Firms can't be selective in passing on rate cut benefits under GST regime

Even as the price of a large cappuccino dropped at a popular multinational food chain after the recent reduction in the goods and services tax (GST) rate, the small or the regular cup continued to cost the same. This was not a solitary case — several companies passed on the GST cut to the consumers of large size food and beverage products while retaining the older price tag for smaller items. In other cases, prices of popular items were reduced, while those of slow moving items or premium products were left unchanged, depending on the economies of scale.  The pricing aberratio.....

Key stories on are available to premium subscribers only.

Already a premium subscriber?

Subscribe to get an across device (Website, Mobile Web, Iphone, Ipad, and Android Phone applications) access to Premium content, Breaking News alerts, Industry Newsletters, Stock and Corporate news alerts, access to Archives and a lot more.