Government Slashes GST on Agricultural Equipment in 'Revolutionary' Move

In a significant policy shift, the Indian government announced a reduction in the Goods and Services Tax (GST) for agricultural equipment, bringing it down from the previous rate of 12-18% to a more manageable 5%. Union Agriculture Minister Shivraj Singh Chouhan hailed this move as a 'revolutionary decision' that favors farmers, animal rearers, and fishermen. He expressed gratitude towards the Prime Minister, emphasizing no compromise on the interests of these vital sectors.

Addressing the pressing issue of election schedules, Chouhan advocated for the 'One Nation One Election' framework. He criticized the current continuous election process across different months as a hindrance to national progress. Suggesting a constitutional amendment, Chouhan proposed simultaneous Lok Sabha and Assembly elections to streamline governance and development.

The 56th GST council meeting further streamlined the tax structure, merging various rates to create just two primary slabs: 5% and 18%. Essential goods, including many food items, agricultural tools, and medical supplies, now fall under the 5% slab. Meanwhile, 18% applies to most standard consumer and professional goods. The council also maintained a 40% slab for luxury and sin goods, ensuring a broad and equitable taxation framework while keeping vital educational and healthcare services exempt from GST.