The two main GST slabs under the simplified, post-September 2025 structure in India are 5% (for essential/common goods) and 18% (for standard goods and services). This reform, effective September 22, 2025, aims to reduce the burden on consumers by replacing the previous four-tier system (5%, 12%, 18%, 28%).
The GST tax structure launched 8 years back had four slabs: 5%, 12%, 18% and 28%. It is now revised to 2 slabs: 5% and 18%. A merit rate of 5% and a standard rate of 18%.
There are 4 types of GST in India, they are:
The R1, R2, and R3 in GST represent the GST R1, GST R2, and GST R3. Here the. R1 in GST represents sales return (outward supplies) R2 in GST represents purchase return (inward supplies) R3 in GST represents both sales return and purchase return (outward and inward supplies respectively)
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).
The CRA will make these payments on the 5th day of July and October 2025, and of January and April 2026.
Maximum marginal rate is the highest rate of tax at any income level. This means for those with incomes between Rs 2 crore and Rs 5 crore, 39% will be the highest applicable tax rate, and for those with incomes above Rs 5 crore, it will be 42.74% — the highest tax rate since 1992.
Meaning of GSTR-2B vs GSTR-3B
On the other hand, GSTR-3B is a self-declared, monthly return that summarises a business's outward supplies, ITC claims, and total tax liability for that month. While GSTR-2B serves as a reference for available ITC, GSTR-3B is crucial for reporting monthly tax liabilities.
GSTR-3B Due Date for September 2025
The due date of the monthly GSTR-3B for September 2025 is now extended from 20th October 2025 to 25th October 2025. Likewise, the quarterly GSTR-3B for Q2 of FY'26 has been extended from 22nd/24th October 2025 to 25th October 2025.
TABLE 4A, 4B, 4C, 6B, 6C - B2B INVOICES - RECEIVER-WISE SUMMARY. In this table, you can add details of taxable outward supplies made to registered person. Additionally, invoices auto-populated from e-invoices will be available in this table. This page provides you the receiver-wise summary of the already added invoices ...
The primary difference between GSTR 2A and GSTR 3B is that GSTR 3B is a summary return filed by the taxpayer. At the same time, GSTR 2A is an auto-generated return showing details of inward supplies and ITC based on the suppliers' GSTR-1.
What are the correct GST slabs on goods and services? The GST rates in India have been simplified to three main slabs: 5%, 18%, and 40%. The 5% rate applies to essentials and common household goods, the 18% rate is the new standard for most consumer products and services, and the 40% rate is for luxury and "sin" goods.
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%.
2022, Works contract services provided to Central and State Government, or Local Authorities, which were earlier eligible for concessional rate of 12% GST,would attract GST at the rate of 18% in view of amendment carried out in notification No. 11/2017- Central Tax (Rate) vide notification No.
GST 2.0 at a Glance: A New Tax Blueprint
Here's the corrected snapshot of major materials under the new two-slab system: Cement: Reduced from 28% to 18%. This is the biggest single tax cut in the construction sector. Steel & Iron Products: Remain at 18%.
GSTR-1 and GSTR-3B are meaningful returns that businesses must file correctly and on time to follow GST rules. GSTR-1 shows what the taxpayer sells, while GSTR-3B summarises all sales, purchases, taxes owed, and credits claimed.
GSTR-3B is a monthly summary return that must be filed by the 20th of the following month, or by the 22nd or 24th in case of quarterly filers.
Step-by-step guide to claiming ITC and reporting in GSTR-3B
GSTR-2A is a dynamic purchase-related tax statement, while GSTR-2B is a static monthly ITC statement. GSTR-2B helps businesses identify eligible ITC, whereas GSTR-2A keeps updating as suppliers upload invoices. ITC claims should be aligned with GSTR-2B, not GSTR-2A.
GSTR-3B is a monthly summary return that GST-registered taxpayers must file to report their outward supplies, input tax credit (ITC), and tax liability for a given period. It is a self-declared form—concise, without invoice-level details—and serves as a consolidated summary of a taxpayer's GST obligations.
Who is Eligible to Use GSTR-2B? All regular taxpayers, SEZ units and developers, and casual taxpayers registered under GST can use GSTR-2B. It is not applicable to composition taxpayers. Businesses under QRMP scheme also receive GSTR-2B monthly for ITC planning.
According to government reports, while over 7 crore people file tax returns, only a fraction of them actually pay taxes because many fall below the taxable income threshold or use deductions to reduce liability.
In her 2025 Budget speech, Finance Minister Nirmala Sitharaman shared big news. Under the new regime, if you earn up to Rs 12 lakh, you will not have to pay any income tax. Salaried taxpayers get an extra benefit too. The standard deduction, which was Rs 50,000 before, has now gone up to Rs 75,000 for the new regime.
He directly holds 1.61 crore shares in Reliance, earning Rs 8.85 crore in dividend income based on the Rs 5.50 per share dividend declared by the company for FY25. The promoter group firms that he controls, own 664.5 crore shares, or 50.07 per cent, give a dividend income of Rs 3,655 crore.