Significant changes to the Goods and Services Tax (GST), initially implemented in India in 2017, were introduced on August 3, 2025. This reform is referred to as GST 2.0. Following an announcement by Prime Minister Narendra Modi, the 56th GST Council meeting decided to eliminate the 12% and 28% tax slabs. Now, the primary slabs are 5% and 18%, encompassing the majority of goods and services. As a result of this reform, taxes on several essential items have decreased, including automobiles. Many vehicles have become more affordable under GST 2.0.
