GST council defers tax cut on insurance premiums as Nirmala Sitharaman awaits IRDAI feedback

The Goods and Services Tax (GST) council deferred the decision to cut tax on insurance premiums as many inputs including IRDAI comments on the matter are still awaited, said Finance Minister Nirmala Sitharaman on Saturday.

The council also agreed to issue a clarification on the taxation of popcorn, saying that pre-packed and labelled ready-to-eat snacks will attract a 12 per cent tax while an 18 per cent GST will be levied if it is caramelised.

There is no change in the tax rate of popcorn and the GST Council has only agreed that the Central Board of Indirect Taxes and Customs (CBIC) will issue a circular clarifying the current taxation regime of popcorn.

The Council did not agree on bringing Aviation Turbine Fuel (ATF) into the Goods and Services Tax fold, Sitharaman said.