Colgate-Palmolive Shares Gain Around 8% After GST Council Proposes Input Tax Credit Relief On Insurance And Other Expenses

Colgate-Palmolive (India) Limited shares rebounded after falling for two consecutive sessions. The stock rose as investors assessed the Goods and Services Tax (GST) Council’s recommendations announced following its meeting on 8 October 2026.

On 9 October 2026, the stock climbed as much as 7.7% to ₹1,868.90 on the National Stock Exchange (NSE) before giving up some gains amid profit booking.

For the day, the Colgate-Palmolive share price closed at ₹1,817.80, up ₹82.10 or 4.74% on the NSE. The stock opened at ₹1,736.20. It touched an intraday high of ₹1,868.90 and a low of ₹1,736.20.

What Does The GST Council Propose?

GST Council has recommended lifting restrictions on input tax credit (ITC) on certain expenses, including employee health and life insurance. The proposal also includes telecommunications towers and pipelines outside the factory sites.

The recommendations also include allowing ITC on free samples and goods written off after expiry when destruction is required by law. The wider reforms are aimed at reducing cascading taxes and easing working capital pressures for businesses.

However, the impact on Colgate-Palmolive will depend on how the revised provisions apply to its operations. The company’s oral-care products had already benefited from a reduction in GST from 18% to 5% in the previous year.

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