The GST Council is contemplating reducing the goods and services tax on air and water purifiers for household use from 18% to 5%, potentially categorizing them as essential items rather than discretionary consumer goods. This move could lead to a 10-15% decrease in retail prices, making these products more affordable for lower-income families, especially as air quality deteriorates nationwide and access to safe drinking water remains inconsistent.
The exact date of the upcoming GST Council meeting is currently unknown, as per various reports. During its 56th session in September, the Council opted to maintain the existing rates on purifiers, emphasizing that any reduction would necessitate agreement among state finance ministers.
Following a directive from the Delhi High Court earlier this week, pressure has mounted on the Council to lower rates, particularly for air purifiers, due to the escalating air pollution levels in Delhi-NCR. The court urged the government to convene a meeting, even virtually if needed, to discuss reducing or eliminating GST on air purifiers.
In response to the court’s directive, the additional solicitor general N Venkataraman highlighted the procedural aspects, emphasizing the necessity of physical meetings. The court emphasized the importance of ensuring clean air for citizens and suggested a reduction in GST on air purifiers if clean air cannot be guaranteed.
