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GST Menace Hits the Confectionery Shops

Nimisha Gupta , Last updated: 28 July 2017  
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A significant variation in the Goods and Service Tax (GST) rates for the same product has created dubiety in the Confectionery Shops.

Have you ever wondered, what is the difference between nurturing your taste buds with your favourite Jalebi, standing at the counter of your favourite Sweet shop versus ordering the same from the table, just a couple of steps away?

Apart from the comfort level, Blame GST!

As a matter of fact, the Jalebi consumed at the counter or outside the shop would be slightly cheaper compared to the one you enjoy seated at the table.

Let's probe into some common questions to mitigate the ambiguity,

# What are the GST Rates applicable?

There are three different rates applicable:

  • 5% GST: If you consume sweets at the counter or simply carry it outside the shop after paying off the bill.
  • 18% GST: If you decide to relish it after asking a waiter to get the same, at your table in an air conditioned shop.
  • 12% GST: If you place an order at the counter.

# Impact of such a Menace

Such varied tax slabs have made different sweet shops interpret the same, a bit differently which ends up confusing the consumers.

Research has revealed, that leading sweet shops which do not have seating facilities but has tables, around which customers can stand and enjoy their snacks and sweets, are charging a GST of 5%.

Many consumers are unaware about such rates and often feel cheated at the hands of the mithaiwalas.

# Is it applicable just on 'Jalebis'?

No, it is not exclusive to Jalebis. The scope of such, GST rate difference extends across all the sweets and snacks available at the Sweet Shops. Ranging from Rasmalaies to your Dhoklas.

Moreover, apart from confectionery stores, the same is levied on many fast- food chains, irrespective of the fact if you consume it there or order a takeaway.

# Did You Know!

Beverages containing milk also faces the same nuisance. Be it Tea or Coffee or any other drink or a food article, you as a consumer will end up paying 18% GST if you happen to consume it inside the restaurant or eating joint or a mess or canteen with air conditioning.

However, without Air conditioners or Central heating units, the same will be subjected to a GST of 12%.

GST has finally made the same sweet taste different; the choice is yours. Do you like it 'sweet and pricey' or 'sweet and light on the pocket'?

The author has an unleashed zest for everything creative. Is a budding writer, inspired from coffee beans to pen down, when the world sleeps. It's not about the destination rather the journey. #MusicBuff #Coffeeholic #ChocoManiac #Trailblazer.. Affiliated with QuickCompany which deals in Company Registration, Trademark registration, Trademark Public Search, MSME, Import-Export Code and Other Legal Activities.

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Nimisha Gupta
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Category GST   Report

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