GST rate and HSN code

This query is : Resolved

Pragna Marfatia (Querist)
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28 June 2020 Seetharaman Sir,
Can you please guide me as to what should be GST rate and HSN code for Gourmet Popcorn (Ready to eat packed in a container).
Somebody is telling, under 21069099, it should be 12%, someone says it is 18%.
I am not sure of both HSN code as well as GST rate. Can you please help.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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28 June 2020 Ready-to-eat popcorn to attract 18 per cent GST

Pragna Marfatia

Pragna Marfatia (Querist)
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28 June 2020 Thanks Seetharaman sir. Can you please tell me what han code should be mentioned on invoice and in get return?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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28 June 2020 HSN code 20081990........

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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28 June 2020 While GST on food is levied at the concessional rate of 5%, the humble popcorn packet has been moved to the elite tax slab of 18%, with tax authorities ruling that it is not just a standard cereal. A packet of corn, which needs to be heated before eating, would attract 5 per cent GST; but, the ready-to-eat popcorn bag is oiled and seasoned, and hence will attract 18 per cent tax, ruled the Authority for Advance Rulings (AAR).

Pragna Marfatia

Pragna Marfatia (Querist)
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28 June 2020 Sir, thanks, but it says hsn code 20081990 is for ready to cook popcorn.
Someone is telling, it should be 21069099.
Someone says, it is not classified elsewhere, as it is ready to eat in a container, it will be 21069099.
In 21069099, there is 12% category as well as 18% gst rate.
I am really confused. Please guide.
This gst has made life hell.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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28 June 2020 You are right. Many AAR rulings debatable. I don't agree for 18% rate.
HSN 21069099 is the right one and the rate should be 12% go ahead with it.

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