GST cut on milk, snacks, clothes and more: How the new rates can lighten your wallet from September 22

In a major reform, the GST Council on Wednesday approved a simplified two-tier tax structure with rates of 5% and 18%, set to take effect from September 22.

UHT milk will now be tax-free, while butter, ghee, paneer, and cheese attract 5% or no GST. Pre-packaged namkeens, bhujia, and mixtures see a cut from 18% to 5%, and mass-market footwear and textiles drop to 5%.

Vegetable oils, edible spreads, meat and fish products, and malt-based foods now attract 5% GST. Natural and mineral water, along with unsweetened aerated water, also come under the 5% bracket.

Most medicines, medical devices, nuts, dates, and condensed milk now attract 5% GST, while essential stationery items like notebooks, pencils, and crayons remain tax-free

Milk-based beverages, pharmaceutical goods, and bicycles will now carry a uniform 5% GST, simplifying tax compliance across these categories.

Jam, ketchup, non-aerated drinks, and apparel costing less than ₹2,500 per piece will all be taxed at 5%, easing the burden on daily consumer goods.