GST Rates in India 2025: Updated List of Tax Slabs

From understanding the GST rate list to managing compliance, staying informed about GST slab rates is essential for ensuring financial stability and growth.
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24 June 2025

The Goods and Services Tax (GST) is a unified tax system in India that replaced numerous indirect taxes, such as value-added tax (VAT), excise duty, and service tax. The GST system has been implemented with the aim of streamlining the taxation system in India and making it more efficient. In this article, we will discuss the GST rates in India and what you need to know about them.

The GST rates in 2025

The GST rate list comprises four slabs, namely 0%, 5%, 12%, 18%, and 28%. The GST council has assigned each good and service to one of these five tax slabs.

Here is a summary of GST slab rates:

Category

Old GST Rates

New GST Rates

Scrap and polyurethanes

5%

18%

Pens

12%

18%

Metal Concentrates and Ores

5%

18%

Recorded media reproduction and print

12%

18%

Packing containers and boxes

12%

18%

Certain Renewable Energy Devices

5%

12%

Broadcasting, sound recordings, and licensing

12%

18%

Printed material

12%

18%

Railways Goods and Parts under Chapter 86

12%

18%

The GST Council regularly reviews the GST rate list and makes adjustments based on economic conditions and the needs of the industry.

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Decrease in the GST rates

In recent updates to the GST rates in India, several adjustments have been made to benefit specific categories of goods.

Category

Old GST Rate

New GST Rate

Applicability

Vehicles equipped with retrofitting kits for disabled individuals

Not specified

5%

Applies to vehicles modified for use by disabled individuals.

Cancer treatment drug (Keytruda)

12%

5%

Reduced rate for essential cancer treatment drugs.

Goods sold at the Indo-Bangladesh When you look at tax structures, there is also cess applied on certain itemsborder

Not specified

NIL

IGST is not levied on these goods.

 

Kinds of GST rates and structures in India

In India, the Goods and Services Tax (GST) system categorises goods and services into several tax slabs to ensure uniformity and transparency in taxation, as per GST law. These slabs include 0% (nil-rated), 5%, 12%, 18%, and 28%, with some items attracting additional cess. Here’s an overview of the kinds of GST rates and structures.

GST rates in India are structured based on the type of goods and services. The tax slabs range from 0% for essential items like milk, eggs, and educational services to 5%, 12%, 18%, and 28% for various other categories. Certain goods such as luxury items, high-end motorcycles, and consumer durables attract a 28% tax rate along with additional cess. Integrated GST (IGST) is applicable on interstate supplies, while Central GST (CGST) and State GST (SGST) are applied on intrastate supplies, ensuring comprehensive coverage across the country. You can use an online GST Calculator to easily estimate applicable taxes based on rate slabs and net price.

Here is an overview of GST rates:

GST Rate

Applicable Goods and Services

Purpose

0%

Essential goods such as milk, eggs, curd, and educational services.

Ensures affordability and accessibility for essential items and services.

5%

Items like coal, edible oils, tea, domestic LPG, and life-saving drugs.

Promotes accessibility to basic necessities.

12%

Goods such as butter, ghee, computers, fruit juice, and packed coconut water.

Balances affordability and revenue generation.

18%

Products like hair oil, capital goods, toothpaste, industrial intermediaries, and toiletries.

Aims to maintain tax revenue while ensuring reasonable consumer prices.

28%

High-end items like luxury cars, motorcycles, consumer durables (e.g., ACs, fridges), and sin goods like cigarettes and aerated drinks.

Applies the highest GST rate with additional cess on some items to manage luxury and non-essential goods.


List of Items Taxed at 0% GST Rate

Product/Service

GST rate

Milk

0%

Kajal

0%

Eggs

0%

Educational services

0%

Curd

0%

Lassi

0%

Health services

0%

Children's drawing and colouring books

0%

Unpacked foodgrains

0%

Unbranded atta/maida

0%

Unpacked paneer

0%

Gur (Jaggery)

0%

Besan (Gram flour)

0%

Unbranded natural honey

0%

Fresh vegetables

0%

Salt

0%

Prasad (Religious offerings)

0%

Palmyra jaggery

0%

Phool bhari jhadoo (Traditional broom)

0%


List of Items Taxed at 5% GST Rate

Product/Service

GST rate

Sugar

5%

Packed paneer

5%

Tea

5%

Coal

5%

Edible oils

5%

Raisins

5%

Domestic LPG

5%

Roasted coffee beans

5%

PDS kerosene

5%

Skimmed milk powder

5%

Cashew nuts

5%

Footwear (priced below Rs. 500)

5%

Infant milk food

5%

Apparel (priced below Rs. 1000)

5%

Fabric

5%

Coir mats

5%

Floor mats and coverings

5%

Agarbatti (Incense sticks)

5%

Indian sweets (Mithai)

5%

Life-saving medicines

5%

Ground coffee (excluding instant coffee)

