Archive · 3 Sep 2025
GST Council Meeting: Apparel, Footwear to Get Cheaper
The GST Council, a group of government officials, decided to make clothes and shoes costing up to ₹2,500 cheaper.
This is because they will now have a lower tax rate of 5%.
Currently, items under ₹1,000 have the 5% GST.
This decision was made during a meeting where they discussed how to change the GST tax system.
The government is aiming to make everyday items more affordable, as promised earlier.
Some states are concerned about potential revenue losses from these changes.
The Council is also looking at how to compensate the states for any money they might lose.
GST Council decided to lower GST on apparel and footwear up to ₹2,500 to 5%.
The 56th GST Council meeting concluded on September 4.
Currently, apparel and footwear up to ₹1,000 are in the 5% slab.
GST Council also aims to move items from the 12% and 28% slabs to 5% and 18%, respectively.
The GST reforms were announced after PM Modi's Diwali promise.
- Who
- GST Council led by Finance Minister Nirmala Sitharaman
- What
- Decided to bring footwear and apparel priced till ₹2,500 under the 5 per cent GST slab.
- When
- During the 56th GST Council meeting
- Where
- GST Council Meeting
- Why
- To implement GST reforms
Opposition-ruled states
Central Government
Revenue Compensation
Opposition-ruled states
Seeking compensation for potential revenue loss due to GST reforms.
Central Government
Needs to clarify compensation plans.
- Key Decision
- Bring apparel and footwear under 5% GST slab
- Footwear/Apparel Price Cap
- ₹2,500
- GST Council Meeting
- 56th
- GST Slabs
- 5%, 12%, 18%, and 28%
- PM's Diwali Promise
- GST reforms for lower prices
Sources
CM urges citizens to make tax payment a people’s movement to enhance Nagaland’s revenue
GST Council Meeting: What is Opposition's stand on Centre's proposed GST reforms?
GST on apparel, footwear up to ₹2,500 likely to be brought under 5% slab — Check details