The GST Council agreed on a four-tier tax rate structure for goods and services tax (GST) in India. Nearly half of items in the consumer price index basket and major food grains will be taxed at 0%, while goods for daily use will face a 5% tax rate. There will be standard rates of 12% and 18%, while luxury and 'sin' goods as well as coal will attract additional cess. The multiple tax rates may create classification problems and rent-seeking opportunities. However, the structure is not expected to be highly inflationary due to many exemptions and lower taxes on essential goods. Some sectors like consumer goods and logistics may benefit from GST reforms. Many implementation details are still to be