55th GST Council Meeting: Decision on Rationalizing Tax Slabs for Essential Goods
The 55th GST Council meeting concluded with a decision to reduce tax rates on several essential life-saving drugs and medical equipment.
Key Points for Quick Revision
- GST on life-saving drugs reduced from 12% to 5%.
- 55th GST Council meeting chaired by the Union Finance Minister.
- Discussion on including natural gas under GST deferred.
- Simplified return filing for small taxpayers approved.
How This Topic is Tested in Competitive Exams
| Exam | Frequency | Approx. Marks | What Gets Asked |
|---|---|---|---|
| SSC (CGL / CHSL / MTS) | Medium | 2–4 | Budget highlights, GDP data, and government economic schemes appear in SSC CGL GK section. |
| Banking (IBPS / SBI) | Very High | 6–10 | RBI policy, inflation, CRR/SLR, monetary committee decisions — banking exams test the full spectrum. |
| State PCS / PSC | High | 4–8 | State budget, MSME, agriculture policy, and banking data are common in state PCS papers. |
What to Memorize from This Topic
- Key budget figures: fiscal deficit %, GDP growth projection, key scheme allocations
- RBI rate decisions: Repo rate, CRR, SLR, Reverse Repo — current values
- Rankings: India's position in ease of doing business, hunger index, HDI
- Abbreviations: FRBM, NBFC, MPC, PMGSY, PMGKAY — full forms and purpose
- Trade data: import-export balance, major trading partners
Practice Questions
Q1. Which article of the Indian Constitution provides for the GST Council?
- Article 246
- Article 279A
- Article 280
- Article 370
Explanation: Article 279A of the Constitution provides for the establishment of the GST Council.
Q2. What was the reduced GST rate for life-saving drugs decided in the 55th meeting?
- 0%
- 5%
- 12%
- 18%
Explanation: The GST on life-saving drugs was reduced from 12% to 5%.
How to Prepare Economy & Finance for Government Exams
Track current Repo Rate, Inflation rate, and GDP growth. These three numbers appear in almost every banking exam.
Keep a running note of new schemes with their ministry, launch date, and target beneficiary group.
Focus on the Economic Survey and Union Budget highlights — these single documents generate dozens of exam questions.