After a much-talked-about tax structure imposed on popcorn by the (Goods and Services Tax) GST Council, recent news of tax on some of India’s most loved delights surprised Netizens. One of Kerala’s most loved authentic culinary treats, banana fritters, has been slapped with 18 per cent GST. Is there any significant reason behind keeping these sweet snacks in this tax slab? Continue reading for all necessary information about this crucial move.
18% GST Confirmed On Crispy Banana Fritters
Famously known as Ethakkaappam, Pazhampori, Vazhakkappam, and other names in different parts of Kerala, this mouth-watering delicacy of the state’s local cuisine has attracted a tax imposition. Recently, a massive GST of 18 per cent has been levied on these sweet banana fritters.
The Bakers Association Kerala (BAKE) represents the Medium and Small Enterprises (MSMEs) bakeries and allied manufacturers in Kerala. Regarding the tax structure imposed on banana fritters, BAKE stated that Pazhampori, Ada, Vada, Kozhukatta, and Unniyappam have found themselves in different tax brackets under the GST regime because of different ingredients used in preparing them following varied procedures.
According to a report by The New Indian Express, used products have been differentiated based on the Harmonized System of Nomenclature (HSN). All these food categories have their HSN codes and these signify the amount of tax levied on them. India’s GST Council determines the percentage of tax rates for each HSN code. Though the World Customs Organisation regulates specific tax amounts for these codes, countries can have their particular rates as well.
Unniyappam Is On The List Too!
Along with the iconic banana fritters, unniyappam has been added to a tax slab as well. These delicious round treats have been slapped with a 5 per cent tax. Even the smallest differences and dissimilarities ensure food items get categorised in higher and lower tax slabs.
These tiny sweet fritters are made with banana, rice flour, jaggery, ghee, and coconut. Rich in aromatic flavours, every bite melts in the mouth.
What are your views on the 18 per cent GST imposed on banana fritters? Let us know your thoughts on the 5 per cent tax on unniyappam too.
Cover Image Courtesy: Wikimedia Commons
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