Modi hails 'GST Bachat Utsav', pitches for 'swadeshi' goods

End of live updates

That is the end of the live updates on this page. Thanks for tuning in.

Centre taking undue credit for lowering GST rates, move was initiated by state: Mamata

West Bengal Chief Minister Mamata Banerjee on Sunday claimed that the Centre was taking undue credit for lowering GST rates, though the move was initiated by the state.

Her statement came after Prime Minister Narendra Modi, in an address to the nation, said a “GST savings festival” will begin from the first day of ‘Navratri’ on Monday, which, coupled with the income tax exemption, will be a "double bonanza" for most people.

Without naming the Prime Minister, Banerjee said, “We are losing Rs 20,000 crore as revenue, but we are happy about the lowering of GST. But why are you (Modi) claiming credit for it? We had sought a lowered GST. It was our suggestion at the GST Council meeting." She alleged that the Modi government has not released over Rs 1.92 crore as central project allocations in several schemes such as MGNREGS.

“You are taking away our money, causing difficulties for us to run state-sponsored welfare projects like Lakshmir Bhandar and Krishak Bandhu. We will continue to run our social welfare schemes nevertheless," she said.

The Centre has no work other than giving speeches, the TMC supremo alleged.

Ashwini Vaishnaw on GST reforms

From tomorrow, we will get the benefits of the tax reform. You may have also seen advertisements in many newspapers, such as those from car companies, which have already started publishing the savings due to the reforms: Union Minister Ashwini Vaishnaw

Text of PM Modi’s address to the nation on GST Bachat Utsav

Here’s an AI-generated English translation of PM Modi's address to the nation, made in Hindi, on Sunday, September 21.

Modi's speech

"My dear fellow citizens, greetings!

"Tomorrow marks the beginning of Navratri, the festival dedicated to the worship of Shakti. Heartiest best wishes to all of you! On this auspicious first day of Navratri, the nation is taking yet another significant step towards Atmanirbhar Bharat.

"From sunrise tomorrow, 22 September, the first day of Navratri, the next generation of GST reforms will come into effect. In a way, a GST savings festival will begin across the country. This festival will put more savings in your pocket and make it easier for you to buy the things you want. From the poor, the middle class, the neo middle class, youth, farmers, women, shopkeepers, traders, and entrepreneurs – everyone will benefit. As the festive season begins, families everywhere will find more joy. I extend my warmest greetings to crores of families on the launch of these next generation GST reforms and the savings festival. These reforms will accelerate India’s growth story, make business easier, attract greater investment, and place every state on equal footing in the race for development.

Long history of taxes

"Friends,

"When India adopted GST in 2017, it was the beginning of rewriting history. For decades, citizens, businesses, and traders were trapped in a maze of taxes – octroi, entry tax, sales tax, excise, VAT, service tax, and many others. To send goods from one city to another meant dealing with multiple check posts, filling countless forms, and navigating endless hurdles, as tax rules varied everywhere.

"I remember, when the country entrusted me with the responsibility of Prime Minister in 2014, a foreign newspaper carried an interesting example. It spoke of a company that found it so difficult to send its goods from Bengaluru to Hyderabad – a distance of only 570 kilometres – that it preferred to ship them from Bengaluru to Europe first, and then back from Europe to Hyderabad!

"This was the reality then, because of the tangle of taxes and tolls. Lakhs of companies and crores of citizens faced similar challenges every day. The extra cost of transporting goods was ultimately borne by ordinary people, by you, the consumer.

Birth of one nation-one tax

"Friends,

"It was essential to free the nation from this situation. That is why, when you gave us the opportunity in 2014, we made GST a top priority in the interest of the people and the nation. We held discussions with every stakeholder, addressed every doubt of every state, and found solutions to all concerns. Taking everyone along, India achieved one of its biggest tax reforms since Independence.

"Thanks to the combined efforts of the Centre and states, the country was freed from dozens of taxes, and a uniform system was created. The dream of One Nation – One Tax was realised.

Next generation reforms

"Friends,

"Reform is a continuous process. As times change and the nation’s needs evolve, next generation reforms become essential. It is in this spirit, keeping in mind the present needs and future aspirations of the country, that these new GST reforms are being implemented.

"In the new structure, there will primarily be only two tax slabs – 5% and 18%. This means most everyday essentials will become cheaper. Food items, medicines, soap, toothpaste, health and life insurance, and many such goods and services will either be tax-free or attract only 5% GST. Nearly 99% of items that earlier attracted 12% tax will now fall under the 5% bracket.

Relief for middle class and poor

"Over the last 11 years, 25 crore Indians have overcome poverty, forming a vast new group – the neo middle class. This neo middle class has its own aspirations and dreams. Earlier this year, the government gave a gift by making income up to ₹12 lakh tax-free. Naturally, this brought immense relief to the middle class, making life simpler and more convenient.

"Now it is the turn of the poor, the neo middle class, and the middle class alike. With lower GST, citizens will receive a double bonanza. Building a house, buying a TV, fridge, scooter, bike, or car – all will now cost less. Even travel will become more affordable, as GST on most hotel rooms has been reduced.

Support from traders

"Friends,

"I am glad to see that shopkeepers too are excited about these reforms. They are actively passing on the benefit of reduced GST to customers, putting up boards showing prices before and after the reforms.

A savings festival

"Friends,

"With the spirit of nagrik devo bhava (citizens are like gods), the next generation of GST reforms reflect our commitment. If we combine the relief in income tax and GST, decisions taken this year alone will save people more than ₹2.5 lakh crore. That is why I call it a savings festival.

