GST Council May Cut Rates: ACs, TVs, Refrigerators and Washing Machines Could Soon Get Cheaper

The upcoming festive season may bring welcome relief for consumers as the GST Council is considering a major revamp of tax slabs. If approved, the prices of air conditioners, large-screen TVs, refrigerators, and washing machines could drop significantly, easing the burden on household budgets.

Key Meeting Underway in Delhi

The 56th meeting of the GST Council, chaired by Union Finance Minister Nirmala Sitharaman, is currently being held in New Delhi on September 3–4, 2025. A central agenda of this meeting is simplifying the current tax structure by reducing the number of slabs and lowering rates on essential and consumer durables.

Reports suggest that the Council is planning to eliminate the 12% and 28% GST slabs, merging the system into two main categories—5% and 18%. Luxury and sin goods, however, are likely to remain under a higher 40% tax bracket.

What Could Get Cheaper?

Air Conditioners (ACs)
At present, ACs fall under the 28% GST slab. If the rate is reduced to 18%, customers could see a 6–7% price cut. Depending on the model, this may translate into direct savings of ₹1,500 to ₹2,500 per unit.

Large-Screen Smart TVs
TVs above 43 inches are also taxed at 28%. A reduction to 18% could bring down prices by ₹2,000 to ₹3,000, making premium models more affordable for middle-class households.

Refrigerators
Refrigerators currently attract 18% GST. Moving them into the 5% slab would result in a noticeable drop in retail prices, benefitting families planning festive-season upgrades.

Washing Machines
Washing machines, which also fall under the 18% tax bracket, could see significant price reductions if shifted to the 5% category. This would directly ease the cost of purchase for millions of households.

Consumer Impact Ahead of Festivals

With Diwali and other major festivals approaching, any reduction in GST rates will not only boost consumer sentiment but also spur higher sales for retailers. Industry experts believe this move could revive demand in the consumer durables market, which has seen fluctuating sales over the past year due to inflationary pressures.

Retailers are optimistic that lower prices on big-ticket items such as ACs, TVs, refrigerators, and washing machines could encourage bulk buying and enhance household spending during the festive rush.

Final Decision Expected Soon

The GST Council meeting will conclude on September 4, 2025, after which the official list of revised rates will be announced. Only then will it be clear which products will benefit from lower GST and by how much.

For now, consumers and businesses alike are keeping a close eye on the outcome, as the decisions taken could reshape market pricing and significantly impact festive-season shopping trends.

✅ Bottom Line: If the proposed GST cuts are approved, household appliances like ACs, TVs, refrigerators, and washing machines may become cheaper by mid-September 2025. This would provide much-needed relief to consumers while giving a timely boost to festive-season sales.