- The 55th GST Council meeting held on December 21, 2024, addressed the application of GST on popcorn, clarifying that there has been no increase in the GST rate for this popular snack.
- The varying GST rates for different types of popcorn are based on the Harmonised System (HS) classification, where sugar confectionery is generally taxed at 18% and namkeens at 5% or 12% depending on packaging.
- The Council recommended clarifications to resolve classification disputes regarding ready-to-eat popcorn mixed with salt and spices, and popcorn sold in theaters will likely continue to be subject to a 5% GST rate as it is served in loose form, separate from cinema exhibition services.
Source A2ztaxcorp
