Why did India pick only 2 slabs for GST 2.0?
India has simplified GST to just two slabs, 5% and 18%. Eight years of data showed that 72% of the GST’s revenue was coming from these two rates. The 12% and 28% slabs added complexity without much revenue. Simplifying the structure cuts compliance issues and disputes, while aligning India with global practice where most countries follow single or dual-rate systems.