GST Bachat Utsav announced by Prime Minister Narendra Modi which commenced on 22nd of last month is benefiting all sections of society. The next-generation GST reforms represent a significant step towards simplifying India’s indirect tax system. The reforms are bringing substantial relief to citizens by reducing the tax rate on various goods and services. 

Under the Next Generation GST reforms, the Government has introduced major GST rationalization measures to make India’s tourism sector more affordable, promote the use of public transport, and support artisans and cultural industries. The GST rate on hotel rooms priced below 7 thousand 500 per day has been reduced from 12 percent to 5 percent. These lower GST rates will make hotels cheaper for middle-class and budget travelers and enhance India’s appeal to international visitors. Similarly to boost India’s cultural heritage, the GST on art ware and sculptures has been brought down to 5 percent. Along with this, the tax on buses with a seating capacity of more than 10 persons has been slashed down to 18 percent from the earlier 28 percent. This move encourages public transport use, which helps reduce traffic and pollution.

These GST cuts are a strategic initiative by the government to boost India’s tourism and cultural sector. The tax reductions will make travel more affordable, support local artisans, and promote the hospitality infrastructure.