- Ice cream companies are pushing for a reduction in GST rates by approaching the President and Finance Ministry
- Ice cream currently attracts 18% GST if sold through shops, but only 5% if bundled with food supplies by hotels or restaurants
- Indian Ice-Cream Manufacturers’ Association is requesting a reduction in GST rate to 5% to increase demand and consumption
- Ice cream is considered a dairy product, but raw materials are taxed at lower rates compared to the final product
- Lowering GST rates could bring small unorganised enterprises into the tax net and increase tax compliance
- The ice cream market in India is expected to grow significantly, benefiting farmers and rural households
- The ice cream industry employs over 20 lakh people and supports millions more workers in sugarcane farming
Source: a2ztaxcorp.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
