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News Order To Impose 18% GST On Popcorn By Gujrat Authority

Order To Impose 18% GST On Popcorn By Gujrat Authority

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Be prepared to give tax on popcorns, as Gujrat Authority has levied 18% GST on ready to eat popcorn buckets.

The Tax Affairs Authority of Advance Ruling (AAR) in Gujarat has made it clear that Packed and Ready to Eat Popcorn will attract Goods and Services Tax (GST) of 18 percent. According to the Authority of Advance Ruling (AAR)packed popcorn does not come under standard grain. The oil and the salt are also added to it. After that corn grains are heated and mixed with other ingredients. Therefore ready to eat Popcorn will attract 18% GST.

According to the Times of India, there is a company that sells ready-to-eat popcorn under the name of ‘JJ Popcorn’ (Jai Jalaram Enterprises), a puffed corn (popcorn) manufacturer from Surat, approached AAR in Gujarat for clarification on the GST on this food item. Talking to AAR the company said that there should be 5% GST only. But AAR said that 18 percent GST will be levied on it.

Earlier in Karnataka, an authority had ordered that 5% GST would be imposed on roti, but 18% GST would be imposed on Malabar Paratha.

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