The Haryana appellate authority for advance ruling (AAAR) has ruled in favour of levying a higher GST on pizza toppings, stating that a pizza topping isn’t pizza, its preparation method is different, and thus should be categorised differently. Pizza toppings will now reportedly attract an 18 percent goods and services (GST) tax.
The Haryana body pointed out that the ingredients that are used to prepare a topping are sold as cheese toppings although they are not and hence should be taxed more.
Naturally, Twitter was not impressed. Users complained about how complicated calculating taxes has become apart from being unhappy about the higher tax which may lead to a spike in pizza prices.
“I guess it's not just Cryptoverse in India that is confused about Taxes. Pizza toppings to be taxed more GST as it's not pizza,” wrote cryptocurrency exchange WazirX founder Siddharth Menon tweeted.
I guess it's not just Cryptoverse in India that is confused about Taxes.
Pizza eaten within a restaurant - 5% GST
Pizza base - 12% GST
Pizza Home Delivered - 18% GST
Pizza toppings - 18% GST
My 7 year old nephew removes all pizza toppings when having a pizza.
Pizza Toppings to Pizza base after AAAR ruling : pic.twitter.com/WztJyz5tqX
Pizza Toppings are not Pizza hence taxable at higher rate of GST
India's Pizza Puzzle
People in the US: pineapple on pizza is yum.
People in Italy: aiii no, no pineapple on pizza.
People in India: no toppings on pizza. pic.twitter.com/N8SWnm1l30