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After criticism on GST rate hike, Sitharaman says, 'no tax on unpacked food items'

After criticism on GST rate hike, Sitharaman says, 'no tax on unpacked food items'

India Today
Tuesday, July 19, 2022 02:29:05 PM UTC

In a series of tweets, the Finance Minister also said that the list was recommended by the GST Council with the complete consensus of all members.

A day after the revised Goods and Services Tax (GST) rates came into force, inviting criticism from the Opposition parties, Union Finance Minister Nirmala Sitharaman on Tuesday gave a list of items that are exempted from GST if sold lose.

The list includes pulses/dal, wheat, rye, oats, maize, rice, atta/flour, sooji, rawa, besan, puffed rice and curd/lassi.

"The @GST_Council has exempt from GST, all items specified below in the list, when sold loose, and not pre-packed or pre-labeled. They will not attract any GST. The decision is of the @GST_Council and no one member. The process of decision making is given below in 14 tweets," Sitharaman said.

The @GST_Council has exempt from GST, all items specified below in the list, when sold loose, and not pre-packed or pre-labeled.They will not attract any GST.The decision is of the @GST_Council and no one member. The process of decision making is given below in 14 tweets. pic.twitter.com/U21L0dW8oG

In a series of tweets, the Finance Minister also said that the list was recommended by the GST Council with the complete consensus of all members.

"Recently, the GST Council in its 47th meeting recommended to reconsider the approach for imposition of GST on specified food items like pulses, cereals, flour, etc. There have been a lot of misconceptions about this that have been spread. Here is a thread to lay the facts: Is this the first time such food articles are being taxed? No. States were collecting significant revenue from foodgrain in the pre-GST regime. Punjab alone collected more Rs 2,000 cr on food grain by way of purchase tax. UP collected Rs 700 cr," she tweeted.

Is this the first time such food articles are being taxed? No. States were collecting significant revenue from foodgrain in the pre-GST regime. Punjab alone collected more Rs 2,000 cr on food grain by way of purchase tax. UP collected Rs 700 cr. (2/14) pic.twitter.com/T5G6FZ6lv5

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