Business
GST revamp: What are the latest tax rates on cars, gold, mobile phones, EVs, cigarettes? Check details – The Times of India

The Goods and Services Tax (GST) Council, chaired by Union finance minister Nirmala Sitharaman, on Wednesday announced the most extensive revamp of the indirect tax system since its rollout in 2017.The reform introduces a simplified two-slab structure of 5% and 18%, alongside a new 40% slab for luxury and sin goods.The new rates, except for tobacco where cess continues, take effect from September 22, the first day of Navratri.
Revenue secretary Arvind Shrivastava estimated the net fiscal implication of the changes at Rs 48,000 crore. He added the measures are designed to spur consumption and improve compliance.

Sitharaman underlined that the reforms were aimed at the common man, stating, “Every tax levied on common man’s daily use items have undergone a rigorous look, and in most cases, the rates have come down drastically”.
Cars
Buyers of small cars stand to benefit the most. Small cars will now attract 18% GST, reduced from the earlier 29% (28% plus 1% cess).For GST purposes, small cars are defined as petrol, LPG or CNG vehicles with an engine capacity of up to 1200 cc and length up to 4000 mm. In the case of diesel cars, the definition covers vehicles with engine capacity up to 1500 cc and length not exceeding 4000 mm.Large vehicles exceeding 1500 cc or longer than 4000 mm will fall into the new 40% GST slab.The same rate will also apply to all utility vehicles, including SUVs, MUVs, MPVs and cross-over vehicles, provided they have an engine capacity above 1500 cc, a length over 4000 mm, and a ground clearance of 170 mm or more.Unlike the earlier regime that combined 28% GST with a 17–22% cess, the new framework consolidates this into a single 40% rate without cess.
Bikes
Two-wheelers have also seen a rationalisation. Motorcycles up to 350 cc engine capacity will attract 18% GST, reduced from 28%. The 18% rate also applies to 350 cc models.Motorcycles exceeding 350 cc engine capacity have been placed in the 40% bracket, aligning them with the treatment of luxury and high-powered vehicles.This change is expected to encourage mass-market two-wheeler sales, especially in rural and urban middle-class markets, while continuing to tax premium motorcycles at a higher rate.
Electric Vehicles
Electric cars remain unchanged, continuing to be taxed at 5%.
Health Insurance
A major relief comes for individuals purchasing life and health insurance. These policies will now be exempt from GST. Earlier, these services attracted 18%, adding to premium costs.Exemption is expected to make policies more affordable, widening insurance coverage in a country where penetration levels remain low.
Cigarettes and tobacco
The GST Council has shifted cigarettes, cigars, pan masala, and chewing tobacco into the 40% slab. However, until compensation cess loans are fully repaid, the existing 28% GST plus cess regime will continue.Analysts noted that revenue neutrality is a priority for the government, as cigarette taxation contributes significantly to exchequer inflows. The move balances public health concerns with the need to curb illicit trade.
Alcohol
Alcohol remains outside the purview of GST altogether. It continues to be taxed separately through state excise duties, meaning the GST overhaul has no bearing on alcohol pricing.States will retain autonomy in setting alcohol taxes, a key revenue source for their budgets.
Gold
There has been no change in the taxation of precious metals. Gold and silver jewellery remain taxed at 3%, with an additional 5% GST on making charges. Gold bars and coins also continue to face 3% GST.With no direct impact from GST 2.0, demand in the bullion market is expected to remain steady, especially during the festive season when purchases peak.
Mobile Phones
Despite repeated industry requests, mobile phones remain taxed at 18%. ET reported that the India Cellular and Electronics Association (ICEA) had sought a 5% slab, calling the current levy “regressive” and reminding that pre-GST state VAT on mobiles was mostly capped at 5%.Despite the wider rate cuts across consumer goods, mobile phones remain at 18% GST, unchanged under the new regime. As per ET, the India Cellular and Electronics Association (ICEA) had urged for a 5% slab, calling the current levy “regressive.”The industry argued that mobile phones are a basic digital necessity, not a luxury.ICEA highlighted that pre-GST, most states had capped VAT at 5%. With domestic production rising to Rs 5.45 lakh crore in FY25 and exports crossing Rs 2 lakh crore, industry bodies stressed that lower GST would have boosted affordability and domestic demand.
Business
RFK Jr. spreads vaccine misinformation during congressional testimony

