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Oct 01, 2025
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GST 2.0: E-Commerce platforms under govt scanner for price hikes on certain items despite tax cuts
E-commerce platform operators are under the scanner of the government for increasing prices of certain items despite sweeping rate cuts under GST 2.0, which became effective on September 22. Following multiple complaints from the public regarding price hikes on certain products, the government has sent queries to a few e-commerce platforms seeking explanations for the increased prices.
“Several users raised complaints about prices of some items going up even after the GST rate cut. We have asked the e-commerce operators (about it). The extent of price cuts after GST reduction depends on them but at least the prices should not go up if the GST rate has come down for that item,” a government official said.
Monitoring Price Changes Across Product Categories
The government is closely observing price changes for commonly used items on e-commerce platforms. Officials are monitoring whether prices have been adjusted both pre- and post-September 22, the start of the GST rate cuts. Last week, a senior government official had confirmed that authorities are keeping a close watch on the benefits being passed on to consumers after the tax reduction.
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