NEW DELHI: Flipkart’s Chief Operating Officer, Rajneesh Kumar, has lauded the government’s Next-Gen GST reforms, particularly the early implementation starting 22 September 2025, describing it as “a huge boost to consumption in India.”
“NextGenGST reforms + early implementation from 22 Sept. means a huge boost to #consumption in India,” he said in a tweet.
He emphasized that a simpler GST structure with rate cuts would stimulate consumption, empower micro, small and medium businesses (MSMEs), and create fresh avenues for exporters during a time of global trade volatility.
“Simpler GST with rate cuts → more consumption, stronger MSMEs, new opportunities for #exporters to access local market in the time of global trade uncertainties,” Kumar added.
The COO also noted the reforms’ perfect alignment with India’s looming festive season and Flipkart’s flagship Big Billion Days sale, stating:
“Perfectly timed with the festive season & #BigBillionDays ahead—energising growth for businesses & consumers alike.”
He concluded by applauding Prime Minister Narendra Modi, Finance Minister Nirmala Sitharaman, and the GST Council for driving this reform.
“Compliments to the Hon’ble PM @narendramodi ji, FM @nsitharaman ji & @GST_Council . #Ecommerce #ViksitBharat #TheBigBillionDays #NextGenGST”
NextGenGST reforms + early implementation from 22 Sept. means a huge boost to #consumption in India.
Simpler GST with rate cuts → more consumption, stronger MSMEs, new opportunities for #exporters to access local market in the time of global trade uncertainties.
Perfectly… pic.twitter.com/8CwFBnmrI5
— Rajneesh Kumar (@rajneeeshkumar) September 4, 2025
Updated Tax Slabs
Recent discussions reveal that the GST Council and the Group of Ministers (GoM) have proposed rationalizing tax slabs down to two main rates—5% and 18%—with a special 40% rate on a few select items.
Finance Minister Nirmala Sitharaman has underscored that these reforms aim to reduce compliance complexity and support small businesses.
An analysis by SBI Research suggests that states could actually benefit fiscally from this rationalisation—projected revenues might exceed ₹14.10 lakh crore in FY26, with over ₹10 lakh crore from SGST and ₹4.1 lakh crore through devolution.
Further, analysts such as Ambit Capital argue that cutting GST rates can have a much stronger multiplier effect on the economy compared to reductions in income tax—potentially lifting India’s GDP growth by 20 to 50 basis points, provided that savings are passed on to consumers effectively.
These reforms have, however, heightened operational concerns among e-commerce sellers.
With the festive sale season approaching, merchants on platforms like Flipkart have flagged potential logistical challenges—such as accurate invoicing, system adaptations, and return compliance due to shifting from 12% slab to the new rates.
