GST price slash kicking in today; Grab your favorite electronic appliances at cheaper rates!

New Delhi, July 28: Another feather added to the colorful cap of happiness! The recent GST meeting decision has given the people enough reason to express their happiness with a slash in rates of nearly 50 products. Adding another reason for happiness, giving people a major relief, the refrigerators, televisions, food processors and washing machines will be at least 7-10 % cheaper from July 28.

Informing on slash rates and benefitting the consumers with the GST rates, Godrej Appliances stated that it has reduced the prices of its washing machines, refrigerators, microwave ovens and chest freezers by 10%. With several goods rate trimmed from 28% to 18% because of the GST, the impact is quite visible with the decision coming into effect from July 27 and several consumer durable firms have slashed the prices of products.

The electrical appliances were earlier placed under the 28% tax slab, which was recently reduced to 18%. Providing an increased push to the upcoming festive sales, the Godrej Appliances is all set to benefit its consumer with reduction of 10% in GST with an immediate effect that is ought to be from this weekend.

Coming as a surprise for the consumers ahead of the festive season, the GST Council on July 21 decided to slash rates of several products in the white goods category. The slash in rates has expected the new prices, coupled with festive consumer offers, a good monsoon, and revision of the seventh pay commission, to provide a major fillip to festive sales growth to the tune of 12-15% over last year’s festive season.

With this new offer for the consumers, the revision in the GST rates will make the electronic appliances more affordable and will help accelerate the dissemination of these appliances. It has been noted that air conditioners are amongst the 35 goods still left in the 28% tax bracket, and said that he expects the energy efficient variants to be considered for reduction in GST rate.

Taking into consideration the revision of tax on air conditioners, it is hopeful that the reduction on ACs will, however, boost its consumer intake which is currently only limited to 3.6%.

Apart from Godrej another consumer durable major Samsung also on Friday announced reduction in the prices of TVs, fridges and washing machines by nearly 8%. The festive season accounts for the bulk of the demand for home appliances. The electronic appliances are usually bought as a gift for friends and relatives or for self, festive season sales account for almost 40% of the annual revenues of the consumer durable firms.