New Delhi: The finance ministry has notified GST Council’s decision to cut tax rates on 200 items including shampoo, detergent and beauty products among others. This will also make eating out cheaper as GST on restaurants has also been cut to 5 percent from as high as 18 per cent.

Meanwhile, consumer affairs minister Ram Vilas Paswan directed state enforcement officers to ensure that benefits of rate cut is passed on to consumers.

“The reduced GST rates are effective from today. We have activated state legal metrology officers to ensure the rate cuts are passed on to the consumers," said Mr Paswan.

A mechanism has been put in place to monitor changes in maximum retail price (MRP) on a daily basis, he said.

As per the Legal Metrology (Packaged Commodities) Rules, companies have to give prior information to the public regarding any hike in MRP of the packaged items. However, there is no boundation for them in case of MRP revised downward. Mr Paswan further said that the companies would be required to paste stickers of MRP with new GST rates on the products which are ready for retailing. A notification in this regard will be issued soon.

Large retail outlets have also started advertising the downward revised prices of FMCG items like shampoo, detergent and beauty products on account of reduction in Goods and Services Tax (GST).