On the occasion of Navratri, PM Modi gave a significant gift to the nation by implementing GST 2.0. With the new reforms, there will now be only two tax slabs, and essential everyday items will become cheaper. This will save the common public thousands of crores annually.
GST 2.0: On the auspicious occasion of Navratri, Prime Minister Narendra Modi has given another significant gift to the people of the country. New GST Reforms have been implemented across the nation starting September 22, which the Prime Minister has named “GST Bachat Utsav” (GST Savings Festival). PM Modi not only addressed the nation but also penned a letter to its citizens. In this letter, he outlined the new changes and appealed to the people to embrace indigenous products and strengthen the Atmanirbhar Bharat (Self-Reliant India) campaign.
Introduction of New GST Reforms
The Prime Minister stated that implementing this new GST system during the festive season brings a double benefit to the countrymen. Under the new GST Reforms, there will now be only two tax slabs. Essential everyday items such as food provisions, medicines, soap, toothpaste, and other common goods will either be tax-free or fall under the lowest rate of just 5%.
PM Modi termed it a “major savings campaign” and said that every section of society would benefit from it. Farmers, women, youth, the poor, the middle class, traders, and small industries will all be gainfully impacted.
Festival of Savings during Festivities
In his letter, PM Modi extended Navratri greetings to the countrymen, stating that this year's festival brings another special gift. He mentioned that fulfilling dreams such as building a home, buying a car, dining out, and vacationing with family will now be easier. Health insurance has been made completely exempt from GST, which will relieve people of additional burdens.
He also noted that many shopkeepers and traders across the country are putting up “Before and After” boards to inform customers about the difference in product prices. This is boosting people's confidence and adding vibrancy to festive shopping.
Simplified System
The Prime Minister reminded in his letter that the GST journey began in 2017. At that time, the country was freed from various taxes and tolls. Now, through new Reforms, the system has been further simplified. This will enhance convenience for small shopkeepers, cottage industries, and small-scale industries.
The government believes that GST 2.0 will not only make doing business easier but also provide relief to the common consumer. Its impact will directly influence market momentum and economic activities.
Citizen-Centric Savings
PM Modi wrote that “Nagarik Devo Bhava:” (Citizens are paramount) is the government's mantra. In the past 11 years, 25 crore people have risen out of poverty, and a new middle class has emerged. Strengthening this class remains a government priority.
He stated that no income tax is levied on incomes up to 12 lakh rupees. If income tax exemptions and the new GST Reforms are considered together, the countrymen will save approximately 2.5 lakh crore rupees annually. This will directly translate into additional relief in the pockets of the common people.
Steps Towards Self-Reliant India
PM Modi further wrote that India has resolved to become a developed nation by 2047. To achieve this, it is essential to follow the path of self-reliance. He said that the new GST Reforms would accelerate the Atmanirbhar Bharat campaign.
The Prime Minister emphasized that we should make Swadeshi (indigenous products) a part of our lives. According to him, “Swadeshi refers to products that embody the hard work of Indian laborers and artisans, irrespective of the company.” When people purchase goods made by Indian artisans and industries, they not only save money but also create employment in the country.
