GST comments: Annapurna Hotel chairman apologises to FM Nirmala Sitharaman

Nirmala Sitharaman, Chairman of Sri Annapoorna Hotel | Photo: Screengrab X
Nirmala Sitharaman, Chairman of Sri Annapoorna Hotel | Photo: Screengrab X

Coimbatore: At a recent meeting attended by Finance Minister Nirmala Sitharaman, entrepreneurs from various sectors had the chance to voice their concerns about the Goods and Services Tax (GST) system. Coimbatore South MLA Vanathi Srinivasan was also present at the event, which provided a platform for business owners to address their challenges directly to the Finance Minister.  

 Annapoorna Chairman's GST Concerns  

During the meeting, the chairman of Sri Annapoorna Hotel, a well-known chain in Tamil Nadu, highlighted the confusion caused by the varying GST rates on food items within the same bill. He pointed out that sweets are taxed at 5 percent, savouries at 12 percent, and cream-filled buns at 18 percent, while plain buns are exempt from GST.  

Using humor to emphasize his point, the chairman said, "There’s 5 percent GST on sweets, 12 percent on savouries, and 18 percent on cream-filled buns, but no GST on plain buns! Customers often joke, ‘Just give me the bun, I’ll add the cream and jam myself.’"  

He went on to request a uniform GST rate for all food items, explaining that in Tamil Nadu, sweets and savouries are frequently eaten together. The complexity of different tax rates, he said, is causing headaches for both shop owners and their customers, as computer systems struggle to process multiple GST rates on a single bill.  

Nirmala Sitharaman responded to the concerns with a friendly and understanding attitude. She acknowledged the issues raised by the entrepreneurs but stopped short of making any promises on immediate changes to the tax structure.  

Apology Controversy  

Following the meeting, a video of the Annapoorna chairman apologising to the Finance Minister sparked controversy. In the video, he can be seen bending down and saying, "I am not part of any political party, please forgive me," which led to widespread discussions on freedom of speech and the pressure on business owners to stay neutral in political matters.  

Annapoorna is a respected name in Tamil Nadu’s food industry, and the chairman’s public apology triggered diverse reactions, with some supporting his humility and others criticising the need for such an apology.