Government Confirms Monitoring of GST Rate Reduction Benefits by CBIC

The Government of india on December 08, 2025 in Lok Sabha stated that the Central Board of Indirect Taxes and Customs (CBIC) has been actively monitoring the impact of the recent GST rate rationalisation to ensure that its benefits reach the consumers.

Responding to Lok Sabha Unstarred Question No. 1360, Minister of State in the Ministry of Finance, Shri Pankaj Chaudhary, confirmed that following the 56th GST Council Meeting held on 03 September 2025, where GST rates on several categories of goods were rationalised, CBIC initiated monitoring of prices for major commodities — including packaged food items and medicines — before and after 22 September 2025. Based on the inputs received, the benefits of the GST rate reduction have been duly passed on to end consumers.

To ensure smooth compliance across sectors, the Chairman, CBIC held meetings with trade bodies and representatives of line ministries, emphasising the need for industry stakeholders to fully transmit the GST rate reduction to customers. Alongside this, public awareness campaigns were conducted through print and social media platforms to educate citizens about the GST rate changes.

The Minister informed that the National Pharmaceutical Pricing Authority (NPPA), via Office Memoranda dated 12 and 13 September 2025, directed all pharmaceutical manufacturers and marketing companies to revise the Maximum Retail Prices (MRP) of drugs and medical devices based on the reduced GST rates. In addition, the Department of Consumer Affairs issued an advisory on 18 September 2025 urging companies to voluntarily affix revised price stickers on unsold goods manufactured before 22 September 2025, without masking the original price declaration.

CBIC has also uploaded Frequently Asked Questions (FAQs) guiding consumers to report instances where GST rate reduction benefits are not being passed on. Consumers may contact the National Consumer Helpline (NCH) or file complaints through the INGRAM portal. A Nodal Officer has been appointed within CBIC to coordinate the resolution of such complaints, and appropriate action is being taken where documentary evidence is provided.

Key Outcomes Stated by Minister Shri Pankaj Chaudhary

Initiative Objective
Price monitoring by CBIC Ensure GST savings reach consumers
Meetings with trade bodies Remove implementation challenges
Public awareness programmes Educate citizens about GST benefits
NPPA & DoCA directives Enforcement of revised MRP across pharma sector
NCH & INGRAM grievance support Platform for consumer complaints
CBIC Nodal Officer Central coordination for grievance resolution

Closing Note

Minister of State Shri Pankaj Chaudhary reiterated the Government’s commitment to ensuring consumer welfare and transparency in pricing by enforcing the timely transfer of GST reduction benefits to the public.

The reply can be accessed at: https://a2ztaxcorp.net/wp-content/uploads/2025/12/MONITORING-OF-GST-REDUCTION-BENEFITS-BY-CBIC.pdf

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