U.S. Health and Human Services Secretary Robert F. Kennedy Jr., testifies before a Senate Finance Committee hearing on President Donald Trump’s 2026 health care agenda, on Capitol Hill in Washington, D.C., U.S., September 4, 2025.
Jonathan Ernst | Reuters
Health and Human Services Secretary Robert F. Kennedy Jr. doubled down on false claims about vaccines during his Senate testimony on Wednesday, as senators grilled him on his sweeping changes to immunization policy and federal health agencies.
Kennedy said he supports a statement made by a newly appointed member of a key government vaccine panel that mRNA vaccines pose a dangerous risk to people. Numerous studies have demonstrated that shots using mRNA technology, including Covid vaccines from Pfizer and Moderna, are safe and effective, and serious side effects have happened in extremely rare cases.
Sen. Michael Bennet, D-Colo., noted that the committee member Dr. Retsef Levi has said that evidence is mounting that mRNA vaccines cause “serious harm, including death, especially among young people,” apparently referring to a post pinned on Levi’s X account. Kennedy appointed Levi to the Advisory Committee on Immunization Practices, which advises the Centers for Disease Control and Prevention on vaccine recommendations and insurance coverage.
Kennedy said he wasn’t aware of Levi’s comments, but added, “I agree with it.”
Kennedy’s comments before the Senate Finance Committee come after he repeatedly promised the panel in January that he would do nothing as HHS secretary that makes it more difficult or discourages people from taking vaccines. Since then, he has canceled funding for mRNA shot development and made other vaccine policy changes that could limit access to immunizations, including gutting the CDC vaccine panel and dropping Covid shot recommendations for certain groups.
His comments also follows a leadership shakeup at the Centers for Disease Control and Prevention. The White House last week fired CDC Director Susan Monarez, and four senior agency officials resigned shortly after, with some of them citing the politicization of the agency and a threat to public health. In an opinion piece on Thursday, Monarez accused Kennedy of “a deliberate effort to weaken America’s public-health system and vaccine protections.”
Kennedy touted skepticism around Covid vaccines, despite evidence of their safety and effectiveness.
“We were told again and again the vaccines would prevent transmission, they prevent infection. It wasn’t true. They knew it from the start,” Kennedy said.
He also said he does not know how many people died of Covid and whether the vaccines prevented deaths from the virus.
“I would like to see the data and talk about the data,” Kennedy said.
But data is readily available from dozens of studies. One paper in August estimates that Covid vaccines saved more than 2 million lives, mostly among older adults, worldwide between 2020 and October 2024.
The CDC website also says that Covid vaccines from the 2023 to 2024 season reduced the risk of severe illness from Covid by almost 70% in the first two months after vaccination in adults ages 18 and older, with protection gradually decreasing over time.
Those shots also decreased the risk of hospitalization due to Covid by around 50% in the first two months of vaccination in that same population. The Covid vaccines showed similar benefits in older adults.
Kennedy also defended his decision to fire all 17 previous members of the CDC vaccine panel, saying he didn’t politicize the committee.
“What we did is we got rid of the conflicts of interest. … We depoliticized and put great scientists on it from a very diverse group,” the HHS secretary said. “They are very, very pro-vaccine.”
But a new analysis published last month from USC researchers found that conflicts of interest on that panel had been at “historic lows for years” before Kennedy restacked it with new members, some of whom are widely known vaccine critics.
Business
Sportsbook CEOs expect record betting ahead of NFL kickoff

DraftKings CEO Jason Robins has never been more enthusiastic about the kickoff to the NFL — sports betting’s biggest season.
It’s second only to the Super Bowl in terms of importance for acquiring customers and growing the overall betting pool, Robins told CNBC at the Bank of America Gaming and Lodging Conference.
“The numbers just keep going up right into kickoff, and it’ll continue through Sunday,” Robins said. “We’re seeing big numbers, record numbers, and we’re really excited about what we’re going to see through the start of the season.”
The American Gaming Association estimates legal betting in the U.S. will grow by 8.5% this NFL season, to $30 billion.
DraftKings and its competitors have largely seen declines in the costs to acquire customers even as legal sports betting opportunities continue to expand. Sports betting has proven to be resilient even amid volatility in consumer sentiment and broader concerns over discretionary spending.
“We’re seeing nothing to suggest that there’s any slowdown in the numbers for our business right now, everything is going up,” Robins said.
DraftKings beat Wall Street expectations for revenue and profit when it reported second-quarter results in August, surprising investors with significant growth.
BetMGM, jointly owned by MGM Resorts and Entain is also demonstrating real momentum, raising earnings guidance for a second time this year.

