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India’s New Popcorn GST Rates Draw Criticism for Complexity

The GST Council's decision to introduce varying tax rates for salted and caramel popcorn has prompted backlash over the system's growing intricacy.

  • The GST Council's 55th meeting introduced three tax slabs for popcorn: 5% for unpackaged salted popcorn, 12% for pre-packaged salted popcorn, and 18% for caramel popcorn.
  • Finance Minister Nirmala Sitharaman explained that caramel popcorn's higher tax rate reflects its classification as a sugar confectionery rather than a snack.
  • Critics, including Congress leaders, argue the move highlights the growing complexity of India's GST system, which was intended to simplify taxation.
  • Social media users mocked the decision with memes and commentary, questioning the government's priorities and the rationale behind the tax slabs.
  • Experts and commentators have called for a systemic overhaul of GST to reduce ambiguities, rationalize tax slabs, and restore public trust in the system.
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