Indian GST Reference Manual

2017
GST REFERENCE
MANUAL
WWW.CAYMSHAH.IN
GST
REFERENCE
MANUAL
2017
Guide to GST Law, Rules and Practices
www.caymshah.in
All rights reserved
Price: 300
Law stated in this book is as amended up-to 3rd June, 2017

Rate of tax in this book is as amended up to 11th June, 2017
Published by:
Y. M. SHAH & Co
Chartered Accountants
345, Tower A, K10 Atlantis, Sarabhai Main Road, Vadodara

Ph 0265-2981493
website : http://www.caymshah.in
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No part of this publication may be reproduced or transmitted in any form or by any means without the
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Every effort has been made to avoid errors or omissions in this Book. In spite of this, errors may creep in.
Any mistake, error or discrepancy noted may be brought to our notice which shall be taken care of. It is
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reader should cross- check all the facts, law and contents of the publication with original government
publication or notifications.
All disputes are subject to Vadodara jurisdiction only.

Contents
1 Overview of Goods and Services Tax (GST) 01

2 Levy of and Exemption from Tax 17
3 Registration 24
4 Meaning and Scope of Supply 43
5 Time of Supply 51
6 Valuation in GST 57
7 GST Payment of Tax 60
8 Electronic Commerce 70
9 Job Work 75
10 Input Tax Credit 80
11 Concept of Input Service Distributor in GST 90
12 Returns Process and matching of Input Tax Credit 95
13 Assessment and Audit 104
14 Refunds 112
15 Demands and Recovery 123
16 Appeals, Review and Revision in GST 131
17 Advance Ruling 137
18 Inspection, Search, Seizure and Arrest 146
19 Offences, Penalties, Prosecution and Compounding 165
20 Overview of the IGST Act 178
21 Place of Supply of Goods and Service 183
22 GSTN and Frontend Business Process on GST Portal 192
23 Transitional Provisions 209
24 Returns 220
25 Composition Rules 233
26 Determination of Value of Supply 237
27 Input Tax Credit 242
28 Payment of Tax 252
29 Refunds 256
30 Registration 263
31 Tax Invoice, Credit And Debit Notes 273
32 GST Rate Schedule For Goods on 18th May, 2017 280
GST Compensation Cess Rates for different supplies on 493
33 18th May, 2017
Addendum To The GST Rate Schedule For Goods on 18th 496
34 May, 2017
Addendum To The GST Rate Schedule For Goods on 3rd 497
35 June, 2017
36 GST Rate Schedule For Certain Goods on 3rd June, 2017 501
37 IGST Exemptions/Concessions under GST 527
38 Revised GST Rate For Certain Goods 537
39 IGST Exemption under GST 541
40 Revised Threshold Limit For Composition Levy 543
41 Proposed New Scheme Of Classification Of Services 544
Schedule Of GST Rates For Services As Approved By GST 565
42 Council
Decisions in regard to Services taken by the GST Council in 584
43 the 16th meeting held on 11th of June 2017
Services Under Reverse Charge As Approved By GST 585
44 Council
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1. Overview of Goods and Services Tax

(GST)
Q 1. What is Goods and Services Tax
(GST)?
Ans. It is a destination based tax on consumption of goods

and services. It is proposed to be levied at all stages right
from manufacture up to final consumption with credit of
taxes paid at previous stages available as setoff. In a
nutshell, only value addition will be taxed and burden of
tax is to be borne by the final consumer.
Q 2. What exactly is the concept of destination based

tax on consumption?
Ans. The tax would accrue to the taxing authority which

has jurisdiction over the place of consumption which is
also termed as place of supply.
Q 3. Which of the existing taxes are proposed to be

subsumed under GST?
Ans. The GST would replace the following taxes:
(i) taxes currently levied and collected by the Centre:

a. Central Excise duty
b. Duties of Excise (Medicinal and Toilet
Preparations)
c. Additional Duties of Excise (Goods of Special
Importance)
d. Additional Duties of Excise (Textiles and Textile
Products)
e. Additional Duties of Customs (commonly known

