GST Bachat means "GST savings" and is used to describe the real gains Indian consumers get from the recent GST 2.0 changes. The government's new "GST Bachat Utsav" (Savings Festival) is a 100-day countrywide campaign assuring actual tax savings from lower GST rates reaching the end consumer.
In contrast to festival season sales by brands, these are government-imposed savings, now transparently shown as "GST Discount" on e-commerce and retail bills. With the majority of necessary products shifted to the 5% bracket and a radically streamlined tax regime, GST Bachat vows tangible relief in everyday costs, enhanced billing clarity, and greater consumer confidence particularly during India's huge festival buying season.
What is GST Bachat Utsav?
PM Modi announced the beginning of "GST Bachat Utsav" from September 22, 2025, falling on the days of Navratri. Implementing the Next-Gen GST 2.0 reforms, he termed it a "festival of savings for all Indians," to enhance household purse and economic growth during the festival season and beyond.
Simplified GST Structure: Two Main Slabs
The GST system is now much easier with just two main slabs of tax—5% and 18%—for the majority of products and services. Food items, medicine, soaps, toothpaste, and insurance fall under the 5% category (or are exempted from tax), while nearly 99% of the items that were earlier taxed at 12% now fall in the 5% category.
7 Major Takeaways from PM Modi's Letter to GST Bachat Utsav
1. The Inauguration of GST Bachat Utsav
PM Modi announced the beginning of "GST Bachat Utsav" on September 22, 2025, during Navratri. He termed the implementation of Next-Gen GST reforms as a new era that will help citizens throughout the festive period and beyond by providing greater savings for everyone.
2. Easy GST Structure: Two Primary Slabs
The largest of the reforms is the reduction in the number of GST slabs: there are just two major slabs left now i.e 5% and 18%. Food, medicines, soap, toothpaste, and insurance are now placed in the lowest 5% slab or are even exempt in certain instances. Nearly all the commodities that were previously charged at 12% have shifted to 5%.
3. Huge Saving for Households
Coupled with recent income tax reforms, the new GST regime is likely to save Indians almost ₹2.5 lakh crore every year. This translates to lower outgo on essentials and typical high-value goods, ranging from foodstuffs and medication to home appliances and vehicles.
4. MSMEs and Traders Relief
The Prime Minister also stressed direct relief to Micro, Small, and Medium Enterprises (MSMEs) and traders. The simplified mechanism, lower compliance cost, and lower rates will provide competitiveness boost, enhance local production, and promote entrepreneurship.
5. Drive Swadeshi and Self-Reliance
PM Modi took the opportunity to appeal for "Aatmanirbhar Bharat" (self-reliant India) and impelled citizens to "Buy Swadeshi, Sell Swadeshi," emphasizing the need to support local manufacturers and businesses to ensure long-term prosperity.
6. Direct Communication and Transparency
Much of GST Bachat Utsav is a 100-day e-commerce and retail campaign for awareness, where sellers must clearly display GST discounts and benefits on bills and invoices, keeping customers transparent.
7. Beneficiaries Across All Sections
Reforms are aimed at benefiting all sections of society farmers, women, youth, poor, middle class, shopkeepers, traders, and entrepreneurs by reducing cost of living, enhancing ease of doing business, and spurring economic growth in all parts of India.
GST Bachat Utsav is a tax reform beyond all reforms; it is a national movement centered on strengthening the people, increasing savings, rationalizing the tax system, and propelling India's growth story ahead. As defined by PM Modi, this programme is going to revolutionize the festive season into a festival of savings for families and a wave of opportunity for businesses nationwide.
Comments
All Comments (0)
Join the conversation