Whole wheat parota: HC stays order reducing GST
In Kochi, a High Court division bench has temporarily halted a single bench decision that reduced the GST rate on ‘whole wheat parota’ from 18% to 5% for two months. Justices A. Muhamed Mustaque and S. Manu issued the interim order in response to an appeal by the Kerala state government and GST department. The appeal challenges the classification of ‘parota’ as akin to bread, arguing it differs significantly in ingredients and preparation methods.
Kochi: A HC division bench has stayed a single bench order that reduced the GST rate on ‘whole wheat parota’ from 18% to 5% for two months. The bench of Justices A Muhamed Mustaque and S Manu issued the interim order in an appeal filed by the state govt, the Kerala state GST department, and others challenging the single bench ruling. The single bench had determined that ‘whole wheat
parota’ should be taxed at 5% GST, considering them akin to bread.
The order came in a plea by Modern Food Enterprises Pvt Ltd, challenging an order from the appellate authority for Advance Ruling, Kerala, which had classified their products under the 18% GST bracket.
In the appeal, the state govt argued that ‘parota’ does not qualify as ‘bread’. It contended that ‘parota’ was distinct in terms of ingredients, preparation process and baking methods.
Source Link: https://timesofindia.indiatimes.com/city/kochi/hc-stays-order-reducing-gst-on-whole-wheat-parota/articleshow/111097764.cms