In a welcome move ahead of the festive season, the GST Council has unveiled sweeping tax cuts for essential construction materials, delivering substantial relief to homebuyers and the broader housing sector.
Effective September 22, 2025, the GST on cement has been slashed from 28% to 18%, offering a significant cost reduction for builders and buyers alike. Meanwhile, the GST on marble, granite blocks, sand-lime bricks, and stone inlay work has dropped from 12% to 5%. Additionally, materials like bamboo flooring, wooden joinery, packing cases, and pallets now attract just 5% GST, down from 12%.
Industry leaders are calling this reform a timely and “festive bonanza” that not only lowers home construction costs but also enhances affordability across income segments. However, experts note that the impact will materialize more fully in new project launches, as ongoing developments may take time to reflect these savings.
This rationalization of GST rates comes as part of India’s broader tax overhaul, streamlining slabs to just 5% and 18% for most goods and services