In a significant move aimed at easing the burden on consumers, the Goods and Services Tax (GST) on stationery items has been slashed from 18% to 12%. This reduction applies uniformly to all types of stationery, including solar panels, cookers, and water heaters that utilize solar energy.

Finance Minister Nirmala Sitharaman announced the decision during the 53rd GST Council meeting held in Delhi. The revised GST rate of 12% will now apply to all paper and paperboard products, regardless of their application.

The revision from 18% to 12% GST on stationery items is expected to provide relief to travelers by exempting services such as railway tickets, concessional fares, goods supplied to passengers, and car hire services operated through battery-operated vehicles from GST.

Furthermore, educational institutions will benefit from exemptions on a range of services, such as up to ₹20,000 per month in fees for students, which are now exempt from GST.

This move is part of ongoing efforts to simplify GST rates and promote greater compliance among taxpayers while ensuring essential goods and services remain affordable for the general public