India's Economic Reset 2025: Analysis of on Impact of Gst 2.0 and Tax Reforms on Different Sectors
Year: 2025
Type: article
Abstract: The Goods and Services Tax (GST) reforms introduced in September 2025 represent a landmark step in reshaping India’s taxation system to better serve the to the nation. By simplifying tax structures, reducing rates across key industries, and addressing long-standing anomalies, these reforms are designed to create an enabling environment for entrepreneurship, job creation, and affordable living. Sectors with high youth participation such as education, automobiles, technology, handicrafts, footwear, healthcare, food processing, and textiles have been prioritized to lower costs, boost competitiveness, and encourage innovation. Beyond reducing the financial burden on households and businesses, the reforms strengthen India’s vision of inclusive growth, sustainability, and empowerment of the next generation.The government has introduced a simplified GST structure with significant rate reductions across key sectors of trade and commerce. Essential industries such as leather, footwear, paper, textiles, handicrafts, toys, packaging, and logistics have been covered under this reform. The aim is to boost the present businesses and startups and incentivise the youth to enter into businesses and initiate startups. By lowering GST slabs to 5% on several goods and rationalising rates in transport and allied sectors, the reforms aim to reduce costs for consumers, ease compliance for traders, and enhance competitiveness for Indian businesses. This paper is concentrated the effect new slab rate in different sectors after GST 2,0 reform.
Authors: Dr M Reddi Naik, Dr E Gopi
Language: English
Topic: Economic and Fiscal Studies
Subfield: Economics and Econometrics
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W7102541298
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