PM Modi announced that next-generation GST reforms have eased the tax burden on the poor and middle class while enhancing business operations.
Prime Minister Narendra Modi on Thursday said the government’s next-generation GST reforms have significantly reduced the tax burden on the poor and middle class, while boosting the ease of doing business.
Speaking at the inauguration of the Uttar Pradesh International Trade Show 2025, PM Narendra Modi underlined that structural reforms in GST will “give new wings to India’s growth story”.
Modi said the government introduced reforms in the indirect tax regime by implementing GST in 2017, a significant step towards strengthening the economy, followed by further reforms in September of this year.
Comparing taxes under the UPA government, Modi said, “Before 2014, there were so many taxes that neither businesses nor families could balance their budgets. In 2014, a ₹1,000 shirt carried a tax of ₹117. After the implementation of GST in 2017, that tax came down to ₹50. Now, after the NextGen GST reform, only ₹35 will have to be paid on a ₹1,000 shirt,” the prime minister said.
He stressed that GST reforms will continue further, with the focus on making India’s taxation system simpler, fairer and growth-oriented.
Modi also highlighted how reduced GST rates have benefited households and small traders, saying the reform has ensured a level playing field, curbed tax evasion, and increased transparency in the system.
“We are not going to stop here… As the economy strengthens further, the tax burden will keep going down… With countrymen’s blessings, reforms in GST will continue,” Modi said.
He highlighted the measures taken by the government, including no income tax on individuals earning up to ₹12 lakh annually and the GST 2.0 reforms, and stated that these initiatives will result in more savings in the hands of the people.
Modi added that Indian is developing a vibrant defence sector, creating an ecosystem where every component bears the mark of ‘Made in India.’
Production of the AK-203 rifles will soon begin in a factory set up in Uttar Pradesh, in collaboration with Russia, he said.
Modi emphasised that India must become self-reliant and called for increasing investment in research and innovation. Every product that can be made in India should be made in India, said the Prime Minister.
Inviting global investments, Modi said, despite geopolitical disruptions and uncertainty, India’s growth remains attractive.
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