Question

As of December 2020, what is the highest slab of tax rate under the Goods and Services Tax (GST)?
1. 5%
2. 12%
3. 28%
4. 18%

Answer 1

Correct Answer - Option 3 : 28%

The correct answer is 28%.

• As of December 2020, 28% is the highest slab of tax rate under the Goods and Services Tax (GST).

• GST stands for Goods and Services Tax and the various types of GST
  • CGST –Central GST
  • SGST –State GST
  • IGST –Integrated GST
• Goods and Services Tax is an indirect tax used in India on the supply of goods and services.

Tax Rates	Products
0.25%	Cut and semi-polished stones are included under this tax slab.
5%	Household necessities such as edible oil, sugar, spices, tea, and coffee (except instant) are included. Coal, Mishti/Mithai (Indian Sweets), and Life-saving drugs are also covered under this GST slab.
12%	This includes computers and processed food
18%	Hair oil, toothpaste and soaps, capital goods, and industrial intermediaries are covered in this slab.
28%	Luxury items such as small cars, consumer durables like AC and Refrigerators, premium cars, cigarettes, and aerated drinks, High-end motorcycles are included here.