What is the GST on sweets and festive food in 2026? For almost everything, it is 5%. That covers mithai from every state, such as kaju katli, Mysore pak and ghewar, plus namkeen, dry fruits, chocolates and ice cream. Sweetened fizzy drinks are the big exception, at 40%.
A few festive staples carry no GST at all. And how you bill a sale can change how much tax you end up paying.
This post lists the GST rate on 33 festive food items, what is not taxed, what changed in 2025, and how a sweet shop can pay less GST.
Key Takeaways
- GST on sweets and almost every festive snack is 5% in 2026, so a sweet or snack still billed at 12% or 18% at the counter is an old setting.
- Roti, paratha, khakhra and pre-packaged paneer now carry no GST. Check they are not still taxed on your bills.
- One fizzy drink can make a whole Diwali hamper 40%.
What Is the GST on Sweets and Festive Food in 2026?
The GST on sweets and most festive food is 5% in 2026. Across states it is charged as 5% Integrated GST (IGST). Within a state it is split equally between Central GST (CGST) and State GST (SGST). This section lists 33 festive items by type, with where the regional ones are popular.
GST on sweets and mithai
Every Indian sweet below is taxed as a “sweetmeat”, whichever state it comes from.
| Festive sweet | Popular in | GST rate in 2026 |
|---|---|---|
| Kaju katli | Across India | 5% |
| Soan papdi | Across India | 5% |
| Rasgulla | West Bengal and Odisha | 5% |
| Sandesh | West Bengal | 5% |
| Mysore pak | Karnataka | 5% |
| Ghewar | Rajasthan | 5% |
| Gujiya | Uttar Pradesh and Bihar | 5% |
| Modak | Maharashtra | 5% |
| Mohanthal | Gujarat | 5% |
| Pinni | Punjab | 5% |
| Adhirasam | Tamil Nadu | 5% |
A sweet that is not on this list is still 5%, as long as it is a sweetmeat.
GST on chikki, gajak and other sugar sweets
These are named one by one in the GST rate list, so there is no doubt about their rate.
| Sugar sweet | Popular in | GST rate in 2026 |
|---|---|---|
| Chikki | Maharashtra and Gujarat | 5% |
| Gajak | Rajasthan and Madhya Pradesh | 5% |
| Til revdi | Uttar Pradesh | 5% |
| Khaja | Odisha and Bihar | 5% |
| Anarsa | Maharashtra and Bihar | 5% |
| Batasha and mishri | Across India | 5% |
Toffees and other sugar-boiled sweets are also 5% now.
GST on namkeen and festive snacks
These are the savoury side of the festive plate.
| Namkeen or snack | Popular in | GST rate in 2026 |
|---|---|---|
| Bhujia | Rajasthan | 5% |
| Chakli and murukku | Maharashtra and Tamil Nadu | 5% |
| Mathri | Uttar Pradesh and Punjab | 5% |
| Chivda and mixture | Maharashtra and Gujarat | 5% |
Namkeen is taxed the same whether it is sold loose or packed.
GST on dry fruits, chocolates and bakery
These are the items most often packed into Diwali gift boxes.
| Gift box item | GST rate in 2026 |
|---|---|
| Almonds, cashews and pistachios | 5% |
| Dates, dried | 5% |
| Makhana, pre-packaged and labelled | 5% |
| Chocolates | 5% |
| Cakes, pastries and biscuits | 5% |
| Ice cream | 5% |
None of these is taxed above 5%, so a gift box made only of them stays at 5%.
GST on dairy, drinks and kitchen staples
This is where sweetened fizzy drinks, the one big exception, sit.
| Dairy, drink or staple | GST rate in 2026 |
|---|---|
| Ghee | 5% |
| Curd, lassi and buttermilk, pre-packaged and labelled | 5% |
| Jaggery (gur), pre-packaged and labelled | 5% |
| Sabudana | 5% |
| Fruit juice drinks, not carbonated | 5% |
| Sweetened aerated drinks | 40% |
Every item in these five tables sits in the 5% schedule of Notification 9/2025-Integrated Tax (Rate), the rate list in force from 22 September 2025. The one exception, sweetened aerated drinks, sits in its 40% schedule.
The notification describes goods by type, such as “sweetmeats” or “namkeens, bhujia, mixture”. Where an item could fit two entries, confirm it with your chartered accountant (CA).
In your billing system, each item also needs its Harmonised System of Nomenclature (HSN) code. An HSN code is the number GST uses to classify each product, and our HSN code directory helps you look them up.
Which Festive Foods Have Zero GST in 2026?
Some festive staples have carried zero GST since 22 September 2025. They include Ultra-High Temperature (UHT) milk, pre-packaged paneer, and Indian breads such as roti, paratha and khakhra. This section lists them, and the items people often think are free but are not.
The GST Council’s official record of its 56th meeting moved these to nil:
- UHT milk, the long-life milk in cartons
- Chena or paneer, pre-packaged and labelled
- Khakhra, chapati and roti
- Paratha, parotta and other Indian breads, which were at 18% before
Not free, though often assumed to be: ghee is 5%. Curd, lassi, buttermilk, jaggery and makhana are 5% when they are pre-packaged and labelled, because that is how the 5% entries in the rate list name them.
