Confusion persists over the purported exemptions in the implementation of the 5% GST hike in the State, even as Finance Minister K.N. Balagopal attempted to clear the air on the issue on Wednesday.
Mr. Balagopal told a press conference here that the government had never claimed that the 5% GST rate on pre- packaged, unbranded food items would not be implemented in the State. The State’s stand is that unbranded essential commodities that were not taxed earlier should not be taxed now, he said.
“’What the Chief Minister said yesterday (Tuesday) and what I said in the Assembly are the same thing: The State’s stand is that essential commodities such as rice and pulses packed and sold by small-scale producers and Kudumbasree units should not be taxed. The State has upheld this view in the GST Council and before committees on GST rates,” Mr. Balagopal said, adding that items sold loose or re-packed in 1 kg or 2 kg packets should not be taxed.
