Debate on Social Media Now Rests Over Salted Vs Caramel Popcorn Taxes; All Popcorn Now at Just 5% GST!
The conclusion of the 56th GST Council Meeting, held on September 3 and 4, 2025, chaired by the Finance Minister Nirmala Sitaraman, has led to the rest of the long-running social media debate over the different tax treatment of salted popcorn and caramel popcorn. This new change will either disappoint or satisfy consumers, depending on their tastes.
Till now, popcorn used to be taxed under multiple slab rates depending upon their tastes, like Loose salted popcorns used to be taxed at 5%, while packaged ones at 12%, and caramel popcorn at 18%. Multiple slabs were used to create confusion among consumers.
Now, according to the GST reforms of 2025, GST has been reduced from 18% to 5% on all sugar confectionery items. Therefore, as caramel popcorn is a sugar confectionery item, it will be taxed at 5%, according to the list of revised GST rates on goods. 5% GST will be applied to salted or spiced popcorn; it does not matter if they are sold loose or in a package.
Meaning, the GST council has now simplified this multiple-slab structure by agreeing on a uniform tax imposition of 5% on all types of popcorn, i.e., salted or spiced, sold loose or packaged.
In addition to this, the council has also reduced GST tax rates on cream buns. Previously, cream buns were taxed similarly to pastries at 18% GST, while buns and cream were individually taxed at 5% GST. Now the GST Council has decided to reduce this rate to just the 5% slab.
Earlier, several individuals criticised the GST slab structure on different types of popcorn. Many users posted memes on social media. One user banters, saying, “Can someone please just tell me if caramel popcorn will be taxed at 5%, 18%, 20% or 40%? The market will manage the rest.”
#Caramel #popcorn ab 5% ya 18% ya 20% ya 40% GST pe milega utna bata do koi please 🙏🏼. Baaki market ko jo karna hai vo karega aaraam se @nishkumar1977 @Sahilpahwa09 @Ashutosh3101 @DipenVora0112 . pic.twitter.com/7H9ikcuiUv
— Javed Hussain (@Javed_M_Hussain) September 3, 2025
Another user said, “What I really want to know after the GST tax reforms is are caramel popcorn, cheese popcorn and salted popcorn are all taxed at the same rate?”
What I really want to know after the GST tax reforms — are caramel popcorn, cheese popcorn and salted popcorn all taxed at the same rate?
😊
Gnite!
— Ira Dugal (@dugalira) September 3, 2025
Among the different proposals allowed by the GST Council Meeting as served by the Union Government, One of the most crucial announcements was the simplification of GST slabs. The council has decided to shift the existing four-rate structure of 5%, 12%, 18% and 28% to just a primary two-slab structure of 5% and 18%.
