Is GST rate going down from October 2025?

Asked by: Prof. Ellen Gutkowski  |  Last update: August 12, 2026
Score: 4.9/5 (61 votes)

Yes, significant GST rate reductions and structural reforms (often referred to as GST 2.0) came into effect around late September and early October 2025. The reforms shifted the structure towards a three-slab system (5%, 18%, and 40%), moving many items from 12% to 5% and reducing 28% rates to 18%, largely reducing the tax burden on essential goods and services.

What are the GST updates for 2025?

Goods and Services Tax (GST) 2.0 reform, which came into effect from September 22nd, 2025, brought relief for the common people and boosts for businesses. One of the key GST updates under 2.0 reform is that it simplified the GST tax structure from a 4-slab (5%, 12%, 18% and 28%) to a 3-slab (5%, 18% and 40%).

Is GST going to decrease?

GST Rate and Slab Changes in September 2025

Significant changes have been implemented after the 56th GST Council meeting lowering the price of necessary goods, decreasing insurance premiums, and shift high-consumption goods into lower tax brackets. GST rate cuts on 200 items happened from 22nd September 2025.

Is GST still 9% in 2025?

For any standard-rated supplies of goods or services that you make on or after 1 Jan 2024, you must charge GST at 9%. For instance, if you issue an invoice and receive payments for your supply on or after 1 Jan 2024, you must account for GST at 9%.

What is the GST portal update October 2025?

Effective October 1st, 2025, a new set of rules for GST return filing will come into effect. This marks the first filing cycle under the GST 2.0 reforms, aimed at improving transparency, control, and accuracy in Input Tax Credit (ITC) management through the Invoice Management System (IMS).

New GST Changes effective from 1 October 2025 | GST 2.0 Update

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Do we get extra GST in October 2025?

The CRA will make these payments on the 5th day of July and October 2025, and of January and April 2026.

How much do I get for GST 2025?

In August 2025, over 1.5 million eligible adult Singaporeans will receive up to $850 in cash as part of GSTV – Cash, depending on their AI for the Year of Assessment (YA) 2024 and the Annual Value (AV) of their home.

How much GST will I get back in 2025?

Payment amounts are recalculated every July

For example, the information from your 2024 tax return determines the GST/HST credit amount you get for the payment period from July 2025 to June 2026. You could get up to: $533 if you are a single individual. $698 if you are married or have a common-law partner.

How do I avoid 9% GST?

How to Avoid GST on Overseas Purchases Legally

  1. You are 18 or older.
  2. You are not arriving from Malaysia.
  3. You have been outside of Singapore for 48 hours or more.
  4. You are importing an allowable product for your personal use.

What is the GST collection for October 2025?

Total Net GST revenue for October 2025 stands at ₹1,69,002 crore, which is 0.6% higher(monthly growth) and 7.1% higher (yearly growth) than the corresponding period last year at ₹1,68,054 crore.

What are the tax changes for 2025?

Tax changes for 2025, largely driven by the "One Big Beautiful Bill" (OBBBA) Act, introduce significant deductions for seniors, tips, overtime, and auto loan interest, expand the Child Tax Credit, and raise the SALT deduction cap to $40,000, while making several 2017 Tax Cuts and Jobs Act provisions permanent, including the seven tax brackets. Key changes include a $2,200 Child Tax Credit, a $6,000 senior deduction, deductions for qualified tips and overtime, and a permanent standard deduction increase. 

Are we getting more for GST?

Canadian taxpayers will see a confirmed 2% GST payment increase in 2026, offering some welcome financial relief at a time when the cost of living remains high. Starting July 2026, the Canada Revenue Agency (CRA) will adjust the GST/HST credit to reflect annual inflation indexation.

Will GST be reduced in 2025?

What are the new changes in GST 2025? Starting September 22, 2025, GST in India will be simplified to primarily two rates: 5% and 18%, with a special 40% rate on luxury and sin goods like tobacco and high-end vehicles.

How much is GST on $500?

Find the GST Amount:

Multiply the base price by 0.1. $500 × 0.1 = $50. The GST is $50.

Is GST going to increase to 10%?

New GST Rate of 9% in 2024

Come 1 Jan 2024, the GST rate will be raised from 8% to 9%, as part of the two-step GST rate change announced by the Minister for Finance in Budget 2022. The first step from 7% to 8% had taken place earlier on 1 Jan 2023.

Is there an extra GST payment in October 2025?

GST and HST Payment Dates for 2025-2026

July 4, 2025 (first increased payment) October 3, 2025. January 5, 2026. April 3, 2026.

How are getting out GST in 2025?

If you are eligible for the 2025 GST Voucher (GSTV) – Cash and/or GSTV – MediSave and have signed up for a previous Government payout (e.g., 2024 GSTV), you will automatically receive your 2025 GSTV – Cash and/or GSTV – MediSave in August 2025. No further action is required on your part.

What are the common GST mistakes to avoid?

Here are some of the primary and most common errors made by enterprises, and this is how you can fix them as well.

  • Late Filing. Many enterprises can make the mistake of filing their returns late. ...
  • Incorrect GSTIN. ...
  • Claiming Ineligible ITC. ...
  • Incorrect Tax Categorisation. ...
  • Mismatch. ...
  • Ignoring GST Notices. ...
  • Failing to Maintain Records.

Who gets the $2000 tax credit in Canada?

In Canada, a $2,000 tax credit often refers to the Pension Income Amount (Line 31400) for seniors receiving eligible pension/annuity income, creating a $300 federal credit (15% of $2,000), or a provincial Training Tax Credit for Apprentices, like British Columbia's $2,000 for completing specific training levels, while other benefits like the GST/HST Credit or Disability Benefit offer amounts varying based on income and family situation, not a fixed $2,000 for everyone. 

Do I have to pay GST if I earn under $75000?

If your GST turnover is below the $75,000 threshold, you may choose to register. But if you do, regardless of your turnover, you must: include GST in the price of most goods and services you sell. claim GST credits for most business purchases you make.

Who will get the $250 GST rebate?

In order to qualify for this, you have to have worked in 2023 and had an income below $150,000. You also qualify if you received Employment Insurance, paid EI premiums or made CPP contributions. You should receive this via cheque or direct deposit by April 2025.

Are GST rates going down?

India's GST regime is undergoing a landmark transformation with the 56th GST Council meeting unveiling GST 2.0 - next-generation reforms simplifying tax slabs to 5%, 18%, and 40%. Effective from September 22, 2025, these reforms aim to ease compliance, boost consumption, and fuel economic growth.

How much tax do you pay on $70,000 a year in Canada?

For a $70,000 income in Canada (using 2025 rates), you'll pay roughly $13,000 to $20,000 in total taxes (federal, provincial, CPP, EI), depending on your province, resulting in a take-home pay around $50,000-$59,000, with federal tax around 14.5% or 20.5% depending on the portion, plus provincial tax and deductions like CPP and EI.