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For example, products in luxury or indulgence categories, and non-essential goods with higherhealthor environmental burden like alcohol, processed foods and gaming, may face pressure for being included into the new slab.

best earn through instagram for indians for experts ✌️【365vc.net】✌️Achieve 100% returns in a month. AI-driven predictions make investing easy and profitable. Start today!This could trigger future demands for reclassification or highertaxslabs for other goods, potentially expanding the complexity of the GST system.While the finance minister and the Central Board of Indirect Taxes and Customs (CBIC) called these reports as “premature and speculative,” the development has sparked debate about the consistency ofIndia’s tax regime.

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Monthly GST revenues doubled between 2017-18 and 2023-24, reaching Rs 1.68 lakh crore, with an all-time high of Rs 2.10 lakh crore in April 2024.

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Given the current strength of GST collections, introducing a new 35% slab risks undoing these gains.The proposed fifth tax slab at 35% targets demerit goods, but it introduces unnecessary complexity into an already functioning GST structure.

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