GST Council Clarifies Popcorn and Other Tax Rates

The GST Council, chaired by Finance Minister Nirmala Sitharaman, has clarified the GST rates for popcorn, maintaining the existing tax framework. Pre-packaged and labelled popcorn is subject to a 12% GST, while caramelised popcorn, due to its added sugar content, attracts an 18% GST, as it is classified under sugar confectionery. Unpackaged and unlabelled popcorn mixed with salt and spices is taxed at a lower rate of 5%. The decision has sparked humorous reactions on social media, with memes highlighting the perceived complexity and triviality of the tax distinctions. Additionally, the Council has exempted certain items like expensive cancer gene therapy and small business property rent from GST, while reducing the GST on fortified rice kernels to 5%. The Central Board of Indirect Taxes and Customs (CBIC) will issue a circular for further clarity on these matters.