Cold Drinks to Get Costlier as GST Rates Increased to 40% from September 22

New Delhi, September 4 (Kiran News). The GST Council has approved major changes in the Goods and Services Tax (GST) structure, leading to a price hike in cold drinks and other non-alcoholic beverages. Popular brands like Coca-Cola and Pepsi will become more expensive as the GST rate on carbonated drinks has been raised from 28% to 40%. The revised rates will come into effect from September 22, the first day of Navratri.

Cold Drinks

Union Finance Minister Nirmala Sitharaman announced the decision after the 56th meeting of the GST Council. She informed that under the new structure, fruit-based carbonated drinks and fruit juice-infused carbonated beverages will also see their GST rates increased from 28% to 40%.

In addition, the GST rate on other non-alcoholic beverages has been revised from 18% to 40%. The Council has also raised the tax rate on all products containing added sugar, sweeteners, or flavours from 28% to 40%.

However, there is relief for some fruit-based beverages. Drinks made from fruit pulp or fruit juice—excluding carbonated variants—will see GST reduced from 12% to 5%.

The Council said these changes are part of broader reforms in the GST structure and will be applicable nationwide from September 22.

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