GST Council meeting: Popcorn packed and labeled with added sugar to attract 18% rate, decision on insurance products postponed.

Union Finance and Corporate Affairs Minister Nirmala Sitharaman chaired the 55th meeting of the GST Council in Jaisalmer, Rajasthan, on Saturday. State Finance Minister Pankaj Chaudhary and Chief Ministers of Goa, Haryana, Jammu and Kashmir, Meghalaya and Odisha, Deputy Chief Ministers of Arunachal Pradesh, Bihar, Madhya Pradesh, Rajasthan and Telangana, and Finance Ministers of States and UTs were present on the occasion, among to other officials. Senior officials of the Finance Ministry were also present at the GST Council meeting on 21 December.

Here are some key takeaways from the 55th meeting of the GST Council:

• A decision on insurance products has been postponed for further research

• Ready-to-eat popcorn prices have fluctuated

• Fortified rice husks will now attract 5 percent GST instead of 18 percent

• Autoclaved aerated concrete (ACC) with more than 50 percent fly ash to attract 12 percent GST

• Businesses selling old and used electric vehicles to attract 18 percent GST (margins) instead of 12 percent (does not apply to sales and purchases of such vehicles by individuals)
• Transactions involving vouchers are to be treated as non-supply of goods or services, hence not taxable

The Council discussed the inclusion of aviation turbine fuel (ATF)—or jet fuel—as expected. No decision was to be taken at the 55th meeting.

West Bengal Finance Minister, Chandrima Bhattacharya, said that his state and several other states are against the inclusion of ATF in GST.

Andhra Pradesh Finance Minister Payyavula Keshav said that a Group of Ministers will be formed to put one percent on luxury goods, and collections will be sent to the state.

In its last meeting, in September, the GST Council decided on tariffs that affect the value of goods and services including certain drugs, snacks, auto parts and helicopter passenger transport.