural traditions has emerged in West Bengal’s Nadia district, with the project’s trustees asserting that it is not connected to electoral politics.

The temple, planned in Shantipur, will be based on the concept of “Bengali Ram” and draw heavily from the literary and devotional legacy of 15th-century poet Krittibas Ojha, who authored the Shri Ram Panchali, a Bengali retelling of the Sanskrit Ramayana. The work remains deeply rooted in Bengali households and religious practices.

The project has gained attention in recent weeks amid heightened political activity around religious and cultural constructions in the state. This comes shortly after Chief Minister Mamata Banerjee laid foundation stones for multiple religious-cultural initiatives, and days after a former Trinamool Congress (TMC) MLA laid the foundation for a mosque replica in Murshidabad.

Temple to be built on donated land, trust says

The Shri Krittibas Ram Mandir Trust, a registered religious and charitable organisation, is overseeing the construction. Trust members recently completed a final land survey, marking the formal beginning of the construction process.

Officials associated with the project said the temple will be built on 15 bighas of land donated by local residents Litan Bhattacharya and Pooja Banerjee. The estimated cost of the project is around Rs 100 crore, with completion targeted by 2028.

BJP MLA Arindam Bhattacharya, who serves as the trust’s president, said the initiative has been in progress since 2017 and is rooted in Bengal’s Bhakti movement tradition.

“Shantipur is closely associated with devotional traditions. Krittibas Ojha connected Lord Ram to Bengal’s emotional and cultural landscape. The Ram he envisioned was deeply Bengali in character,” Bhattacharya said.

He rejected suggestions that the temple was politically motivated, stating that the project had no electoral intent. He added that contributions and suggestions were welcome from all quarters, including the state government.

Political reactions emerge

The proposal has drawn criticism from the ruling TMC. Party leader Jayprakash Majumder questioned Bhattacharya’s role in the project and alleged potential misuse of funds.

Majumder also claimed that the BJP does not genuinely embrace Krittibas Ojha’s interpretation of Ram, describing the project as politically motivated. Bhattacharya has not responded publicly to these allegations beyond reiterating that the initiative is cultural and religious in nature.

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