Clothes, footwear, cab fares to get costlier from January 1, 2022: All you need to know

New Delhi, Dec 27: Be ready to shell more money as India is set to see a host of changes in terms of the Goods and Services tax. The changes will come into effect from January 1, 2022.

The changes will have an adverse impact on the common man's pocket as garments, shoes E-commerce operators like Zomato and Swiggy and even Ola, Uber will come under GST taxation.

Readymade garments and shoes

According to the new rules, all footwear, garments (except cotton) will attract 5 per cent GST instead of 5 per cent from Saturday.

Ola, Uber

While the passenger transport services provided by auto rickshaw drivers through offline/ manual mode would continue to be exempt, such services when provided through any e-commerce platform would become taxable effective January 1, 2022, at 5 per cent rate.

Swiggy, Zomato

The procedural changes that would come into effect include e-commerce operators, such as Swiggy and Zomato, being made liable to collect and deposit GST with the government on restaurant services supplied through them from January 1. They would also be required to issue invoices in respect of such services.

There would be no extra tax burden on the end consumer as currently restaurants are collecting and depositing GST. Only, the compliance of deposit and invoice raising has now been shifted to food delivery platforms.