Prime Minister Narendra Modi attended the BJP MPs’ workshop at the GMC Balayogi Auditorium in the Parliament complex on Sunday, making headlines for his unusual decision to sit in the last row alongside other parliamentarians instead of taking a prominent seat. His gesture was seen as symbolic of humility and solidarity with his party colleagues.
The workshop proved significant as it unanimously passed a resolution endorsing the Centre’s recent Goods and Services Tax (GST) reforms. The reforms, which were approved by the GST Council on September 3, represent one of the most substantial overhauls of the indirect tax system since its introduction. The changes are in line with the promise made by Modi in his Independence Day address, where he assured middle-class citizens of relief under the GST framework.
The revised structure simplifies the regime by reducing it to just two key slabs—5 per cent and 18 per cent—along with a higher 40 per cent rate reserved for sin goods such as tobacco and luxury items. Officials emphasised that this streamlined system is aimed at increasing disposable incomes, boosting consumption, and stimulating broader economic growth.
A wide range of essential items stands to benefit from the reform. Groceries, footwear, textiles, fertilisers, and renewable energy products will now be cheaper, while goods that were previously taxed at 12 per cent and 28 per cent have been absorbed into the two primary categories. The move is expected to ease financial pressure on households, particularly those in the middle class, and improve affordability across sectors.
Government projections suggest that the reforms will provide immediate relief to ordinary citizens and also energise the economy by spurring demand and consumption. By linking the GST restructuring to his Red Fort assurance, Modi has framed the reform as a delivery on his promise to improve economic ease for households while sustaining growth momentum.