What Changed in GST on Sweets in September 2025?
GST on sweets did not change in September 2025, because Indian sweets were already at 5%. What changed was the rest of the festive shelf. This section covers which items moved, and what that means for your bills.
The GST Council’s record of its 56th meeting shows two groups coming down to 5%. Packed namkeen, ghee, roasted cashews and dried nuts such as almonds came down from 12%. Chocolates, cakes, biscuits and ice cream came down from 18%. Some staples moved to nil at the same time, as the graphic below shows. Indian sweets and loose namkeen are not in the list of changes, because they were already at 5%.
For your bills, this means old item settings may still carry 12% or 18%, and bread items may still carry GST. Petpooja keeps a tax rate and an HSN code on each item, so you can check them in one list. Its sales and tax reports include an HSN report that splits your tax by code at filing time.
Our guide to the new GST rates on food covers the same changes across every food category.
How Can a Sweet Shop Pay Less GST on Sweets?
A sweet shop can pay less GST on sweets, within the rules, in four ways. This section takes them one at a time.
1. Bill counter sales and table sales separately
GST on sweets is usually 5% at the counter and at the table, but they are different kinds of sale. A sweet sold over the counter is goods, so the shop can claim input tax credit, the GST it paid on its own purchases such as packing boxes.
The same sweet served at a table is restaurant service. The CBIC composite supply guide names restaurant service as a classic composite supply, meaning food and service taxed as one. For most restaurants the rate is 5%, with no input tax credit. Restaurants inside some hotels, called specified premises, follow a different rule. Our guide to GST on restaurants explains both rates.
A 2019 ruling shows why the split matters. It came from the Appellate Authority for Advance Ruling in Uttarakhand, about a shop that did both. The shop had to keep separate records and separate bills for each side. Counter sales were treated as goods, with input tax credit. Restaurant sales were taxed at 5% as restaurant service, without it. Business Standard reported the ruling in March 2019.
A ruling like this binds only the business that asked for it. Still, it shows why separate billing matters.
Take a sweet shop in Jaipur that billed ₹18,40,000 at its counter and ₹6,25,000 at its tables in September 2026 (an example). About three quarters of its sales are counter sales, and only the purchases used for them can carry input tax credit. Billing both kinds of sale together, without separate records, puts that credit at risk.
What I would set up first. I would set up the sweet counter and the restaurant as two separate areas in the POS, each with its own tax setting. Then each bill picks up the tax setting of the area it is raised in.
2. Show festive discounts on the invoice
A discount shown on the bill at the time of sale lowers the amount GST is charged on. CBIC’s guide to valuation under GST says such discounts are left out of the taxable value.
Take a sweet box priced at ₹1,000 before GST. With 10% off shown on the bill, it is taxed on ₹900. The GST is ₹45 instead of ₹50 (an example).
3. Keep fizzy drinks out of gift hampers
A hamper sold at one price, with items that could each be sold alone, is a “mixed supply”. CBIC’s guide to composite and mixed supply gives almost exactly this example: sweets, chocolates, cakes, dry fruits, aerated drinks and fruit juices sold for a single price. A mixed supply takes the rate of its highest-taxed item.
Add one can of a sweetened fizzy drink, and the whole hamper can be taxed at 40%.
| What is in the Diwali hamper | GST on the whole hamper |
|---|---|
| Sweets only | 5% |
| Sweets, namkeen, dry fruits and chocolates | 5% |
| Sweets and dry fruits, plus a fizzy drink | 40% |
Leave fizzy drinks out, or sell them separately at their own price. Listing the drink as its own line does not help if the hamper still has one price.
4. Use the composition scheme if your shop is small
A small sweet shop can pay GST at a flat rate on its turnover under the composition scheme. The rate depends on what the shop does:
- A shop that makes its own sweets counts as a manufacturer, at 1% of turnover, as CBIC’s GST update for taxpayers lists it.
- A shop that runs a restaurant falls under the restaurant rate of 5%, from the same CBIC list. If it also sells sweets over the counter, ask your CA how the two kinds of turnover are taxed.
- A shop that makes ice cream cannot use the scheme. Ice cream makers are excluded under Notification 14/2019-Central Tax.
A shop in the scheme cannot charge GST on its bills or claim input tax credit. Our GST composition scheme calculator shows whether it saves you money.
Conclusion
GST on sweets and almost every festive food is 5% in 2026, from kaju katli and Mysore pak to namkeen, dry fruits and chocolates. Sweetened fizzy drinks are the exception at 40%, and Indian breads and pre-packaged paneer now carry no GST.
Before the festive rush, check every item’s rate on your bills, and keep counter and table sales apart.
Your restaurant POS then bills each sweet with the GST rate you set.
Frequently Asked Questions
Yes, at the same 5%. If the stall is in another state, you may need a temporary GST registration there first, so check with your CA before you book it.
A delivery charge billed with the sweets usually takes the rate of the sweets, because delivery is part of the same supply. If you bill it as a separate service, check its own rate with your accountant.
Usually not. One registration in a state can cover both, and billing is what keeps them apart. Ask your CA if you want a separate registration for each. Our guide to GST billing for restaurants covers what each invoice must carry.
