How your family budget will change after GST
Rates for over 500 services and 1,200 goods were fixed, or 80-90% of items were slotted into the GST’s five broad rates in meetings on Friday and Thursday between the government and states as India races to meet the July 1 implementation deadline.
While the contours of this landmark tax reform are still being analysed, what does this mean for you and your family. For an average, middle-class household, how does this tax change its budget.
We break it up for you
NOTES: Consumption basket for a household spending Rs 16,000 per month in Mumbai | +Rate as per Maharashtra VAT Act as on May 19, 2017 and as per Octroi applicable in Mumbai city including cess @ 12% on aerated waters falling in HSN 22 | Rates for biscuits assumed as these were not declared | 1) It is expected that the reduction in tax rates in GST regime as compared with present should be passed on to the end consumers | 2) No. of units shown above is considering an estimated monthly consumption for a family comprising 2 adults and 2 children.
Prepared by M S Mani, senior director, Deloitte
While the contours of this landmark tax reform are still being analysed, what does this mean for you and your family. For an average, middle-class household, how does this tax change its budget.
We break it up for you
NOTES: Consumption basket for a household spending Rs 16,000 per month in Mumbai | +Rate as per Maharashtra VAT Act as on May 19, 2017 and as per Octroi applicable in Mumbai city including cess @ 12% on aerated waters falling in HSN 22 | Rates for biscuits assumed as these were not declared | 1) It is expected that the reduction in tax rates in GST regime as compared with present should be passed on to the end consumers | 2) No. of units shown above is considering an estimated monthly consumption for a family comprising 2 adults and 2 children.
Prepared by M S Mani, senior director, Deloitte