📊 Latest GST Tax Rates List – India (2025 Rewrite 22 Sep 2025)
🟢 0 % GST (Exempt / Nil Rate)
✔ Everyday essential food items
• Milk, bread, fruits & vegetables (daily consumption)
✔ Education material & stationery (books, notebooks, pencils etc.)
✔ Life-saving medicines and certain medical devices (health & diagnostic)
✔ Individual life insurance & health insurance policies (exempt)
➡ These items are exempt from GST, meaning no tax is charged at the point of sale.
🔵 5 % GST – Reduced/Essential Goods & Services
✔ Common everyday essentials and basic goods
• Hair oil, shampoos, toothpaste, soaps & toiletries
• Food products like namkeen, bhujia, sauces, instant noodles, coffee, and chocolates
✔ Agricultural equipment & basic farm supplies (tractors & parts)
✔ Corrective spectacles & basic healthcare items
✔ Certain services used by consumers (basic hotel, restaurant, salon, etc.) as notified
➡ The 5 % slab is now considered the merit/slightly taxed slab covering most daily-use items.
🔶 18 % GST – Standard Rate
✔ Electronics & consumer durable products
• TVs, ACs, refrigerators, appliances
✔ Vehicles (cars below luxury class, motorcycles)
✔ Standard services (consulting, maintenance, software, telecom services, etc.)
✔ Construction material like cement, tiles, etc.
➡ The standard 18 % rate applies to most goods and services in regular business use.
🔥 40 % GST – Luxury / Sin Goods (Demerit Rate)
✔ Luxury & harmful items (higher tax for sin/discretionary goods)
• High-end automobiles & luxury vehicles
• Tobacco, cigarettes, pan masala, gutkha
• Aerated beverages & other identified ‘sin’ items
➡ 40 % is a special ‘demerit’ rate for select luxury and unhealthy products.
💡 Quick GST Slab Summary
| GST Rate | Typical Items / Examples |
|---|---|
| 0 % | Milk, bread, fruits, essential medicines, education supplies |
| 5 % | Daily use goods, toiletries, basic food products, select services |
| 18 % | Standard goods, electronics, vehicles, services |
| 40 % | Luxury cars, tobacco, aerated drinks, sin goods |
Note: Very few items retain older slab rates; post-2025 reform, most are under 5 % / 18 % / 40 % structure.