From Soaps To Medicines, PM Modi Explains How 99% Of Everyday Essentials Get Cheaper From Tomorrow | WATCH

Prime Minister Narendra Modi on Sunday announced that from September 22, the new GST regime will simplify tax slabs to just 5% and 18%. This means most daily-use goods and services, including food items, medicines, soaps, toothpaste, and even health and life insurance, will either be tax-free or attract just 5% GST. PM Modi said that 99% of goods previously taxed at 12% will now fall into the 5% bracket, bringing significant relief to households."In the new form, there will now be only 5% and 18% tax slabs. This means that most everyday items will become cheaper. Food items, medicines, soap, brush, paste, health and life insurance, many such goods and services will either be tax-free or only a 5% tax will have to be paid. Out of the goods which

were earlier taxed at 12%, 99% of the items have now come under the slab of 5% tax," said PM Modi in his address to the nation today.

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Income Tax and GST exemption will save people Rs 2.5 lakh crore: PM Modi

Addressing the nation, PM Modi said that India was moving forward by following the mantra of 'Nagrik Devo Bhava'. "We can see its reflection in the next generation's GST reforms. If we combine the income tax exemption and the GST exemption, the decisions made in one year will save the people of the country more than Rs 2.5 lakh crore, and that's why I say, this is a savings festival," he said.PM Modi added that these new GST reforms are being implemented, keeping in mind the country's current needs and future dreams. "This year, the government presented a gift by making income up to Rs 12 lakh tax-free and naturally, when income tax relief up to Rs 12 lakh is granted, the lives of the middle class undergo a profound transformation, bringing about so much simplicity and convenience...Now, the poor, the neo-middle class, and the middle class are receiving a double bonanza. With the reduction in GST, it will be easier for the citizens of the country to fulfil their dreams," he remarked.