List of Goods and Services Getting Costly After GST

Congratulation to all tax professionals CAs, Tax Lawyers, Tax Practitioners, Accountants and tax payers to enter in a new Tax Regime.

Here is the list of goods and service going to expensive after GST (1st July 2017). So you should know about what is going to costly after GST applicability.

One thing you should clear about GST that there is no one tax rate on all commodity and services. There are different GST rates on each group of commodity.

So some goods and services are going to expensive and some are going to cheaper.

In this article we talk only about Good and Services are going to expensive.

List of Goods and Service Getting Expensive After GST (w.e.f. 1st July 2017)

There are only four GST tax rates slab.

  • 5%
  • 12%
  • 18%
  • 28%

Restaurant Food

  • Under VAT Regime  – 11%
  • Under GST for Non AC Restaurant –  12%
  • Under GST for AC Restaurant and Having Liquor Licence  -18%
  • All Luxury Restaurants – 28%

Mobile Phones

For some states mobile phone is going to cheaper and for some states is going to expensive. Some states had 5% VAT on mobile and some states had 15%. Now under GST regime mobile phones has 12% GST.

Mobile Bill Payment

Mobile bill payment is going to expensive under GST regime. As there is 3% increase in tax rate under GST.

  • Under VAT Regime  – 15%
  • Under GST Regime –  18% service tax

Credit Card Bill Payment

Although government suggest to people for doing digital transaction instead of cash, but the credit card bill payment is going to expensive under GST regime.

  • Service Tax Regime – 15%
  • Under GST Regime – 18%

Insurance Policy Renewal Premium

The renewal on premium of life insurance policies is going to expensive under GST regime as follows. There is 3% increase on insurance policy premium.

  • Service Tax Regime – 15%
  • Under GST Regime – 18%

Tour and Travelling

The tour and travelling is also going to expensive for India and abroad tours. There is 3% increase of tax under GST regime.

  • Service Tax Regime – 15%
  • Under GST Regime – 18%

Gold

There is 3% GST rate on Gold. The following table will help you to understand the difference of rates on Gold under VAT and GST regime.

ParticularsVAT RegimeGST Regime (w.e.f. 1-7-17)
Gold Price100100
Custom Duty @ 10%1010
Total Price after custom duty110110
Excise duty @1%1.10
Total Price after custom and excise duty111.1110
VAT @ 1.2%1.30
Total price after custom, excise and VAT112.4110
GST @3%03.3
Total price after custom, excise and GST112.4113.3
Making Charges @12% on (Gold Price + custom duty)13.213.2
Total price after custom, excise, GST and Making Charges125.6126.5
GST on Marking Charges00.7
Total Gold Price After Custom, Excise, GST, Making Charges and GST on Making Charges125.6127.2
Total Taxes12.414

 

Here is the above list of goods and services which are going to expensive under GST regime. In next article, we will discuss about the goods and services are going to cheaper.

Categories GST

3 thoughts on “List of Goods and Services Getting Costly After GST”

  1. If we considered Service Tax on making charges @ 15% i.e. Rs.2/- than VAT total Tax Rs.14.40 and GST total tax Rs.14.00.
    In this condition total cost of Gold is CHEAPER under GST.

    Please confirm.

  2. Before GST regime there was service tax on making [email protected]% i.e.₹2 which is not considered
    If u consider GST ₹ 0.7 that means he has turnover above ₹20 lakhs which also mean he has crossed the limit of ₹10 lakh under service tax
    Then why you haven’t considered it?

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