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as CVD)
f. Special Additional Duty of Customs (SAD)
g. Service Tax
h. Central Surcharges and Cesses so far as they
relate to supply of goods and services
(ii) State taxes that would be subsumed under the GST

are:
a. State VAT
b. Central Sales Tax
c. Luxury Tax
d. Entry Tax (all forms)
e. Entertainment and Amusement Tax (except when
levied by the local bodies)
f. Taxes on advertisements
g. Purchase Tax
h. Taxes on lotteries, betting and gambling
i. State Surcharges and Cesses sofar as they relate to
supply of goods and services
The GST Council shall make recommendations to the Union

and States on the taxes, cesses and surcharges levied by
the Centre, the States and the local bodies which may be
subsumed in the GST.
Q 4. What principles were adopted for subsuming

the above taxes under GST?
Ans. The various Central, State and Local levies were

examined to identify their possibility of being subsumed
under GST. While identifying, the following principles were
kept in mind:
(i) Taxes or levies to be subsumed should be primarily in
the nature of indirect taxes, either on the supply of goods
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or on the supply of services.
(ii) Taxes or levies to be subsumed should be part of

the transaction chain which commences with import/
manufacture/ production of goods or provision of services
at one end and the consumption of goods and services at
the other.
(iii) The subsumation should result in free flow of tax

credit in intra and inter-State levels. The taxes, levies and
fees that are not specifically related to supply of goods &
services should not be subsumed under GST.
(v) Revenue fairness for both the Union and the States
individually would need to be attempted.
Q 5. Which are the commodities proposed to be kept
outside the purview of GST?
Ans. Article 366(12A) of the Constitution as amended by

101st Constitutional Amendment Act, 2016 defines the Goods
and Services tax (GST) as a tax on supply of goods or
services or both, except supply of alcoholic liquor for human
consumption. So alcohol for human consumption is kept out
of GST by way of definition of GST on constitution. Five
petroleum products viz. petroleum crude, motor spirit
(petrol), high speed diesel, natural gas and aviation
turbine fuel have temporarily been kept out and GST
Council shall decide the date from which they shall be
included in GST. Furthermore, electricity has been kept out
of GST.
Q 6. What will be the status in respect of taxation of

above commodities after introduction of GST?
Ans. The existing taxation system (VAT & Central Excise)

will continue in respect of the above commodities.
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Q 7. What will be status of Tobacco and Tobacco

products under the GST regime?
Ans. Tobacco and tobacco products would be subject to

GST. In addition, the Centre would have the power to levy
Central Excise duty on these products.
Q 8. What type of GST is proposed to be
implemented?
Ans. It would be a dual GST with the Centre and States

simultaneously levying it on a common tax base. The GST
to be levied by the Centre on intra-State supply of goods
and / or services would be called the Central GST (CGST)
and that to be levied by the States/ Union territory would
be called the State GST (SGST)/ UTGST. Similarly,
Integrated GST (IGST) will be levied and administered by
Centre on every inter-state supply of goods and services.
Q 9. Why is Dual GST required?
Ans. India is a federal country where both the Centre and

the States have been assigned the powers to levy and collect
taxes t h r ou g h a p p r o p r i a t e l e g i sl at i on . Both t h e
l e v e l s of Government have distinct responsibilities to
perform according to the division of powers prescribed in
the Constitution for which they need to raise resources. A
dual GST will, therefore, be in keeping with the
Constitutional requirement of fiscal federalism.
Q 10. Which authority will levy and administer
GST?
Ans. Centre will levy and administer CGST & IGST while
respective states /UTs will levy and administer SGST/
UTGST.
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Q 11. Why was the Constitution of India amended

recently in the context of GST?
Currently, the fiscal powers between the Centre and the

States are clearly demarcated in the Constitution with
almost no overlap between the respective domains. The
Centre has the powers to levy tax on the manufacture of
goods (except alcoholic liquor for human consumption,
opium, narcotics etc.) while the States have the powers
to levy tax on the sale of goods. In the case of inter-State
sales, the Centre has the power to levy a tax (the Central
Sales Tax) but, the tax is collected and retained entirely
by the States. As for services, it is the Centre alone that
is empowered to levy service tax.
Introduction of the GST required amendments in the

