GST 2.0: Is the festive season best time to buy TVs and ACs? Will Sony, Samsung, LG, and Panasonic appliances get cheaper?

This year, electronics shoppers are in for a double treat, with the announcement of the government's "Diwali gift" of Goods and Services Tax (GST) rate cuts coinciding with festival season offers.

GST rates on TVs, air conditioners, washing machines, and other home appliances will be reduced from 28 per cent to 18 per cent from September 22 onwards after the 56th meeting of the GST Council on Wednesday.

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Notably, while the earlier rates mandated a 28 per cent GST on TVs and monitors up to 32 inches, the new GST rates have done away with the size specification, uniformly cutting GST rates on all TVs and monitors to 18 per cent. 

So now, in the case of TVs, one could get GST cuts on Sony Bravia, Samsung, and LG appliances—including OLED models with screen sizes of 55 inches or above. In the case of ACs, popular brands like Voltas, Godrej, and Panasonic are set to see an increase in consumers this festive season.

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Consumers typically wait for festive sales to buy gadgets, and this year, the wait may pay off even more. For example, a mid-range 55-inch smart TV priced at Rs 70,000—after Diwali offers already reduce it by about Rs 8,000—could see a tax reduction upwards of Rs 10,000. Similarly, a 1.5-tonne inverter AC costing approximately Rs 40,000 might just become cheaper by a whopping Rs 7,000!

Shoppers also need to note that the revised GST rate applies to the invoice date, not the booking date. If an appliance is pre-booked but delivered after September 22, the new, lower tax rate applies, which lets consumers negotiate revised invoices or check with the seller before final payment.

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While major retailers like Croma, Reliance Digital, Amazon, and Flipkart have systems in place to automatically adjust GST rates at checkout, smaller stores may take longer in integrating the rate cuts into their purchase framework.

While mid-range appliances are likely to see the highest demand, premium devices may see smaller net reductions if brands choose to maintain margins.