Cigarettes and Cold Drinks to Become Expensive: Proposal to Increase GST to 35%

Cigarettes, tobacco, and aerated drinks are set to become more expensive as the central government plans to increase the GST on these items. Currently, these harmful products are taxed at 28%, but the proposal is to raise it to 35%. A group of ministers, chaired by Bihar's Deputy CM Samrat Chaudhary, is deliberating on this change. The meeting is also considering adjustments to the tax on clothing. According to news agency PTI, the new tax structure proposes a 5% GST on ready-made clothes costing up to ₹1,500, 18% GST on clothes priced between ₹1,500 and ₹10,000, and 28% GST on clothes costing more than ₹10,000.