Constitution so as to simultaneously empower the Centre
and the States to levy and collect this tax. The Constitution
of India has been amended by the Constitution (one hundred
and first amendment) Act, 2016 for this purpose. Article
246A of the Constitution empowers the Centre and the
States to levy and collect the GST.
Q 12. How a particular transaction of goods

and services would be taxed simultaneously
under Central GST (CGST) and State GST (SGST)?
Ans. The Central GST and the State GST would be levied
simultaneously on every transaction of supply of goods and
services except the exempted goods and services, goods
which are outside the purview of GST and the transactions
which are below the prescribed threshold limits. Further,
both would be levied on the same price or value unlike
State VAT which is levied on the value of the goods inclusive
of CENVAT. While the location of the supplier and the
recipient within the country is immaterial for the purpose
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of CGST, SGST would be chargeable only when the supplier

and the recipient are both located within the State.
Illustration I: Suppose hypothetically that the rate of CGST
is 10% and that of SGST is 10%. When a wholesale dealer
of steel in Uttar Pradesh supplies steel bars and rods to
a construction company which is also located within the
same State for, say Rs. 100, the dealer would charge CGST
of Rs. 10 and SGST of Rs. 10 in addition to the basic price
of the goods. He would be required to deposit the CGST
component i n t o a C e n t r a l G o v e r n m e n t a c c o u n t
w h i l e the SGST portion into the account of the concerned
State Government. Of course, he need not actually pay Rs.
20 (Rs. 10 + Rs. 10) in cash as he would be entitled to set-
off this liability against the CGST or SGST paid on his
purchases (say, inputs). But for paying CGST he would be
allowed to use only the credit of CGST paid on his
purchases while for SGST he can utilize the credit of SGST
alone. In other words, CGST credit cannot, in general, be
used for payment of SGST. Nor can SGST credit be used for
payment of CGST.
Illustration II: Suppose, again hypothetically, that the

rate of CGST is 10% and that of SGST is 10%. When an
advertising company located in Mumbai supplies
advertising services to a company manufacturing soap
also located within the State of Maharashtra for, let us
say Rs. 100, the ad company would charge CGST of
Rs. 10 as well as SGST of Rs. 10 to the basic value of
the service. He would be required to deposit the CGST
component into a Central Government account while the
SGST portion into the account of the concerned State
Government. Of course, he need not again actually pay
Rs. 20 (Rs. 10+Rs. 10) in cash as it would be entitled to
set-off this liability against the CGST or SGST paid on
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his purchase (say, of inputs such as stationery, office

equipment, services of an artist etc.). But for paying
CGST he would be allowed to use only the credit of CGST
paid on its purchase while for SGST he can utilise the
credit of SGST alone. In other words, CGST credit cannot,
in general, be used for payment of SGST. Nor can SGST
credit be used for payment of CGST.
Q 13. What are the benefits which the Country will

accrue from GST?
Ans. Introduction of GST would be a very significant step in

the field of indirect tax reforms in India. By amalgamating
a large number of Central and State taxes into a single tax
and allowing set-off of prior-stage taxes, it would mitigate
the ill effects of cascading and pave the way for a common
national market. For the consumers, the biggest gain would
be in terms of a reduction in the overall tax burden on goods,
which is currently estimated at 25%-30%. Introduction
of GST would also make our products competitive in the
domestic and international markets. Studies show that this
would instantly spur economic growth. There may also be
revenue gain for the Centre and the States due to widening
of the tax base, increase in trade volumes and improved
tax compliance. Last but not the least, this tax, because of
its transparent character, would be easier to administer.
Q 14. What is IGST?
Ans. Under the GST regime, an Integrated GST (IGST)

would be levied and collected by the Centre on inter-State
supply of goods and services. Under Article 269A of the
Constitution, the GST on supplies in the course of inter-
State trade or commerce shall be levied and collected by
the Government of India and such tax shall be apportioned
between the Union and the States in the manner as may be
provided by Parliament by law on the recommendations of
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the Goods and Services Tax Council.

Q 15. Who will decide rates for levy of GST?
Ans. The CGST and SGST would be levied at rates to be

jointly decided by the Centre and States. The rates would
be notified on the recommendations of the GST Council.
Q 15. What would be the role of GST Council?
Ans. A GST Council would be constituted comprising the

Union Finance Minister (who will be the Chairman of the
Council), the Minister of State (Revenue) and the State
Finance/Taxation Ministers to make recommendations to the
Union and the States on
(i) the taxes, cesses and surcharges levied by the
Centre, the States and the local bodies which
may be subsumed under GST;
(ii) the goods and services that may be subjected to
or exempted from the GST;
(iii) the date on which the GST shall be levied on

petroleum crude, high speed diesel, motor sprit
(commonly known as petrol), natural gas and
aviation turbine fuel;
(iv) model GST laws, principles of levy, apportionment
of IGST and the principles that govern the place
of supply;
(v) the threshold limit of turnover below which the
goods and services may be exempted from GST;
(vi) the rates including floor rates with bands of
GST;
(vii) any special rate or rates for a specified period
to raise additional resources during any natural
calamity or disaster;
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(viii) special provision with respect to the North-

