From September 22, 2025, India takes a bold step towards a simpler GST regime—streamlining into just two key slabs of 5% and 18%, with a higher 40% rate reserved for luxury and demerit goods. Businesses everywhere are welcoming the change. But when tax rates shift, the real challenge is ensuring your system is updated quickly, accurately, and without disrupting daily operations.
That’s where TallyPrime comes in. Instead of long hours of manual updates, TallyPrime gives you a smarter way to apply the new GST rates — no matter how complex your business setup is.
Let’s look at a few real-world scenarios and see how TallyPrime makes the transition effortless.
Scenario 1: FMCG Distributor – Multiple GST Rates Across Hundreds of Items
The Challenge:
An FMCG distributor deals with 500+ products — biscuits, beverages, and packaged foods. Earlier, biscuits and snacks were under 12%, beverages at 18%, and chocolates at 28%. Now, with the new structure, most items have shifted to just two slabs: 5% or 18%.
Without TallyPrime:
Someone would have to manually open every stock item, check its category, and update GST rates individually. Hours of work, and plenty of scope for errors.
With TallyPrime:
- The distributor simply opens the GST Rate Setup utility.
- All “Packaged Foods” are grouped — so one update at the group level changes rates for hundreds of items in seconds.
- Beverages are updated at the ledger level, so every invoice using “Sales – 18% GST” automatically picks the correct rate.
500+ products updated in minutes, not days.
Scenario 2: Electronics Retailer – High-Value Items with Ledger-Based GST
The Challenge:
An electronics retailer sells TVs, laptops, and smartphones. Earlier, some products attracted 28%. Under the new GST structure, they are all shifting to 18%.
With TallyPrime:
- Instead of updating each stock item, the retailer simply updates the Sales Ledger (18% GST).
- From 22nd September, every sale linked to that ledger automatically applies 18%.
The entire electronics category gets updated instantly, ensuring accurate billing from Day 1.
Scenario 3: Service Provider – Single GST Rate for All Services
The Challenge:
A digital marketing agency offers services like SEO, social media, and paid ads. All services attract the same GST rate. Earlier it was 18%, and it remains 18% under the new structure. But from time to time, GST rates on services do get revised.
With TallyPrime:
- The agency sets Company-Level Default GST to 18%.
- Every service inherits this rate automatically.
- If the rate ever changes, one update at the company level applies across all services.
No manual edits, no confusion, and the team focuses only on serving clients.
Scenario 4: Wholesaler – Dealing with Items Missing GST Rates
The Challenge:
A wholesale trader realizes that several items in the inventory masters don’t have GST rates defined at all.
With TallyPrime:
- Using the GST Rate Setup report, the wholesaler can quickly identify all stock items with missing GST details. Instead of updating each one manually, they can group items under the same rate and apply GST at the group level—so every item in that group automatically inherits the correct rate.
- The wholesaler can update them in bulk, either rate-wise or HSN-wise, ensuring 100% compliance.
Gaps are spotted and fixed before filing returns, saving him from penalties.
Scenario 5: Luxury Goods Dealer – Applying the 40% Slab
The Challenge:
A dealer in premium cars and tobacco is impacted by the new 40% “sin & luxury” slab.
With TallyPrime:
- The dealer updates the stock group “Luxury Items” to 40%.
- Disable the compensation cess with effective date of 22nd September’25.
- Every item under this group automatically picks the new rate.
- Future additions to this group will also inherit the correct rate, without extra effort.
Compliance for luxury items handled in one move.
Why These Scenarios Matter
No two businesses are the same — but GST compliance is universal. Whether you’re a retailer, wholesaler, manufacturer, or service provider, the new rates apply to you.
What makes TallyPrime stand out is that it adapts to your way of working:
- Use group-level for bulk updates
- Use ledger-level for transaction-driven control
- Use company-level defaults for a blanket approach
- Or mix all three, depending on your needs
Instead of wrestling with rate changes, TallyPrime gives you confidence that your system is always accurate, compliant, and ready for the future.
Final Word: Your Business, GST-Ready in Minutes
The GST reforms coming into effect on 22nd September 2025 are a step toward simplicity. With TallyPrime, that simplicity extends to how you manage compliance inside your business.
So, whether it’s 50 items or 5,000, multiple slabs or a single rate, TallyPrime ensures you stay compliant — without wasting time on manual edits.
GST reforms are here to make life easier. And with TallyPrime, updating your system is just as easy.
