The GST rates on pre-packaged and labelled food products are as follows:
0% GST – All fresh fruits and vegetables, unprocessed cereals, meat, fish, and poultry.
5% GST – Packaged food items like tea, coffee, edible oil, sugar, and spices.
12% GST – Packaged food items like cheese, butter, ghee, dry fruits, and namkeens.
18% GST – Packaged food items like chocolates, aerated water, fruit juices, and packaged snacks.
Lets Get Your All Query Solved With Below FAQ on GST on Pre-Packed and Labelled Foods:
What change has been made with respect to packaged and labelled commodity with effect from the 18th July, 2022?
Prior to 18th of July, 2022, GST applied on specified goods when they were put up in a unit container and were bearing a registered brand name or were bearing brand name in respect of which an actionable claim or enforceable right in a court of law is available. With effect from the 18th July 2022, this provision undergoes a change and GST has been made applicable on supply of such "pre-packaged and labelled" commodities attracting the provisions of Legal Metrology Act, as detailed in subsequent questions. For example, items like pulses, cereals like rice, wheat, and flour (aata), etc., earlier attracted GST at the rate of 5% when branded and packed in unit container (as mentioned above). With effect from 18.7.2022, these items would attract GST when “prepackaged and labelled”. Additionally, certain other items such as Curd, Lassi, puffed rice etc. when “prepackaged and labelled” would attract GST at the rate of 5% with effect from the 18th July, 2022.
Essentially, this is a change in modalities of imposition of GST on branded specified goods to “pre-packaged and labelled” specified goods.
[Please refer to notification No. 6/2022-Central Tax (Rate) and corresponding notification under respective SGST Act, IGST Act]
What is the scope of ‘pre- packaged and labelled’ for the purpose of GST levy on food items like pulses, cereals, and flours?
What is the scope of this coverage taking into account various exclusion(s) provided under the Legal Metrology Act and the rules made thereunder?
Whether GST would apply to a package that contains multiple retail packages. For example, a package containing 10 retail packs of flour of 10 Kg each?
At what stage would GST apply on such supplies, i.e., whether GST would apply on specified goods sold by manufacturer/producer to wholesale dealer who subsequently sells it to a retailer?
Whether tax is payable if such goods are purchased in packages of up to 25 kg/25liters by a retailer, but the retailer sells it in loose quantities in his shop for any reason?
Whether tax is payable if such packaged commodities are supplied for consumption by industrial consumers or institutional consumers?
‘X’ is a rice miller who sells packages containing 20 kg rice but not making the required declaration under legal metrology Act and the Rules made thereunder (although the said Act and the rules requires him/her to make a declaration), would it still be considered as pre-packaged and labelled and therefore be liable to GST?
Any Other Issue
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