East States, J&K, Himachal Pradesh and
Uttarakhand; and
(ix) any other matter relating to the GST, as the
Council may decide.
Q 16. What is the guiding principle of GST Council?
Ans. The mechanism of GST Council would ensure

harmonization on different aspects of GST between the
Centre and the States as well as among States. It has been
p r o v i d e d i n t h e C o n s t i t u t i o n ( one h u n d r e d
a n d first amendment) Act, 2016 that the GST Council, in
its discharge of various functions, shall be guided by the
need for a harmonized structure of GST and for the
development of a harmonized national market for goods
and services.
Q 17. How will decisions be taken by GST Council?
Ans. The Constitution (one hundred and first amendment)

Act, 2016 provides that every decision of the GST Council
shall be taken at a meeting by a majority of not less than
3/4th of the weighted votes of the Members present and
voting. The vote of the Central Government shall have a
weightage of 1/3rd of the votes cast and the votes of all the
State Governments taken together shall have a weightage
of 2/3rd of the total votes cast in that meeting. One half
of the total number of members of the GST Council shall
constitute the quorum at its meetings.
Q 18. Who is liable to pay GST under the proposed

GST regime?
Ans. Under the GST regime, tax is payable by the taxable

person on the supply of goods and/or services. Liability to
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pay tax arises when the taxable person crosses the turnover
threshold of Rs.20 lakhs (Rs. 10 lakhs for NE & Special
Category States) except in certain specified cases where the
taxable person is liable to pay GST even though he has not
crossed the threshold limit. The CGST / SGST is payable on
all intra-State supply of goods and/or services and IGST is
payable on all inter- State supply of goods and/or services.
The CGST /SGST and IGST are payable at the rates
specified in the Schedules to the respective Acts.
Q 19. What are the benefits available to small tax

payers under the GST regime?
Ans. Tax payers with an aggregate turnover in a financial

year u p t o [ Rs.20 lakhs & Rs.10 Lakhs for NE and special
category states] w o u l d b e e x e m p t f r o m tax. Further,
a person whose aggregate turnover in the preceding
financial year is less than Rs.50 Lakhs can opt for a
simplified composition scheme where tax will payable at a
concessional rate on the turnover in a state.
[Aggregate turnover shall include the aggregate value of

all taxable supplies, exempt supplies and exports of goods
and/or services and exclude taxes viz. GST.] Aggregate
turnover shall be computed on all India basis. For NE
States and special category states, the exemption
threshold shall be [Rs. 10 lakhs]. All taxpayers eligible for
threshold exemption will have the option of paying tax
with input tax credit (ITC) benefits. Tax payers making
inter-State supplies or paying tax on reverse charge basis
shall not be eligible for threshold exemption.
Q 20. How will the goods and services be classified

under GST regime?
Ans. HSN (Harmonised System of Nomenclature) code

shall be used for classifying the goods under the GST regime.
Taxpayers whose turnover is above Rs. 1.5 crores but below

Rs. 5 crores shall use 2-digit code and the taxpayers whose
turnover is Rs. 5 crores and above shall use 4-digit code.
Taxpayers whose turnover is below Rs. 1.5 crores are not
required to mention HSN Code in their invoices.
Services will be classified as per the Services Accounting

Code (SAC)
Q 21. How will imports be taxed under GST?
Ans. Imports of Goods and Services will be treated as

inter-state supplies and IGST will be levied on import of
goods and services into the country. The incidence of tax
will follow the destination principle and the tax revenue in
case of SGST will accrue to the State where the imported
goods and services are consumed. Full and complete set-off
will be available on the GST paid on import on goods and
services.
Q 22. How will Exports be treated under GST?
Ans. Exports will be treated as zero rated supplies. No tax

will be payable on exports of goods or services, however
credit of input tax credit will be available and same will be
available as refund to the exporters. The Exporter will
have an option to either pay tax on the output and claim
refund of IGST or export under Bond without payment of
IGST and claim refund of Input Tax Credit (ITC).
Q 23. What is the scope of composition scheme under
GST?
Ans. Small taxpayers with an aggregate turnover in a

