TVs, ACs, other consumer electronics set to get cheaper under GST 2.0

Consumers are set to see relief in their gadget and appliance bills, with the government announcing sharp cuts in Goods and Services Tax (GST) rates on major electronic items under the new reforms,

In one of the most significant reforms since GST was introduced, slabs have been reduced to two: 5% and 18%.

The changes, which take effect from September 22, cover four major categories of electronics: air conditioners, televisions above 32 inches (including LED and LCD models), monitors and projectors, and dishwashing machines. All of these products, once taxed at the luxury slab of 28%, will now fall under the standard 18% rate.

This reduction is expected to bring down retail prices considerably. For instance, a television worth Rs 40,000 would earlier attract Rs 11,200 GST at 28%, but under the new regime, the tax drops to Rs 7,200 — saving consumers around Rs 4,000 on a single purchase. Similar relief will apply across air conditioners, projectors and dishwashers, which have often been considered discretionary purchases in middle-class households.