<h1>GST Council adopts two-tier 5% and 18% rates from September 22; states agree, revenue loss estimated Rs 47,700 crore</h1> The GST Council approved a two-tier tax structure of 5% and 18%, effective September 22, after a consensus-based decision with all states reportedly on board. A state deputy chief minister affirmed state agreement, while a state finance minister estimated total revenue loss from the rate rationalisation at Rs 47,700 crore. The Council deferred a decision on additional tax incidence for demerit goods above a 40% threshold, saying any levy beyond that will be decided later. The 56th Council meeting lasted about 10.5 hours to resolve the key tax proposals.