Page 24 - NIS English 01-15 October, 2025

COVER STORY | New GST Reforms of New India

7 Pillars of Next-Generation GST Reforms

Pillar 1 Pillar 3

GST Opens New Avenues Easy Filing

n GST 2.0 simplifies the tax system with through Technology
a more transparent two-tier structure

and rationalized rates, streamlining tax n Simplified registration for
processes. small and low risk businesses.
Automatic Registration in 3

n The initial GST regime unified 17 central working days; 96% of new
and state taxes, establishing a ‘One registrations will benefit.
Nation, One Tax’ system. Now, GST 2.0

further rationalizes and simplifies it with a n 90% provisional refund for
streamlined two-tier tax structure. exporters. System based risk
identification ensures compliance.

Pillar 2

Balanced Tax Regime Pillar 4

n Lower GST Rates for Equitable

Taxation Consumer Centric
Citizen Convenience First

n Now, two major GST rates

5% and 18%, simpler than the n Essential and mass consumption goods
previous four rates. This will and services are included in lower tax
reduce tax disputes and expedite slabs of 0% or 5% GST.
refunds.
n GST on mobility and white goods

reduced from 28% to 18%.

Pillar 5- Empowering MSMEs
and taxpayers eligible for refund arising out of
n Boosting MSMEs – Empowering Micro, Small, Inverted Duty structure.

and Medium Enterprises.

n A simpler tax system will strengthen the ‘Make in

n GST reforms will ease cash flow for exporters India’ initiative.
Pillar 6 Pillar 7

Easy Tax Collection Impact on the Overall Economy

n Benefits for States. Simplified n Increased Consumption, Economic Growth
tax collection. n Essential household goods and services will be more affordable.

n Increased consumption leads n Tax burden on the middle and lower classes will decrease.
to higher revenue. n Increased consumption will make manufacturing cheaper.

22 NEW INDIA SAMACHAR || October 1-15, 2025