BetMGM CEO Adam Greenblatt told CNBC that last week was the sportsbook’s best ever in terms of revenue, with pre-season volume up 30%.
“We’re seeing no softness. We’re seeing no reduction in average bet size. We’re seeing no reduction in how many active sessions per week, per month, that players are engaging with BetMGM,” Greenblatt said when assessing the strength of the American consumer.
“I’m delighted to say that our sector seems to be behaving in a contrarian manner, ” he said.
Greenblatt is especially enthusiastic about the cross-selling opportunities with NFL kickoff. He says 60% of sports bettors will then wager on online casino games, or iGaming, which has higher profit margins than sports betting.
The nation’s leading sportsbooks are facing new competition — as well as potential opportunities — in the form of prediction markets events contracts, where odds change based on trades, like stock prices. Events contracts in the financial markets are regulated by the Commodities and Futures Trading Commission.
Front Office Sports reported in July that DraftKings was in talks to buy Railbird, an exchange that received CFTC approval to begin trading.
Robins declined to comment on the report, but said he’s interested, though cautious, about entering predictions markets.
“We’re regulated in a lot of states, and some states have taken a very adversarial position, so we have to obviously be careful and engage the regulator,” Robins said, adding DraftKings is unwilling to risk any threat to its sports betting licenses.
In August, Flutter-owned FanDuel announced a partnership on financial events contracts with the Chicago Mercantile Exchange. And Underdog, the fantasy and sports gaming company, announced on CNBC Tuesday that it will partner with Crypto.com to offer sports predictions markets. Robinhood, Kalshi and Polymarket are also offering sports trades.
“Rapidly growing volumes, new product launches, especially around player props and parlays, and more clear direct marketing by prediction markets (post recent fundraising) are all key developments to watch for,” said Bank of America research analyst Shaun Kelly.
Investors will also be watching to see how federal courts rule on the pending question of whether sports predictions are in fact a form of sports betting. States and tribes argue it is and that offering sports trades through predictions markets violates tribes’ sovereign rights or states’ rights to legalize sports gambling.
MGM CEO Bill Hornbuckle told the BofA Gaming and Lodging conference Thursday he doesn’t endorse the predictions markets.
“Our view is that invites the federal government into a space it’s never been, and it’s not a place we’d like to see this marketplace go. Full stop,” he said.
The NFL told its employees they are under the same restrictions with regards to sports predictions markets as they are for betting. The league has said it worries about the integrity of the game in the face of the possibility of price distortion and other kinds of manipulation.
Business
GST cut on essentials: FMCG leaders hail ‘game-changing’ reform; prices may fall up to 10% – The Times of India

The GST Council’s decision to slash tax rates on everyday essentials and personal-use products ahead of the festive season is expected to revive domestic consumption, lift rural demand, and strengthen growth in the FMCG sector, industry leaders said on Thursday.According to news agency PTI, FMCG companies plan to pass on the benefits to consumers either by increasing grammage or cutting stock-keeping unit (SKU) prices, with analysts estimating price drops of 8–10% depending on brands, translating into 2–3% growth for the industry.
Calling the move “game changing”, Marico MD & CEO Saugata Gupta said, “By making essential consumer products more affordable, especially in the run-up to the festival season, these reforms will play a pivotal role in stimulating economic momentum and building long-term growth in the FMCG sector.”Dabur CEO Mohit Malhotra termed it a “timely and transformative move,” stressing that the cuts will make soaps, shampoos and toothpastes more affordable, while driving demand in rural and semi-urban markets.Godrej Consumer Products CFO Aasif Malbari welcomed the decision, stating the company was committed to passing on benefits to consumers. The All India Consumer Products Distributors’ Federation (AICPDF) said the reduction would improve distributor and retailer liquidity by Rs 4,000–5,000 crore, while boosting rural consumption by an estimated 8–10% in the next two quarters.

Shares of leading FMCG firms surged following the Council’s approval. Britannia, Dabur, HUL, Nestlé and Emami all logged strong gains on the BSE, while consumer durables and cement stocks also rallied. The GST cuts cover a wide range of items, from hair oil, shampoo, toothpaste and soap to food products like butter, dry fruits, ice cream, biscuits and beverages, with rates slashed to 5% from 12% or 18%. Cement will now attract 18% GST instead of 28%.As per PTI, Joy Personal Care Chairman Sunil Agarwal said rural India, already driving FMCG growth for six quarters, will see further demand strength. Industry executives added that retailers are bracing for strong festival sales rebound as companies implement revised prices on existing stock.Grant Thornton Bharat’s Naveen Malpani noted that the cuts could lead to price drops of 8–10% depending on supply chain efficiencies, further stimulating consumption.Industry experts believe the reforms will add 2–3 percentage points to FMCG sector growth, which is currently expanding at 10–12% annually, making the reform a “landmark step” ahead of the festive season.
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