On Saturday, June 22, Goods and Services Tax (GST) Council meeting took place where several key decisions were taken by the council. Several key decisions were taken at the Council meeting to provide relief to taxpayers and ease the compliance burden on businesspersons. Among the decisions taken was the decision to reduce GST on milk cans from 18% to 12% and make it uniform.
Irrespective of the fact whether milk can is made out of steel, iron or aluminium, it will now attract a uniform GST rate of 12% instead of 18% earlier.
GST Council has recommended to prescribe a uniform rate of 12% on all Milk Cans meaning steel, iron, aluminum which are irrespective of the use. They are called milk cans but wherever they are used that will be the rate applicable so that no disputes arise out of it.
— Nirmala Sitharaman Office (@nsitharamanoffc) June 22, 2024
The Council… pic.twitter.com/FfUvl1Gi3d
Shortly after the decision was announced, a social media narrative started to subtly push the agenda that a new 12% tax has been introduced on milk cans by Modi government.
मोदी सरकार का पहला तोहफा कबूल करो
— Dr Monika Singh (@Dr_MonikaSingh_) June 22, 2024
GST मीटिंग में फैसला-
दूध के डिब्बों पर 12% टैक्स
This reduction of GST on milk cans is being projected as if it is a new tax introduced by Modi 3.0, while hiding the fact that there is an actual reduction on GST in this case. Several other Modi government detractors also shared this news of 12% GST on milk cans without adding the context that it has been reduced from 18%, and that now it has been made uniform for all types of cans.
பாலுக்கு பால் உற்றிய நிர்மலாமேடம்!!
— R.Rajiv Gandhi ✨ (@rajiv_dmk) June 22, 2024
12% GST வரி கொள்ளை!
பாலுக்கு பால் உற்றிய நிர்மலாமேடம்!!
— R.Rajiv Gandhi ✨ (@rajiv_dmk) June 22, 2024
12% GST வரி கொள்ளை!
Some alert X users did point it out that there has actually been a reduction in GST rates on the milk cans.
Another fake narrative that BJP govt needs to stop immediately
— Abhishek (@AbhishBanerj) June 23, 2024
GST rate on milk cans, cartons etc is *REDUCED* from 18% to 12%
But many newspapers and channels have reported it as if a new tax of 12% has been imposed
🫤 pic.twitter.com/OpRCwne7hs
Notably, this GST of 12% is also just on milk cans, not on the milk that we all buy. However, the way fake news and propaganda travels, don’t be surprised if you see videos on the channels of YouTubers that Modi government is now taxing milk at 12%, and subsequently make its way to Rahul Gandhi press conferences.
Interestingly, GST rates are decided by the GST Council which involves Finance Ministers of all states, including the states ruled by the opposition, so blaming Modi government alone for tax rates doesn’t make sense in the slightest. However, in this case, it makes even less sense (if that is possible), as GST Council actually reduced tax rates on the milk cans.
