The new GST tax slabs were implemented on Novemebr 15 and pre and post bills of McDonalds for same product has taken Internet by storm. (Source: @sameer_sd/ Twitter)
Ever since Goods and Service Tax, or GST, was implemented, it sent every into a frenzy. From jokes and memes to political debates, people are still trying to get their heads straight around this historic tax reform. Amid all this, as exuberant people were to post their first GST bill after the reform was implemented in July, now another photo of a set of bills is going viral. The photo in question shows two receipts from a same McDonald’s outlet, but a different base price for the same product, while the total amount remains the same, despite a cute in GST rates.
Yes, in spite of the tax being been reduced to 5 per cent from earlier 18 per cent, the total amount paid by the customer remained the same, and that’s because the company increased the price of their latte from Rs 120.34 to Rs 135.24. So, even though government lowered the taxes, there was no way citizens would benefit. This has angered many on social media, leading to a huge backlash against the burger chain.
@BalakrishnanR absolutely no change in total restaurant bill for the consumer post change in gst rates. Mcdonalds bills pre n post gst chnge pic.twitter.com/OdKin9vAGJ
— sameer deshmukh (@sameer_sd) November 15, 2017
@McDonalds.. Can you explain GST revision? Neither Bill is mine bt seems authentic. pic.twitter.com/Mze7K8H7tM
— Aj (@AjayChopra0007) November 15, 2017
The juxtaposed photos of the two bills went viral quickly across social media platforms but it is unclear where it originated. However, Netizens are furious and have started tagging concerned ministries and departments to take immediate actions.
Effect of GST :
Before 18%
Reduced to 5%
But Bill amount is same 👏@PMOIndia @arunjaitley @McDonalds #GST #GSTN #GSTeffect#PMO pic.twitter.com/eipwcCHKkt— Bhargav Mendapara (@11_bhargav) November 15, 2017
This is how GST benifit is not reaching to public, Look at these 2 bills from McDonalds one is before 15th nov 2017 when GST was 18% and second is when GST is 5% total in both is 142 for same item. Keep your eyes open before paying. @narendramodi @PMOIndia pic.twitter.com/8ZIaAiFrD8
— Sandeep Singh K (@Sandeepsingh_k) November 16, 2017
Hey @McDonalds Why was the base price raised after #GST reduced from 9% to 5%. It’s your responsibility to reduce base price and pass some advantage to end customers. Why are you looting public!!? @GST_Council @arunjaitley pic.twitter.com/jKEZJmb1Ys
— Rakesh H N (@hnrakesh06) November 16, 2017
Here is a great example how businessman in India playing with customers and not passing the #GST benefits to customers. Even big chains like @McDonalds in India are involved in such activities.
#GSTCouncilMeet @askGST_GoI @arunjaitley sir Plz ponder your attention🙏 pic.twitter.com/htk7m6aqZF— Sumeet (@Sumeet_1272) November 16, 2017
So govt reduces GST on restaurants to 5% & this is what @McDonalds does. No benefit reaches the consumer #Shame pic.twitter.com/bmubn0q7xc
— Eternal Optimist 🎉 (@Optimist_Chic) November 15, 2017
In case you are wondering if the bills are fake, they are not. Receiving a backlash on Twitter, McDonald’s India responded to quite a few users explaining the cause for the hike in the price. “The Government has brought down GST from 18% to 5%, but there has been a removal of Input Tax Credit. Due to this, our operating costs have gone up. However, keeping customer convenience in mind we have structured the changes in such a manner that total amount paid by the customer remains the same,” the fast-food giant responded.
The Government has brought down GST from 18% to 5%, but there has been a removal of Input Tax Credit. [1/3]
— McDonald’s India (@mcdonaldsindia) November 15, 2017
Due to this, our operating costs have gone up. However, keeping customer convenience in mind [2/3]
— McDonald’s India (@mcdonaldsindia) November 15, 2017
we have structured the changes in such a manner that total amount paid by the customer remains the same. [3/3]
— McDonald’s India (@mcdonaldsindia) November 15, 2017
But that did not stop people from slamming them online and many are now urging people to boycott the brand and hashtag #BoycottMcDonalds has already created a huge buzz.
Shame on @mcdonaldsindia & @Subway on increasing price of products after #GST revision.
How come your input cost increased in just a single day. If you don’t treat your customers well, they may boycott you.
Just like I am doing the same!#boycottmcdonalds #BoycottSubway— Manik Luthra (@BigManik) November 16, 2017
#BoycottMcDonalds@McDonalds @mcdonaldsindia
After seeing your billing pattern. Really shame on you.
I urge my friends and people to boycott McDonald foods.@vettitwiter @jayamohan89 @omprakash678 @iswatikaa @AdarshDodo
— முருகன் (@muruganjai) November 16, 2017
Classic case of passing it on to the consumer. Why, @mcdonaldsindia ? Even after reducing #GST to 5%, the common man pays the same. #BoycottMcdonalds #notlovinit pic.twitter.com/pGeoJNPhCV
— Shrutika Kalbag Kini (@shrutikakalbag) November 15, 2017
@mcdonaldsindia do you want to face a #BoycottMcDonalds campaign against your organised loot ? Stop cheating with taxes. You’ll be sorry. @McDonalds @McDonaldsCorp
— Anirudh (@eaniman) November 16, 2017
#McDonalds have some shame. U guyz proved that u r so not Indian. Now wait n watch what being an Indian is. #boycottmcdonalds pic.twitter.com/4ibFJAHQV7
— Jekin (@jekin_gst) November 15, 2017
The Indian genius. Food bill b4 gst 99+6 service tax+ 15 vat. Total 120. With gst @ 18%, 120+22 total 142. GST @5%. Still price 142. Salute.
— LsKarthikeyan (@ls_karthikeyan) November 16, 2017
Don’t think the removal of input tax credit can impact their cost this much. If true @mcdonaldsindia is taking the customers for a ride here. Hope @GST_Council @askGST_GoI and @FinMinIndia take note of errant restaurants
— Kunal Randeria (@randeriak) November 15, 2017
@arunjaitley @adhia03 @askGST_GoI @GST_Council
Sirs Any stringent action possible on @McDonalds for fooling people pic.twitter.com/0YSPgRul4P— Sadanand Ghodgerikar (@SGhodgerikar) November 16, 2017
If @McDonalds is doing this. Just think of any local restaurants. They have also increased base prices to make more profit now. Ultimately, the public are looted by these guys. 😓😓
— Rakesh H N (@hnrakesh06) November 16, 2017
These foreign companies are here to loot indian pockets. #BoycottMcDonalds
— Voice of South (@South_Indians) November 16, 2017
Is this is true @McDonaldsCorp?
If it is then I am boycotting you. #boycottmcdonalds pic.twitter.com/qle7ewyZoY— Kolha_Puri (@Ragaasak) November 15, 2017
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