“GOODS AND SERVICES TAX (GST) IN INDIA: AN ANALYTICAL STUDY OF RECENT SLAB CHANGES AND THEIR IMPACT”

AUTHOR – MS. ANILA KURIAN, AMITY LAW SCHOOL, NOIDA

BEST CITATION – MS. ANILA KURIAN, “GOODS AND SERVICES TAX (GST) IN INDIA: AN ANALYTICAL STUDY OF RECENT SLAB CHANGES AND THEIR IMPACT”, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 6 (4) OF 2026, PG. 1002-1012, APIS – 3920 – 0001 & ISSN – 2583-2344

ABSTRACT

The implementation of the Goods and Services Tax (GST) on July 1, 2017, India saw a significant transition from the convoluted indirect tax structure to a more uniform and efficient one. GST sought to end cascading taxation, improve transparency, facilitate commercial dealings, and establish a one national market by combining every state and federal indirect taxes into a one tax system. This paper offers a thorough analysis of the development, objectives, and social, administrative, and economic impacts of GST since its introduction. The latest slab modifications implemented in 2025, which streamlined the system into major tax rates of 5% and 16% with a higher rate of 40% for luxury and indulgence goods, receive particular attention. By intensifying the duty base and bolstering compliance through the Input Tax Credit system and digital tax administration, the GST has also greatly aided in the formalization of the Indian economy, according to the report. The study looks at how these shifts impact government earnings, small and medium-sized businesses, pricing, and consumer spending. The study examines the advantages and difficulties of achieving fiscal stability and effective compliance using more than one method that incorporates both primary and secondary data. The outcomes are expected to contribute to ongoing discussions regarding the refinement of Indian Incidental duty structure and the promotion of balanced fiscal evolution.

KEYWORD

Goods and Service Tax, Indirect Tax Reform, Fiscal Policy, Slab, Compliance