New Delhi: The GST Council’s proposal to levy different tax rates on popcorn based on its composition has triggered widespread backlash on social media. Congress leader and Thiruvananthapuram MP Shashi Tharoor joined the debate, criticising the decision with a satirical post on social media platform X. The GST Council, led by the finance minister Nirmala Sitharaman, on Saturday proposed 5% GST for non-branded popcorn with salt and spices, 12% for pre-packaged and branded varieties, and 18% for caramel popcorn, classified under sugar confectionery.
Tharoor in a satirical post shared an image of popcorns with rate of GST on each variety along with a caption. His post read: “Eat popcorn and go to sleep. Don’t think too much. Good night.”
Popcorn खाओ और सो जाओ। ज़्यादा सोचो मत। शुभ रात्रि। pic.twitter.com/KZu75hM6Bk
— Shashi Tharoor (@ShashiTharoor) December 23, 2024
Three different GST slabs for popcorn
The GST council’s proposal has faced opposition not only from politicians but also from former government economic advisers and netizens. Former chief economic adviser K V Subramanian called the move “a bureaucrat’s delight and a citizen’s nightmare”, questioning its revenue impact and inconvenience to the public. His predecessor, Arvind Subramanian, also criticised the decision for increasing complexity.
Congress spokesperson Jairam Ramesh condemned the “absurdity” of three different GST slabs for popcorn, arguing that it increases the growing complexity of what was supposed to be a simplified taxation system.
Finance minister defends 18% GST
Meanwhile, the Union finance minister defended the 18% GST on caramel popcorn, explaining that items containing added sugar fall under a different taxation category. Later, the GST Council clarified that pre-packaged and labelled ready-to-eat snacks would attract a 12% tax, while caramelised varieties would remain at 18% GST. The Council added that there had been no change in popcorn’s tax rates and that the Central Board of Indirect Taxes and Customs (CBIC) would issue a circular to clarify the existing taxation framework.
Netizens are having a field day on social media, sharing memes and satires over the GST slab for different flavours of popcorns.