The fight over GST on sattu and idli dosa order came in favour of sattu in Gujarat, know more about this

Tax System: Goods and Services Tax was introduced in India with the idea of ​​'One Nation, One Tax'. In GST also, all products and services have been divided into 5 different tax slabs. GST is levied in the country from zero to 28 percent. Under this, Sattu, which is famous in North India, comes under the purview of 5 percent GST. On the other hand, this rate is 18 percent on Idli, Dosa and Khaman Mix. This difference gave rise to a controversy and the matter reached the Gujarat government. Giving clarification in this matter, the government has said that Idli, Dosa and Khaman Mix cannot be kept in the category of Sattu, hence more tax will continue to be levied on them.

5% GST is levied on Sattu

While giving this decision, the Gujarat Advance Ruling Appellate Authority (GAAR) said that there are different GST categories for food products in the country. The authority said that the mixture for making idli, dosa and khaman cannot be considered as sattu. Therefore, 18 percent GST should be imposed on them instead of 5 percent. Gujarat-based Kitchen Express Overseas Limited had approached GAAR against the decision of the GST Advance Ruling Authority. The company had said that its 7 'instant flour mixes' are not ready-to-eat food. They have to go through some cooking processes.

GAAR declared Sattu as a different product

The company sells flour mixes for gota, khaman, dalwada, dahi-vada, dhokla, idli and dosa in powdered form. Rejecting the appellant's argument, GAAR said that the ingredients used in making 'instant flour mix' are not covered under the relevant GST rules, as is the case with sattu.

The product also contains spices and other ingredients

According to CBIC, GST is applicable on Sattu at the rate of 5%. GAAAR said in its decision that spices and other ingredients are also included in the product of the appellant company. On the other hand, this is not the case with Sattu.

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