Boost for MSMEs

"Friends,

"To achieve the goal of a developed India, we must walk the path of self-reliance. A major share of this responsibility lies with our MSMEs – micro, small and medium enterprises. What our people need, and what can be produced in India, must be made in India.

"With lower GST rates and simplified rules, MSMEs, cottage and small industries will benefit greatly. Their sales will rise and taxes will reduce – a double advantage. I have great expectations from you, our small, micro, and cottage industries. You know that when India was at the peak of prosperity, MSMEs and local industries were its backbone. Manufacturing in India was of the highest quality. We must reclaim that pride. Our products must set benchmarks across the world and enhance India’s global identity.

Call for swadeshi

"Friends,

"Just as the mantra of swadeshi gave strength to our freedom movement, it must also power India’s prosperity. Today, knowingly or unknowingly, many foreign products have entered our daily lives. We don’t even notice whether the comb in our pocket is foreign-made or Indian. We must free ourselves from this dependence too.

"We should buy goods that are Made in India, products that carry the hard work of our youth and the sweat of our sons and daughters. Every household must become a symbol of swadeshi, every shop must showcase swadeshi. Proudly say – this is swadeshi. Proudly say – I buy Indian, I sell Indian. This spirit must become the nature of every Indian. When that happens, India will develop rapidly.

"I also urge all state governments to join this movement for Atmanirbhar Bharat and swadeshi. Promote manufacturing in your states with full energy and enthusiasm. Create a positive climate for investment. When Centre and states move together, the dream of a self-reliant and developed India will be realised.

"With this conviction, I once again extend my warm wishes to you all on this savings festival. Heartiest greetings for Navratri and the GST savings festival. Thank you very much!"

GST budget festival has arrived: Keshav Prasad Maurya

"First, one nation, one tax GST was implemented. Now, the GST budget festival has arrived. Now, the poor can also buy expensive things because they no longer have to pay the price they had to pay before...Prime Minister Modi has called for adopting Swadeshi... The Swadeshi movement was started by the Father of the Nation, Mahatma Gandhi... This will lead to a self-reliant and developed India," says Uttar Pradesh Deputy Chief Minister Keshav Prasad Maurya.

#WATCH | Lucknow | On PM Narendra Modi's speech announcing the implementation of GST reforms, Uttar Pradesh Deputy Chief Minister Keshav Prasad Maurya says, "... First, one nation one tax GST was implemented. Now, the GST budget festival has arrived. Now, the poor can also buy… pic.twitter.com/s5CcdmZGHQ

— ANI (@ANI) September 21, 2025

PM claiming 'sole ownership' of GST regime amendments: Jairam Ramesh

The Congress on Sunday accused Prime Minister Narendra Modi of taking "sole ownership" of the amendments made to the GST regime and said the current reforms were inadequate, with no resolution to the states' demand for an extension of compensation for another five years.

Reacting to Modi address, the Congress general secretary, in-charge, communications, said the prime minister addressed the nation to "claim sole ownership of the amendments made to the GST regime by the GST Council, a constitutional body." The Congress has long argued that the Goods and Services Tax has been a "Growth Suppressing Tax", he said.

"It is plagued with a high number of tax brackets, punitive tax rates for items of mass consumption, large-scale evasion and misclassification, costly compliance burdens, and an inverted duty structure (lower tax on output as compared to inputs)," Ramesh said in a post on X.

"We have been demanding a GST 2.0 since July 2017 itself. This was a key pledge made in our Nyay Patra for the 2024 Lok Sabha Elections," he said.

Ramesh said the current GST reforms were inadequate, with outstanding issues, including the widespread concerns of MSMEs, the major employment generators in the economy.

PM Modi should have also addressed 'vote chori' concerns: UP Cong chief

On PM Modi's address to the nation on GST reforms, Uttar Pradesh Congress President Ajay Rai says, "...PM Modi should also have spoken something on the way votes are being stolen and governments are being formed. This is very unfortunate..."

Swadeshi matra will boost India's prosperity: Modi

Modi urged the people of the country to take pride in selling and buying indigenous goods.

The way the country's independence got strengthened by the Swadeshi movement, similarly, India's prosperity will be empowered by the mantra of 'swadeshi', he said.

From kitchen staples to electronics, from medicines and equipment to automobiles, goods and services will be cheaper from Monday as the reduced GST rates on about 375 items come into effect, said Modi.

The GST Council, comprising the Centre and states, decided last month to reduce the tax rates on goods and services, from September 22, the first day of the Navaratri.

The GST will now be a two-tier structure wherein the majority of goods and services will attract tax of 5 and 18 per cent. A 40 per cent tax will be levied on ultra luxury items, while tobacco and related products will continue to be in the 28 per cent plus cess category.

Modi says GST has help India realise its One Nation, One Tax regime dream

Modi in his addressed congratulated all on the next generation GST reforms. "These reforms will accelerate India's growth story, increase ease of doing business and attract more investors," Modi said.

When India took a step towards GST reforms in 2017, a new beginning was made to script history, he said.

He said GST realised the 'one nation-one tax' dream. Modi highlighted how the web of taxes and tolls had created hardships for businesses and consumers.

Citing income tax exemption on earnings up to Rs 12 lakh and GST reforms, he said it is a "double bonanza" for the poor, neo-middle class, and middle class.

He also said the GST move would benefit MSMEs big time.

I-T, GST reforms will save people Rs 2.5 lakh crore: Modi

Modi says decisions of raising I-T exemption limit, GST reforms will save people Rs 2.5 lakh crore. The income tax exemption for people earning up to Rs 12 lakh, and the GST reforms present a "double bonanza" for the poor, neo-middle class, and middle class sections, he adds.