Founder Director, TaxAaram India Pvt Ltd (taxaaram.com) | Partner: S M Mohanka & Associates| Tax Partner: Hindustan Times Group| FCA | Author | Tax Practitioner |18+ years experience in ITAT/AAR
I wonder whether "Khatta Meetha Mixture" will still qualify as a "Namkeen" or not. Jokes apart, the clarification of higher GST rate of 18% on caramalised popcorn vis-a-vis lower GST rate 5%/12% on plain/salted popcorn classified as "Namkeen" seems to be in alignment with the policy of higher GST rates for value-added products. Like the GST rate on Cardamom (Elaichi) is 5% but GST rate on flavoured & coated elaichi is 18%. Yesterday only I read a post on UK differential VAT rates on different types of chocolates. So, now a days, this tendency of fixing varying GST/VAT rates based on the value additions has become more common and has some merit also. But then the Legislature, should not boast about simplifying and unifying tax regimes and rates.
| Advocate | Income Tax | GST | Custom Laws | PMLA & Other White Collar Litigation | Govt. Pleader | Delhi High Court |
FM NIRMALA SITHARAMAN : "There is difference between salted and caramel popcorn" "When popcorn is mixed with sugar (caramel popcorn), it is no longer a NAMKEEN, so it will be taxed at 18%" "When Popcorn is mixed with salt and spices, they are like.Namkeen" "So, this popcorn with salt and spices will be taxed at 5% if loose & 12% if pre-packaged and labelled" Your thoughts are invited. Mayank Mohanka A Jatin Christopher Sir
