FM Sitharaman Thanks States for Support in Landmark GST Overhaul

Last updated: 08 September 2025


Quick Summary
Finance Minister Nirmala Sitharaman has expressed her gratitude to all state finance ministers for their cooperation in implementing the significant Goods and Services Tax (GST) overhaul. The GST Council, with unanimous support from all states, approved a new two-slab system: 5% for essential goods and 18% for others, effective September 22, 2025. This reform aims to simplify the tax structure, reduce the burden on consumers, and boost spending, despite initial concerns about potential revenue loss.

Union Finance Minister Nirmala Sitharaman has written to finance ministers of all states, expressing her gratitude for their cooperation and active participation in implementing the historic overhaul of the Goods and Services Tax (GST) regime. In an interview, FM Sitharaman revealed that despite in
Daily Limit Reached

You have reached your daily limit of 2 Free News

Subscribe to CCI PRO for unlimited access

Why Upgrade to CCI PRO?
  • No Ads
  • WhatsApp Broadcasts
  • Daily E-Newsletter
  • Unlimited News Access
BEST VALUE
2 YEAR PLAN
3,499
(Inclusive of GST)
1 YEAR PLAN
1,999
(Inclusive of GST)
Buy CCI PRO Now

Already a PRO member? Login here for an ad-free experience.

FAQ :

FM Sitharaman wrote to the finance ministers of all states to thank them for their cooperation and active participation in implementing the historic overhaul of the GST regime.

The GST Council unanimously approved restructuring GST into a two-slab system: 5% for essential goods and 18% for all other goods and services.

The revised GST rates take effect from September 22, 2025.

States raised concerns over possible revenue shortfalls due to the removal of the 12% and 28% tax slabs.

FM Sitharaman reassured states that higher consumption resulting from lower tax rates would compensate for potential revenue losses.

This reform, dubbed GST 3.0, is considered one of the biggest tax changes since GST's launch in 2017, aiming to boost consumer spending and simplify India's indirect tax system.




News posted by

Finance news reporter covering taxation, GST, income tax, business compliance, and economy updates. I simplify complex financial topics into easy-to-understand articles for professionals, taxpayers, and business owners on leading finance and tax platforms.

Click here to Login and post comments    OR



More »


Popular News





CCI Pro



Company
ARTICLESHIP 30 June 2026
Taxation Content Writer Intern

Interactive Media Pvt Ltd.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 30 June 2026
2 posts Article assistant and Articleship completed students

Chirag N Shah & Associates

Mumbai

CA Inter

View Details
Company
23 July 2026
CA Inter

Vikram Jadhav and Company

Pune

CA Inter

View Details
Company
Featured 18 July 2026
Senior Manager- Finance & Accounts

apricus india

Ahmedabad

CA

View Details
Company
16 July 2026
CA Inter, CA Intermediate, CA IPCC, CA CPT , CA SemiQualifie

Vakilsearch.com

Chennai

CA Inter

View Details
Company
13 July 2026
AVP / VP - PCG Advisory

Workforce Connect

Mumbai

MBA

View Details
Company
ARTICLESHIP 10 July 2026
Article Assistant

N S Gokhale & Co

Thane

CA Inter

View Details
Company
Featured 16 July 2026
Semi Qualified Company Secretary

Vakilsearch.com

Chennai

CS

View Details