The Government has recently announced a rationalization of GST rates. Accordingly, on 21st August 2025, under the leadership of Chamber President Shri Arjundas Ahuja, a delegation of the Nag Vidarbha Chamber of Commerce (NVCC), the apex body representing 1.3 million traders of Vidarbha, met Hon. Shri Ajitdada Pawar, Deputy Chief Minister and Finance Minister of Maharashtra, in Nagpur to express gratitude for his significant role in the rationalization of GST rates.
On this occasion, present were: Shri Anilji Ahirkar, Maharashtra State Vice President of the Nationalist Congress Party; Chamber Vice-Presidents Shri Farookbhai Akbani and Shri Swapnil Ahirkar; Secretary Shri Sachin Punyani; Joint Secretary Shri Shabbar Shakir; Shri Rajvantpal Singh Tuli; PRO CA Hemant Sarda; and CA Ritesh Mehta, Convener of NVCC’s Indirect Tax Committee.
Chamber President Shri Arjundas Ahuja stated that NVCC has, from time to time, submitted several representations to the Government seeking rationalization of GST slabs. Taking cognizance of these, and with your active role as Maharashtra’s Finance Minister and member of the GST Council, historic reforms in GST rates have been announced. On behalf of the trader community of Vidarbha, NVCC extends heartfelt thanks to you for your important contribution.
Chamber Vice-President Shri Farookbhai Akbani highlighted that, under this reform, 90% of items earlier taxed at 28% have been moved to 18%, 99% of items taxed at 12% have been shifted to 5%, and only 7 goods remain under the 40% Sin Goods category. Effectively, the 12% and 28% slabs have been nearly eliminated. This is a historic step towards simplifying the GST regime.
Chamber Vice-President Shri Swapnil Ahirkar stated that this simplification of GST will reduce compliance complexities, enhance transparency, and make doing business easier. Importantly, reduction in tax rates on essential commodities will provide widespread relief to the common public. This decision will not only strengthen consumer purchasing power but also boost trade and industry.
Chamber Secretary Shri Sachin Punyani said that this reform will strengthen domestic demand, encourage the growth of small industries, and ultimately reinforce the economy of Maharashtra and India. These measures will promote ‘Ease of Doing Business’ and lead the nation toward a stronger and sustainable economic future. However, under the current announcement, many daily-use items remain in the 18% GST slab. Since these are used by small traders and the common public, NVCC urges the Government to reduce GST on such daily-use items to 5%.
CA Ritesh Mehta, Convener of NVCC’s Indirect Tax Committee, added that NVCC appreciates the commendable approach of the Maharashtra Government in taking into account the views of various trade bodies and industry representatives before formulating policies. This participative approach strengthens the foundation of trust between trade and governance. The business community assures full cooperation in implementing these reform measures.
This information was shared through a press release by Joint Secretary Shri Shabbar Shakir.
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