Historic GST and Tax Reforms Propel Economic Growth

President Droupadi Murmu announced significant reforms primarily benefiting the poor and middle class. The next-gen GST and revamped Income Tax law brought unparalleled savings and impacted economic growth. The GST 2.0 reform structure reduced tax rates on numerous goods, fostering enthusiasm among citizens and increasing two-wheeler registrations significantly.

In a significant parliamentary address, President Droupadi Murmu highlighted the government's commitment to comprehensive reforms that have notably benefitted India's poor and middle class. Central to these reforms are the historic Goods and Services Tax (GST) revisions and revamped Income Tax laws, which have collectively contributed to savings of Rs 1 lakh crore for citizens.

President Murmu emphasized that the revamped Income Tax law now exempts income up to Rs 12 lakh from taxation, a landmark decision aimed at providing relief and stimulating economic activity. The implementation of the new Income Tax Act 2025 is slated for April 2026, further aligning with the government's 'Reforms Express' initiative that adapts regulations for future needs.

The GST 2.0 reform, which has markedly reduced tax rates on around 375 goods, was also highlighted as a source of optimism among citizens. By September 2025, a significant restructuring saw the majority of goods and services falling under a simplified tax structure, contributing to record-breaking registrants of two-wheelers and fostering economic buoyancy.

(With inputs from agencies.)