Economy & Bankingv4 · 3 versions
GST 2.0 — The Two-Slab Reform
GST 2.0 is the two-slab rate structure of India's Goods and Services Tax — 5 and 18 percent, with a 40 percent de-merit band — that the GST Council adopted at its 56th meeting and brought into force on 22 September 2025. It is back in the news because the 57th Council, sitting on 8 October 2026, left every slab untouched and turned to procedure, recommending an end to arrest powers, a ₹5 crore prosecution threshold and easier notices, refunds and registration.
Last updated 8 October 20266 min read
Latest update
Adds the 57th GST Council's recommendations — arrest powers dropped, prosecution threshold to ₹5 crore, ₹10,000 notice floor, faster refunds — and trims the note to its exam core.
- GST Council
- GST 2.0
- Nirmala Sitharaman
- two-slab GST
- compensation cess
- GSTAT
- fiscal federalism
- GST
- 57th GST Council
- decriminalisation
- prosecution threshold
- GST refunds
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