<h1>GST Council approves two-tier rates of 5% and 18% from Sept 22 with simpler refunds, MSME relief and insurance exemption</h1> The GST Council approved a two-tier rate structure of 5% and 18% effective September 22, along with simplified refund and MSME procedures and exemption of individual life and health insurance from GST. Industry associations said the changes will ease compliance, reduce litigation, and provide price relief to households by lowering rates on everyday goods and key inputs. Sector groups noted specific benefits: aligning man-made fibre and yarn at 5% to unblock working capital for textile MSMEs, and restructuring hotel tariffs to 5% for rooms up to Rs 7,500 (and 12% for higher slabs) to boost tourism demand.