Detailed explanation of how GST effects daily life - Fusion

Detailed explanation of how GST effects daily life

Detailed explanation of how GST effects daily life

GST, it has pretty much become the talk of the town with every day. An average common man has every right to talk and analyze such a huge bill because of the sheer scale of its affect.

The bill was already passed by Rajya Sabha back in August 2016 and India is preparing for the biggest changes in tax system since then.

But what exactly does GST do? What changes will it bring to the common man’s life? Read on to find out the list of things that change with GST.

GST would be making some things cheaper and some things costlier. It all depends on whether the commodity is used by a rich person or a common man.


There won’t be any tax on almost 50 % of items in the Consumer Price Index basket including food grains, milk, vegetables and essential medicines which makes them cheaper.

Things that may get cheaper are:

  • Electronics like Fans, air coolers, lighting water heaters, LED TVs, mobile phones and other electronic items, goods like Shampoos, over-the-counter drugs, processed foods, chocolates, readymade clothes, including branded apparel.
  • Entertainment tax will be reduced so movie tickets too.
  • To promote constructions, cement, paint and construction material.
  • To help people get access to cars, two-wheelers, entry-level cars and SUVs.
  • To encourage environment friendly nature, solar panels.
  • For digital India, Point of Sale (PoS) machines and fingerprint scanners

Things that may become costlier:

Detailed explanation of how GST effects daily life

Detailed explanation of how GST effects daily life

These include ‘luxuries’ like:

  • Hotel and restaurant experiences.
  • Mobile bills and internet packs.
  • Jewellery and high-end accessories.
  • Transportation costs like Rail, flights, rent-a-cab services.
  • Services like DTH, cable TV etc.
  • While entry level cars may get cheaper, luxury cars are about to get costlier.
  • Tobacco products like Cigarettes can get costlier.
  • Drinks like Aerated drinks.

It is also expected that online shopping becomes costlier, however due to the lower costs of logistics and smoother it may remain pretty much the same.

Image Reference: TheBetterIndia

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