New GST Rates: These Household Items Will be Costlier From July 18, Check Rate Hikes Here

After the GST rates were increased for several commodities during the 47th Goods and Services Tax meeting in Chandigarh last month, various household items, including hotels and bank services among others, would become more expensive starting next week.

The ordinary citizen would have to spend more to acquire everyday groceries after the implementation of the GST rate hike on these commodities on Monday, July 18, which will further increase their kitchen budget. From July 18, pre-packaged and labeled goods like curd, lassi, buttermilk, paneer, wheat, and rice will be subject to a 5% GST.

Any agricultural and dairy goods will continue to be exempt from GST, whether they are sold loose or packaged in front of customers. Before this, only branded packaged rice was covered by the GST. All unbranded, pre-packaged grains of rice, rice flour, and wheat will now be subject to GST.

The following list of home goods will increase in price starting on Monday, July 18:

• Curd, Lassi, Buttermilk (5% GST)

• Paneer (5% GST)

• Jaggery of all types including Cane Jaggery (gur), Palmyra Jaggery (5% GST)

• Khandsari Sugar (5% GST)

• Natural Honey (5% GST)

• Puffed rice (Muri), flattened or beaten rice, (Chira), parched rice (Khoi), rice coated with

• Sugar (Murki) (5% GST)

• Rice, Wheat, Rye, Barley, and Oats (5% GST)

• Wheat & Meslin Flour (5% GST)

• Tender coconut water (12% GST)

• Rice Flour (5% GST)

Other items that will get costlier from Monday, July 18:

• LED lamps; ink, knives, blades, pencil sharpener, blades, spoons, forks, ladles, skimmers, skimmers, cake servers; printing, writing, and drawing ink; fixture and their metal printed circuits board by 18 percent.

• Power-driven pumps, bicycle pumps, and dairy machinery by 18 percent.

• Machines used for cleaning, sorting, grading seeds, and grain pulses; machines used in milling/cereals industry; air-based atta chakki and wet grinder by 18 percent.

• Cheques, lost or in book form by 18%

• Solar water heater and system by 12%

• Leather (prepared, finished, chamois and composition) by 12%

• Printed maps and charts of all kinds by 12%

• 12% GST on hotel accommodation priced up to Rs 1,000 per day

• Room rent, except ICU, more than Rs 5,000 per day patient charged by a hospital taxed 5% to the extent of charge of the room without ITC

• Works contract for roads, bridges, railways, metro, effluent treatment plant, crematorium, and others by 18%

• 18% GST for work contracts for historical monuments, canals, dams, pipelines, plants for water supply, educational institutions, hospitals, etc supplied to central and state governments and local authorities and sub-contractor thereof

• Works contract supplied to central and state governments, union territories & local authorities for earthwork and sub-contracts thereof 12%

Hospital rooms to get costlier as GST increases:

• GST on hospital beds will increase the cost of healthcare for patients

• GST on hospital beds would introduce compliance and related challenges for the healthcare sector, which is otherwise exempt from GST.