The Economic Times has reported that the unsold inventory of imported food like chocolates and confectionary can now claim refunds on the excess tax levied on them. Earlier, this inventory came under 28 percent Integrated Goods & Services Tax (GST) which has now reduced to 18 percent.
Relief For Food Importers
“We have told importers that if they have imported goods at 28% and are selling them at 18%, they can claim a refund,” a senior official at the Central Board of Excise and Customs (CBEC) told the Economic Times. “They will, however, have to submit proof. We understand they have issues related to stickers.” The change has come as the customs duty (Integrated GST) imposed on all imports has been reduced last month for 178 products including food.
“We are continuing to sell at 28% as of now, and awaiting fresh stocks with revised MRPs,” a leading importer of chocolates told the publication. “Unlike local manufacturers, our import cycles are dependent on international producers.” Hopefully the importers will benefit from the reduction of GST and the refunds that come with it.