Context :

• The 55th meeting of the GST Council was held in Jaisalmer, Rajasthan. It was chaired by Union Finance Minister Nirmala Sitharaman.

Major Highlights :

• Tax rate on health and life insurance premiums: The Council deferred a decision to lower the tax rate on these premiums, pending further input from the Insurance Regulatory and Development Authority of India (IRDAI).
• GST on food delivery charges: A decision on whether to impose GST on food delivery charges of e-commerce aggregators like Swiggy and Zomato was also deferred.
• GST on Aviation Turbine Fuel (ATF): The Council did not reach a consensus on bringing ATF under the GST regime, as many states were opposed to losing their right to tax it.
• Tax rate on popcorn: The Council clarified that the tax rate on popcorn varies depending on its type and preparation:

1. 1. Plain popcorn: exempt from GST
   2. Popcorn with salt and spices: taxed at 5% GST
   3. Pre-packaged and labeled popcorn: taxed at 12% GST
   4. Caramelized popcorn: taxed at 18% GST

Goods and Services Tax (GST):

• Implemented: July 1, 2017
• Composition of GST Council: Article 279A
• GST Day: July 1
• Based on 'One Nation One Tax' concept
• Introduced: Through 101st CAA Act, 2016
• Types: Central GST (CGST), State GST (SGST) and Integrated GST (IGST)

GST Council:

• Constituted by the President (Article 279A)
• Chairman: Union Finance Minister
• Voting power: Centre: 1/3, States: 2/3
• Decisions: 3/4 majority