The Appellate Authority for Advance Ruling (AAAR), Gujarat, while upholding the ruling of the Gujarat AAR, has held that the parathas would attract 18% GST unlike Plain Chapatis. The appellant, M/s Vadilal Industries, has submitted that they are producing eight varieties of Paratha which are Malabar Paratha, Mixed Vegetable Paratha, Onion Paratha, Methi Paratha, Alu Paratha, Laccha Paratha, Mooli Paratha and Plain Paratha; that the principal ingredient of all varieties of Paratha is wheat flour; the Parathas supplied and sold by them in packed condition are to be placed directly on pre-heated flat pan. The appellant further submitted that roti, chapatti which is unleavened bread of Indian origin like paratha, wheat flour is predominant material and therefore submitted that Paratha, having close resemblance of roti and chapatis would be chargeable to GST @5%.
Source Taxscan
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