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@article{196109,
        author = {Mr. Boda Chandra Shekar},
        title = {GST 2.0 And Sectoral Transformation in India: An Empirical Assessment of Slab Rationalisation and Economic Outcomes},
        journal = {International Journal of Innovative Research in Technology},
        year = {2026},
        volume = {12},
        number = {no},
        pages = {47-51},
        issn = {2349-6002},
        url = {https://ijirt.org/article?manuscript=196109},
        abstract = {The Goods and Services Tax (GST) reforms implemented in India in September 2025 signify a major recalibration of the country’s indirect tax framework, with an explicit focus on economic inclusivity, sectoral revitalisation, and youth-driven entrepreneurship. Moving beyond earlier GST phases, the current reform package introduces a streamlined rate structure, targeted slab reductions, and sector-specific rationalisation aimed at correcting structural inefficiencies and easing compliance burdens. Particular attention has been directed toward employment-intensive and innovation-oriented sectors, including education, automobiles, information technology, handicrafts, footwear, healthcare, food processing, and textiles, with the objective of improving affordability, strengthening domestic competitiveness, and fostering startup activity.
This study empirically examines the implications of the revised GST slab rates across selected industries, assessing their effects on production costs, pricing dynamics, market participation, and business sentiment. Using a sectoral analytical framework supported by secondary data, the paper evaluates how the reduction of GST to 5 per cent on several goods, alongside rationalised rates in transport and allied services, has influenced operational efficiency and consumer access. The findings indicate that the reforms have contributed to lower input costs, enhanced formalisation, and improved viability for small and medium enterprises, while simultaneously supporting household consumption through moderated prices.
The paper argues that GST 2.0 represents a transition from revenue-centric taxation toward a development-oriented fiscal strategy that aligns taxation policy with broader national priorities of sustainability, employment generation, and youth empowerment. By highlighting sector-wise outcomes of the revised slab structure, this research contributes to the growing literature on indirect tax reforms in emerging economies and offers policy-relevant insights for strengthening India’s long-term growth trajectory.},
        keywords = {Goods and Services Tax 2.0; GST Slab Rationalisation; Sectoral Impact Analysis; Youth Entrepreneurship; Inclusive Economic Growth.},
        month = {March},
        }