GST Rate Changes: Impact on MRP of Common Items

New Delhi, Sep 10 (PTI) The finance ministry has asked Central GST field officers to submit monthly report of price change in 54 commonly use items, like butter, thermometer and toys, after the new lower GST rates are implemented from September 22.

In a letter to Principal Chief Commissioners of CGST zones, the ministry said the first report on the comparative details of Maximum Retail Price (MRP) of these commodities brand-wise will have to be submitted to the Central Board of Indirect Taxes and Customs (CBIC) by September 30.

The monthly report on pre- and post-September 22 MRP will have to be submitted to the CBIC by the 20th of every month for the next six months, said the letter dated September 9.

The list of 54 items include cement, shampoo, toothpaste, tomato ketchup, jams, ice cream, AC, TV, all diagnostic kits, glucometer, bandages, erasers, and crayons, among others.

The GST Council in its meeting on September 3 had decided to reduce tax rates on 375 items. It also decided to make GST a two-tier structure of 5 and 18 per cent from the current four-tier slabs of 5, 12, 18 and 28 per cent. The new rates will be effective September 22.