Indian Beverage Association Urges GST Council to Reclassify Aerated Drinks as 'Food/Merit' Goods

The Indian Beverage Association has urged the GST Council to reclassify aerated drinks as "food merit goods." The association argues that the current high tax rate on aerated drinks is unfair and that a lower tax rate would benefit both consumers and the industry. The reclassification would bring the tax rate on these drinks down to 18%, which is on par with other food products. This move would not only make the products more affordable but also boost demand. The plea is timely, as the GST Council is expected to meet soon to discuss tax rates on various products.