Key points
- Effective date: 22 September 2025 for all goods except pan masala, gutkha, cigarettes, chewing tobacco, unmanufactured tobacco and bidi.[1]
- Structure: a standard rate of 18%, a merit rate of 5%, and 40% for a few demerit goods.[1]
- The legal list is Notification 09/2025-Central Tax (Rate) of 17 September 2025.[2] The tables below come from the Council's sector-wise annexure.[1]
- Not in the lists? If your HSN is not in the Council's change lists, no change was recommended for it. Confirm the current rate in the notification or the HSN finder before you bill.
Electrical and electronics traders
| HSN | Goods | Old rate | New rate |
|---|---|---|---|
| 8415 | Air-conditioning machines | 28% | 18% |
| 8422 | Dish washing machines, household and other | 28% | 18% |
| 8528 | Television sets (all), monitors and projectors, set-top boxes | 28% | 18% |
| 8507 | Electric accumulators, including lithium-ion batteries and power banks | 28% | 18% |
| 8511 | Ignition and starting equipment for engines (spark plugs, starter motors, alternators) | 28% | 18% |
| 84, 85, 94 | Solar power devices, solar lanterns, PV cells and modules, wind generators | 12% | 5% |
| 9405 | Hurricane lanterns, kerosene lamps, petromax, glass chimneys | 12% | 5% |
Wires and cables, switchgear, fans and lighting fittings do not appear in the Council's change lists. Check the rate for your exact HSN in the notification before assuming it is unchanged.[1][2] जाँचें
Hardware and building materials
| HSN | Goods | Old rate | New rate |
|---|---|---|---|
| 2523 | Portland, slag and similar cements, clinker | 28% | 18% |
| 2515 12 10 | Marble and travertine blocks | 12% | 5% |
| 2516 | Granite blocks | 12% | 5% |
| 68 | Sand-lime bricks, stone inlay work | 12% | 5% |
| 7323 | Table, kitchen and household articles and utensils of iron or steel | 12% | 5% |
| 7418, 7615 | Household articles and utensils of copper and aluminium | 12% | 5% |
| 7319 | Sewing needles | 12% | 5% |
| 7310, 7323, 7612, 7615 | Milk cans of iron, steel or aluminium | 12% | 5% |
| 8716 80 | Hand carts and other hand-propelled vehicles | 12% | 5% |
FMCG distributors
| HSN | Goods | Old rate | New rate |
|---|---|---|---|
| 0401, 0406 | UHT milk; pre-packaged and labelled paneer | 5% | Nil |
| 2106 | Paratha, parotta and other Indian breads | 18% | Nil |
| 0405, 0406 | Butter, ghee, butter oil, dairy spreads; cheese | 12% | 5% |
| 2106 90 | Namkeen, bhujia, mixture, pre-packaged and labelled | 12% | 5% |
| 1902, 2103, 2007, 2009 | Pasta and noodles; sauces and seasonings; jams; fruit juices | 12% | 5% |
| 1704 | Sugar-boiled confectionery | 12% | 5% |
| 1704, 1806 | Other sugar confectionery; chocolates | 18% | 5% |
| 1905 | Pastry, cakes, biscuits and other bakers' wares | 18% | 5% |
| 1904, 2101 | Corn flakes; coffee and tea extracts and preparations | 18% | 5% |
| 2105, 2104 | Ice cream; soups and broths | 18% | 5% |
| 3305, 3306, 3401 | Hair oil, shampoo; toothpaste, dental floss; toilet soap bars | 18% | 5% |
| 3304, 3307, 9603 21 | Talcum and face powder; shaving cream; toothbrushes | 18% | 5% |
| 3306 10 10, 3406, 3605 | Tooth powder; candles; safety matches | 12% | 5% |
| 2202 10, 2202 99 | Aerated waters with sugar or flavour; caffeinated beverages | 28% | 40% |
| 2202 91, 2202 99 | Other non-alcoholic beverages | 18% | 40% |
Worked example, in rupees
Krishna Agencies, Indore (sample firm) sells personal-care goods to a retailer. The same order before and after 22 September 2025:
| Item (HSN) | Taxable value | GST before | GST after |
|---|---|---|---|
| Shampoo (3305) | ₹40,000 | ₹7,200 (18%) | ₹2,000 (5%) |
| Toothpaste (3306) | ₹35,000 | ₹6,300 (18%) | ₹1,750 (5%) |
| Toilet soap bars (3401) | ₹25,000 | ₹4,500 (18%) | ₹1,250 (5%) |
| Total | ₹1,00,000 | ₹18,000 | ₹5,000 |
The bill total falls from ₹1,18,000 to ₹1,05,000. Two things to watch: your input tax credit on these items now comes at 5% too, so check whether credit builds up on other inputs and services taxed at 18%; and any credit note against a bill issued before 22 September uses the rate on that original bill.
Updating your item master
- Export your item list with HSN and rate; filter items in the changed headings.
- Update rates with the effective date, not just the value, so old bills keep the old rate.
- Check the description-specific entries (pre-packaged, toilet soap, sugar-boiled) item by item.
- Reprint price lists and scheme sheets; the tax-inclusive price changes even if your base price doesn't.
- For goods invoiced or paid around the change date, ask your CA how the time of supply rules apply (section 14 of the CGST Act). जाँचें
- Cess: check with your CA whether compensation cess still applies to any item you sell; tobacco items stayed on the old rates and cess.[1] जाँचें
How Moharbill helps
- Rates are stored with effective dates, so a bill made today uses today's rate and a credit note against an old bill uses the old one.
- The HSN finder and GST calculator are free.
- Trade pages: electrical distributors, hardware traders, FMCG distributors.
Frequently asked questions
When did the new GST rates (GST 2.0) start?
From 22 September 2025 for goods and services, except pan masala, gutkha, cigarettes, chewing tobacco, unmanufactured tobacco and bidi, which stayed on the old rates until a date to be decided.
What are the GST slabs after GST 2.0?
A standard rate of 18%, a merit rate of 5%, and a special rate of 40% for a few demerit goods. Some goods are nil-rated and a few special rates remain.
What is the GST rate on cement now?
Cement under heading 2523 moved from 28% to 18% from 22 September 2025.
What is the new GST rate on soap, shampoo and toothpaste?
Toilet soap bars, shampoo, hair oil, toothpaste and toothbrushes moved from 18% to 5% from 22 September 2025.
What is the GST rate on ACs and TVs?
Air conditioners, all television sets, monitors and projectors moved from 28% to 18% from 22 September 2025.
Which notification has the new GST rates?
Notification No. 09/2025-Central Tax (Rate) dated 17 September 2025 sets the central tax rates for goods; states issued matching notifications.
Sources
All read on 17 Oct 2026.
- PIB, "Recommendations of the 56th Meeting of the GST Council", 3 Sep 2025, with Annexure I (HSN-wise) and Annexure II (sector-wise) and the implementation dates. gstcouncil.gov.in
- PIB, "Recommendations of the 57th Meeting of the GST Council", 8 Oct 2026, para C1 (cites Notification No. 09/2025-CTR dated 17.09.2025). gstcouncil.gov.in
Moharbill टीम ने लिखा
हम Hexa Secure Labs में डिस्ट्रीब्यूटर के लिए GST बिलिंग बनाते हैं और ये गाइड उन्हीं नियमों से लिखते हैं जो हम प्रोडक्ट में डालते हैं। कुछ पुराना दिखा? हमें बताएँ, हम दो कामकाजी दिनों में ठीक कर देंगे।