Items of common use to get cheaper while cars and consumer durables to attract maximum GST

The Goods and Services Tax (GST) will be implemented from July 1 and Finance Minister Arun Jaitley, while deciding the GST rates for household items, said that its impact "will not be inflationary." Moreover, for some items, one can expect a drop in prices.

Also read: GST on services, not goods, will determine inflation

Daily consumption items like milk, fruit and vegetables, jaggery, food grain and cereals will get exemption from GST, while items like sugar, tea, coffee, edible oil, mithai, and newsprint will attract the lowest GST of 5%.

On the other hand, luxurious cars will attract the maximum GST of 28% plus a cess of 15%, while in case of small petrol and diesel cars, the cess would be 1% and 3% over 28% GST.

Consumer durables, which have a present tax of about 32%, will be charged 28% GST.

Also read: Mobile phones to get costlier, thanks to GST

As per Revenue Secretary Hasmukh Adhia, 81% of the goods will attract tax equal to or lower than 18%.

"Of the 1,211 items at the four digit harmonised system of nomenclature, 7% have been exempted, 14% will attract 5% (tax), 17% will face 12%, 43% (will face) 18% and the remaining 19% will face 28%," Adhia said.

Also read: No GST for education and health care this year

He added that after GST rollout, the overall tax burden on the average household will come down.