preceding financial year up to [Rs. 50 lakhs] shall be
eligible for composition levy. Under the scheme, a
taxpayer shall pay tax as a percentage of his turnover in a
state during the year without the benefit of ITC. The floor
rate of tax for CGST and SGST/UTGST shall not be less

than [1% for manufacturer & 0.5% in other cases; 2.5%
for specific services as mentioned in para 6(b) of Schedule
II viz Serving of food or any other article for human
consumption]. A tax payer opting for composition levy
shall not collect any tax from his customers. The
government may increase the above said limit of 50 lakhs
rupees to up to one crore rupees, on the recommendation
of GST Council.
Tax payers making inter- state supplies or making
supplies through ecommerce operators who are required
to collect tax at source shall not be eligible for
composition scheme.
Q 24. Whether t h e composition scheme w i l l be
optional or compulsory?
Ans. Optional.
Q 25. What is GSTN and its role in the GST regime?
Ans. GSTN stands for Goods and Service Tax Network

(GSTN). A Special Purpose Vehicle called the GSTN has
been set up to cater to the needs of GST. The GSTN shall
provide a shared IT infrastructure and services to Central
and State Governments, tax payers and other stakeholders
for implementation of GST. The functions of the GSTN
would, inter alia, include: (i) facilitating registration; (ii)
forwarding the returns to Central and State authorities;
(iii) computation and settlement of IGST; (iv) matching
of tax payment details with banking network; (v)
providing various MIS reports to the Central and the State
Governments based on the tax payer return information;
(vi) providing analysis of tax payers profile; and (vii)
running the matching engine for matching, reversal and
reclaim of input tax credit.
The GSTN is developing a common GST portal and

applications for registration, payment, return and MIS/
reports. The GSTN would also be integrating the common
GST portal with the existing tax administration IT systems
and would be building interfaces for tax payers. Further,
the GSTN is developing back-end modules like assessment,
audit, refund, appeal etc. for 19 States and UTs (Model
II States). The CBEC and Model I States (15 States) are
themselves developing their GST back-end systems.
Integration of GST front-end system with back-end systems
will have to be completed and tested well in advance for
making the transition smooth.
Q 26. How are the disputes going to be resolved

under the GST regime?
Ans. The Constitution (one hundred and first amendment)

Act, 2016 provides that the Goods and Services Tax Council
shall establish a mechanism to adjudicate any dispute-
(a) between the Government of India and one or more

States; or
(b) between the Government of India and any State or

States on one side and one or more other Sates on the other
side; or
(c) between two or more States,
arising out of the recommendations of the Council or

implementation thereof.
Q 27. What is the purpose of Compliance rating

mechanism?
Ans. As per Section 149 of the CGST/SGST Act, every

registered person shall be assigned a compliance rating
based on the record of compliance in respect of specified

parameters. Such ratings shall also be placed in the public
domain. A prospective client will be able to see the
compliance ratings of suppliers and take a decision as to
whether to deal with a particular supplier or not. This will
create healthy competition amongst taxable persons.
Q 28. Whether actionable claims liable to GST?
Ans. As per section 2(52) of the CGST/SGST Act

actionable claims are to be considered as goods. Schedule III
read with Section 7 of the CGST/SGST Act lists the activities
or transactions which shall be treated neither as supply of
goods nor supply of services. The Schedule lists actionable
claims other than lottery, betting and gambling as one of
such transactions. Thus only lottery, betting and gambling
shall be treated as supplies under the GST regime. All the
other actionable claims shall not be supplies.
Q 29. Whether transaction in securities be taxable in

GST?
Ans. Securities have been specifically excluded from the

definition of goods as well as services. Thus, the transaction
in securities shall not be liable to GST.
Q 30. What is the concept of Information Return?
Ans. Information return is based on the idea of verifying

the compliance levels of registered persons through
information procured from independent third party sources.
As per section 150 of the CGST/SGST Act, many authorities
who are responsible for maintaining records of registration
or statement of accounts or any periodic return or
document containing details of payment of tax and other
details of transaction of goods or services or both or

transactions related to a bank account or consumption of
electricity or transaction of purchase, sale or exchange of
goods or property or right or interest in a property under
any law for the time being in force, are mandated to furnish
an information return of the same in respect of such
periods, within such time, in such form and manner and to
such authority or agency as may be prescribed. Failure to do
so may result in penalty being imposed as per Section 123.
Q 31. Different companies have different types of

accounting software packages and no specific
format are mandated for keeping records. How
will department be able to read into these
complex software?
Ans. As per Section 153 of the CGST/SGST Act, having

