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popcorn

Time to take a pop at GST absurdities

The GST Council (Goods and Service Tax) recently announced a bewildering array of extra tax rates for popcorn, sparking an understandable backlash among economists, businesses, and consumers alike.

Taxation Gone Awry

During its 55th meeting, the GST Council clarified that tax treatment for popcorn would depend on its flavour and the way it was sold; while popcorn sold loose will be taxed at 5 per cent, GST on popcorn will incre a se to 12 per cent if it was sold in packets under a brand name, while caramelised popcorn would be taxed at 18 per cent.

Popcorn Paradox

India’s Goods and Services Tax, introduced with the promise of simplifying the tax structure, has once again come under scrutiny.