The central government has decided not to levy GST on rakhis and idols of deities. This is a big offer to the public the festival season is about to arrive and this may relax every Indian. But this rule is applicable only traditional rakhi, gold and silver rakhis will be taxed 5%.
The interim union finance minister Piyush Goyal himself announced that the arrival of Raksha Bandhan led us to remove GST on the rakhi as well as idols of deities before the arrival of Ganesh Chaturthi.
Also Read: Important Points Covered In Updated GST Return Filing Process
The minister stated the fact the rituals must be preserved in any way and onset of Raksha Bandhan forced us to remove GST on it as the public does a lot of shopping on these festivals specially rakhis.
This move will surely benefit the common man and will bring a slight relief to the pockets of them. One must know that this year Raksha Bandhan is falling on 15th August.
HSN Code for Rakhi – 1904 (hand sieves and hand riddles)
Rakhi GST Rate – 0% on Traditional Rakhi and 5 % on Gold and Silver Rakhi
The central government had earlier exempted the sanitary napkins from the GST which were earlier taxed at 12 per cent. Overall it seems that the government is keen to bring relief to the common man by slashing GST rates on a habitual basis.