regard to the nature and complexity of a case and in the
interest of revenue, department may take assistance from
an expert at any state of scrutiny, inquiry, investigation or
any other proceedings.
Q 32. Is there any provision in GST for tax treatment of

goods returned by the recipient?
Ans. Yes, Section 34 deals with such situations. Where the

goods supplied are returned by the recipient, the
registered person (supplier of goods) may issue to the
recipient a credit note containing the prescribed
particulars. The details of the credit note shall be
declared by the supplier in the returns for the month
during which such credit note was issued but not later
than September following the end of the year in which
such supply was made or the date of filing of the relevant
annual return, whichever is earlier. The details of the
credit note shall be matched with the corresponding
reduction in claim for input tax credit by the recipient in

his valid return for the same tax period or any
subsequent tax period and the claim for reduction in
output tax liability by the supplier that matches with the
corresponding reduction in claim for ITC by the recipient
shall be finally accepted and communicated to both
parties.
Q 33. What is Anti-Profiteering measure?
Ans. As per section 171 of the CGST/SGST Act, any

reduction in rate of tax on any supply of goods or services
or the benefit of input tax credit shall be passed on to the
recipient by way of commensurate reduction in prices. An
authority may be constituted by the government to
examine whether input tax credits availed by any
registered person or the reduction in the tax rate have
actually resulted in a commensurate reduction in the price
of the goods or services or both supplied by him.
****
2. Levy of and Exemption from Tax
Q 1. Where is the power to levy GST derived from?
Ans. Article 246A of the Constitution, which was

introduced by the Constitution (101st Amendment) Act,
2016 confers concurrent powers to both, Parliament and
State Legislatures to make laws with respect to GST i. e.
central tax (CGST) and state tax (SGST) or union territory tax (UTGST).
However, clause 2 of Article 246A read with Article 269A
provides exclusive power to the Parliament to legislate
with respect to inter-State trade or commerce i.e.
integrated tax (IGST).
Q 2. What is the taxable event under GST?
Ans. Taxable event under GST is supply of goods or

services or both. CGST and SGST/ UTGST will be levied on
intra-State supplies. IGST will be levied on inter-State
supplies.
Q 3. Whether supplies made without consideration

will also come within the purview of supply
under GST?
Ans. Yes, but only those activities which are specified in

Schedule I to the CGST Act / SGST Act. The said provision
has been adopted in IGST Act as well as in UTGST Act also.
Q 4. Will giving away essential commodities by a

charitable institution be taxable activity?
Ans. In order to be a supply which is taxable under GST,

the transaction should be in the course or furtherance of
business. As there is no quid pro quo involved in supply

for charitable activities, it is not a supply under GST.
Q 5. Who can notify a transaction to be supply of

goods or services?
Ans. Central Government or State Government, on the

recommendations of the GST Council, can notify an activity
to be the supply of goods and not supply of services or
supply of services and not supply of goods or neither a
supply of goods nor a supply of services.
Q 6. What are composite supply and mixed supply?

How are these two different from each other?
Ans. Composite supply is a supply consisting of two or
more taxable supplies of goods or services or both or any
combination thereof, which are bundled in natural course
and are supplied in conjunction with each other in the
ordinary course of business and where one of which is a
principal supply. For example, when a consumer buys a
television set and he also gets warranty and a
maintenance contract with the TV, this supply is a
composite supply. In this example, supply of TV is the
principal supply, warranty and maintenance service are
ancillary.
Mixed supply is combination of more than one individual
supplies of goods or services or any combination thereof
made in conjunction with each other for a single price,
which can ordinarily be supplied separately. For example,
a shopkeeper selling storage water bottles along with
refrigerator. Bottles and the refrigerator can easily be
priced and sold separately.
Q 7. What is the treatment of composite supply and

mixed supply under GST?
Ans. Composite supply shall be treated as supply of the
principal supply. Mixed supply would be treated as supply
of that particular goods or services which attracts the
highest rate of tax.
Q 8. Are all goods and services taxable under GST?

