Viral claim says GST on mobiles, TVs, fridges reduced from 31.3% to 18%; Fact Check

Posted by: Sridevi P July 8, 2023

A social media post is being shared widely with a claim that mobile phones, TVs, and refrigerators have become cheaper following a reduction in the GST rate from 31.3% to 18% by the Union Finance Ministry. It has been shared on social media here and here. Sharing the tweet, many have posted messages stating, “Those who rant when GST rates are increased should also come out and appreciate.” Several media outlets and official websites shared the same message.

Even the PIB shared the same message.
With reduced taxes, #GST brings happiness to every home: Relief through #GST on household appliances and mobile phones 📱🖥️#6YearsofGST #TaxReforms

FACT CHECK

When our team checked the official website of the GST Council, no such notification has been made by the Council. Moreover, the current GST slabs vary from 5%, 12%, 18%, and a maximum of 28% as opposed to the 31.3% mentioned in the viral post. The viral message was posted on the sidelines of the 6th anniversary of the implementation of GST called ‘GST Day’ and celebrated in New Delhi on 01 July 2023, where Union Finance Minister Nirmala Sitharaman highlighted the advantages of GST by comparing the taxation before and after the introduction of GST in 2017.

The Ministry of Finance’s official Twitter handle earlier shared the same information but failed to clarify whether the comparison of the tax rates during pre- and post-GST periods. It says “earlier” and “now”, thus confusing people to believe that the government has actually reduced GST rates now. Almost all the media outlets from Zee News, ABP Live, News18, Jagran, India TV, ET Now have featured the same message. The fact is that it was pre- and post-GST comparison of SST and not the current rate of GST on mobiles, TVs, fridges which varies from 18 to 28% and the rate was either reduced or increased on some household goods in 2020, not now.

The final clarity came when the Central Board of Indirect Taxes & Customs, responsible for administering indirect taxes in India, said through its official Twitter handle that the tax rates on various household items are before and after the implementation of GST in 2017. The rates for the abovesaid appliance have been consequently increased to 28% in 2020.

Hence, the claim is misleading and not true.

Current GST rates

As per the latest revision of GST on household goods, the tax rates that were fixed on 1st April 2023 remain unchanged as per the CBIC website. The current GST rates for mobile phones, televisions (below 32 inches), and refrigerators are 18%. The last revision of these rates occurred in 2020 for mobile phones (from 12% to 18%), and in 2018 for refrigerators and televisions (up to 32 inches) (from 28% to 18%).

Claim: Mobile phones, TVs, and refrigerators have become cheaper following a reduction in the GST rate from 31.3% to 18%.

Conclusion: The government of India has not made any official announcement regarding the revision of tax rates on the mentioned household items. The tax rates that were fixed on 01 April 2023 remain unchanged to date.

The current GST rates for mobile phones, televisions (below 32 inches), and refrigerators are 18%. The last revision of these rates occurred in 2020 for mobile phones (from 12% to 18%), in 2018 for refrigerators and televisions (up to 32 inches) (from 28% to 18%). The official claim was before and after GST that was misrepresented as the latest reduction.

Rating: Misleading —

 

 

About Sridevi P

Sridevi, a business management graduate from Osmania University, Hyderabad has contributed fact-checks whenever she found time. She can be reached at psridevi@digiteye.in

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