Ex-CEA K Subramanian reacts to 18% GST on caramelised popcorn
Former Chief Economic Advisor Krishnamurthy Subramanian has also joined the league of those, who criticised 18 per cent GST on caramelised popcorn. In a tweet, Subramanian, who served as CEA from 2018 to 2021, said: "Complexity is a bureaucrat's delight and citizens' nightmare."
The former CEA's reaction was in response to a tweet by former Infosys CFO Mohandas Pai.
On Saturday, the GST Council recommended 5% GST on salted popcorn, 12% on pre-packaged and labelled popcorn, and 18% on caramel popcorn. The move sparked widespread reactions, with many blasting Finance Minister Nirmala Sitharaman.
Pai said this was "silly and complex" and it "will lead to tax terrorism". Tagging Prime Minister Narendra Modi and Sitharaman, Pai said the citizens are becoming victims of "bad policy" which will make them "hostages to rent-seeking officials and create disputes". "GST needs to be simplified, not this."
Former CFO Arvind Subramanian also criticised the move, and called it a "national tragedy". "This is a national tragedy, violating the spirit of the Good & Simple Tax the GST was meant to be," he said in a tweet. "The folly is compounded because instead of at least moving in the direction of simplicity we are veering to greater complexity, difficulty of enforcement, and just irrationality. Sad."
