Papad, by whatever name known, is excluded from the GST and the expense rate doesn’t fluctuate dependent on its shape, the CBIC has explained.
The explanation by the Central Board of Indirect Taxes and Customs (CBIC) came after industrialist Harsh Goenka tweeted that round formed papad is excluded from Goods and Services Tax though a square papad draws in the duty.
“Did you realize that a round papad is excluded from GST and a square papad draws in GST? Would anyone be able to propose a decent contracted bookkeeper who can cause me to comprehend the rationale?” Goenka, administrator of RPG Enterprises, tweeted on Tuesday.
“Papad, by whatever name known, is excluded from GST vide Entry No. 96 of GST warning No.2/2017-CT(R). This passage doesn’t recognize dependent on the state of papad. This warning is accessible at cbic.gov.in,” the CBIC said in a late night tweet, which cited Goenka’s tweet.
GST, which subsumed over twelve neighborhood demands, similar to extract obligation, administration expense and VAT, was carried out on July 1, 2017.