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Which agricultural commodities should be labelled as ‘necessity commodities’ which fall under lower tack brackets?

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Soonho.Kim
Which agricultural commodities should be labelled as ‘necessity commodities’ which fall under lower tack brackets?

There is significant debate across the political spectrum at what standard rate the GST should be set and which items to include and exclude. The opposition parties are advocating for a rate below the generally proposed 18 percent while some States are proposing to set it at 20 percent to ensure adequate revenue collection. A report for the Government on how to ensure neutral revenue rates after GST implementation recommends a standard GST rate of 17- 19 percent for most goods and services, a 12 percent rate for some goods (including most agricultural goods) and a 40 percent rate for luxury goods.

Which agricultural commodities should be labelled as ‘necessity commodities’ which fall under lower tack brackets so that the tax will not impact food and nutritional security?

purushotham
food basket

The central government has already clarified that all food grains and food commodities that go into the common man’s food basket will be exempted from tax and a few items will be taxed at five percent. With this the government hopes to check the incidence of food inflation and ensure food security.

S Allen
food commodities

Which items will be taxed at 5%?  If nutritious foods will be taxed and not grains, this could affect nutrition outcomes.  

Jaspreet
Processed Foods

Some of the processed food should also be incorporated in the tax exemption category such as juices, packed vegetables and fruits etc. Why does the poor population of India have to be weaned of these food products if they are taxed? Since it might impact the consumption mostly within this strata of the population. The processed foods have a huge importance from the food safety and freshness point of view. Maybe someone can comment on this. 

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