5%


List of Items Taxed at 12% GST Rate

Product/Item

GST Rate

Butter

12%

Ghee

12%

Packaged or processed food items

12%

Almonds

12%

Mobile phones

12%

Fruit juice

12%

Ready-to-eat vegetable preparations

12%

Processed fruits

12%

Pickles, murabba, chutneys, jams, jellies, and similar preserves

12%

Packed coconut water

12%

Umbrellas

12%


List of Items Taxed at 18% GST Rate

Products

GST Rate

Hair oil

18%

Capital goods

18%

Toothpaste

18%

Industrial intermediaries

18%

Soap

18%

Ice cream

18%

Pasta

18%

Toiletries

18%

Corn

18%

Flakes

18%

Soups

18%

Printers

18%

Computers

18%


List of Items Taxed at 28% GST Rate

Products

GST rate

Small cars (with an additional 1% or 3% cess)

28%

Premium motorcycles (with an additional 15% cess)

28%

Consumer durables like air conditioners and refrigerators

28%

Luxury and sin goods such as luxury cars (e.g., BMW)

28%

Cigarettes and carbonated beverages (with an additional 15% cess)

28%


List of Items Taxed at 3% GST Rate

Products

GST rate

Imitation jewellery

3%

Items made of or coated with precious metals

3%

Natural or cultured pearls (not strung, mounted, or set; or temporarily strung for transport)

3%

Worked diamonds, not mounted or set (excluding non-industrial use)

3%

Precious and semi-precious stones (excluding diamonds)

3%

Silver

3%

Gold

3%

Waste or scrap of precious metals or metals coated with precious metals

3%


List of Items Taxed at 0.25% GST Rate

Products

GST Rate

Non-industrial grade diamonds

0.25%

Unprocessed precious or semi-precious stones

0.25%

Synthetic or reconstructed precious or semi-precious stones

0.25%


When you look at tax structures, there is also cess applied on certain items

Certain goods like cigarettes, tobacco, luxury cars, and aerated drinks attract a cess in addition to the GST rate, aiming to discourage consumption while generating additional revenue for specific purposes.

The GST framework in India, governed by GST law, aims to streamline taxation across goods and services while promoting transparency and ease of compliance. By categorising items into different tax slabs and applying cess where necessary, GST ensures equitable taxation based on the nature and consumption of goods and services in the country. This system also integrates provisions for TDS under GST and TCS under GST, which are mechanisms to ensure compliance and streamline tax collections under the GST regime.

HSN and SAC system

In India, all goods and services traded are classified under either the HSN code system or the SAC code system for GST purposes. The HSN (Harmonized System Nomenclature) code is used to classify goods, while the SAC (Services Accounting Code) system is used for services. These codes determine the GST rates applied, which range from NIL to 28%. The HSN code, developed by the World Customs Organization, is a globally accepted system for categorising goods in international trade. In contrast, the SAC code, developed by India's Service Tax Department, classifies services based on their nature and applies GST rates accordingly, ensuring uniformity in tax treatment across various service categories.

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Frequently asked questions

What is the GST gold rate?

The GST rate for gold in India is 3%. This rate applies to the sale of gold jewellery and gold articles. Additionally, there is a 5% GST on making charges if gold is sold as jewellery. The GST rate ensures that gold is taxed uniformly across the country.

What is the GST rate applicable on mobile?

Mobile phones in India are taxed at an 18% GST rate. This rate applies to both smartphones and feature phones. The GST rate covers the sale of mobile phones, ensuring that all transactions involving mobile devices are uniformly taxed, regardless of the brand or model.

What are the GST rates applicable on goods and services?

GST rates in India vary depending on the category of goods and services. There are four main GST slabs: 5%, 12%, 18%, and 28%. Essential goods and services are taxed at lower rates, while luxury and sin goods fall under the higher 28% slab, ensuring a balanced taxation system.

What are the correct GST slabs on goods and services?

Goods and services in India fall under different GST slabs: 0% for essential items, 5% for basic necessities, 12% for standard goods, 18% for most consumer products, and 28% for luxury and sin goods. Each slab is designed to categorise goods and services according to necessity and luxury.

What is the current GST rate?

The current GST rates in India are divided into multiple slabs: 0%, 5%, 12%, 18%, and 28%. These rates apply to various goods and services based on their category and nature. The GST Council reviews and updates these rates periodically to reflect economic needs and consumer demands.

What product is 18% GST?

The 18% GST rate applies to a wide range of goods and services, including mobile phones, hair oil, toothpaste, industrial intermediates, and toiletries. This rate is considered the standard rate for most goods and services in India, balancing revenue generation with consumer affordability.

Is there a 10% GST rate?

No, there is no 10% GST rate in India. The GST rates are currently structured into five slabs: 0%, 5%, 12%, 18%, and 28%. Each rate is designated to specific categories of goods and services to ensure a comprehensive and balanced tax system across the nation.

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