Ans. Supplies of all goods and services are taxable except
alcoholic liquor for human consumption. Supply of
petroleum crude, high speed diesel, motor spirit (commonly
known as petrol), natural gas and aviation turbine fuel shall
be taxable with effect from a future date. This date would be
notified by the Government on the recommendations of the
GST Council.
Q 9. What is meant by Reverse Charge?
Ans. It means the liability to pay tax is on the recipient of

supply of goods and services instead of the supplier of such
goods or services in respect of notified categories of
supply.
Q 10. Is the reverse charge mechanism applicable

only to services?
Ans. No, reverse charge applies to supplies of both goods

and services, as notified by the Government on the
recommendations of the GST Council.
Q 11. What will be the implications in case of

receipt of supply from unregistered persons?
Ans. In case of receipt of supply from an unregistered

person, the registered person who is receiving goods or
services shall be liable to pay tax under reverse charge
mechanism.
Q 12. Can any person other than the supplier

or recipient be liable to pay tax under GST?
Ans. Yes, the Central/State government can specify

categories of services the tax on which shall be paid by the
electronic commerce operator, if such services are supplied
through it and all the provisions of the Act shall apply to
such electronic commerce operator as if he is the person
liable to pay tax in relation to supply of such services.
Q 13. What is the threshold for opting to pay tax
under the composition scheme?
Ans. The threshold for composition scheme is Rs. 50 Lakhs

of aggregate turnover in the preceding financial year. The
benefit of composition scheme can be availed up to the
turnover of Rs. 50 Lakhs in current financial year.
Q 14. What a r e the rates of tax for composition

scheme?
Ans. There are different rates for different sectors. In
normal cases of supplier of goods (i.e. traders), the
composition rate is 0.5 % of the turnover in a State or
Union territory. If the person opting for composition
scheme is manufacturer, then the rate is 1% of the
turnover in a State or Union territory. In case of
restaurant services, it is 2.5% of the turnover in a State or
Union territory. These rates are under one Act, and same
rate would be applicable in the other Act also. So,
effectively, the composition rates (combined rate under
CGST and SGST/UTGST) are 1%, 2% and 5% for normal
supplier, manufacturer and restaurant service

respectively.
Q 15. A person availing composition scheme

during a financial year crosses the turnover of
Rs.50 Lakhs during the course of the year i.e. say
he crosses the turnover of Rs.50 Lakhs in
December? Will he be allowed to pay tax under
composition scheme for the remainder of the year
i.e. till 31st March?
Ans. No. The option availed shall lapse from the day on
which his aggregate turnover during the financial year
exceeds Rs.50 Lakhs.
Q 16. Will a taxable person, having multiple

registrations, be eligible to opt for composition
scheme only for a f e w o f r eg i s t r a t i on s ?
Ans. All registered persons having the same Permanent

Account Number (PAN) have to opt for composition
scheme. If one registered person opts for normal scheme,
others become ineligible for composition scheme.
Q 17. Can composition scheme be availed of by a

manufacturer and a service supplier?
Ans. Yes, a manufacturer can opt for composition scheme
generally. However, a manufacturer of goods, which would
be notified on the recommendations of the GST Council,
cannot opt for this scheme. This scheme is not available for
services sector, except restaurants.
Q 18. Who are not eligible to opt for composition

scheme?
Ans. Broadly, five categories of registered person are not
eligible to opt for the composition scheme. These are:
(i) supplier of services other than supplier of
restaurant service;
(ii) supplier of goods which are not taxable under the
CGST Act/SGST Act/UTGST Act.
(iii) an inter-State supplier of goods;
(iv) person supplying goods through an electronic
commerce operator;
(v) manufacturer of certain notified goods.
Q 19. Can the registered person under composition

scheme claim input tax credit?
Ans. No, registered person under composition scheme is

not eligible to claim input tax credit.
Q 20. Can the customer who buys from a registered

person who is under the composition scheme
claim composition tax as input tax credit?
Ans. No, customer who buys goods from registered person

who is under composition scheme is not eligible for
composition input tax credit because a composition
scheme supplier cannot issue a tax invoice.
Q 21. Can composition tax be collected from

customers?
Ans. No, the registered person under composition scheme

is not permitted to collect tax. It means that a composition
scheme supplier cannot issue a tax invoice.
Q 22. How to compute aggregate turnover to

determine eligibility for composition scheme?
Ans. The methodology to compute aggregate turnover is
given in Section 2(6). Accordingly, aggregate turnover
means value of all outward supplies (taxable
supplies+exempt supplies+exports + inter-state supplies)
of a person having the same PAN and it excludes taxes
levied under central tax (CGST), State tax (SGST), Union

territory tax (UTGST), integrated tax(IGST) and
compensation cess. Also, the value of inward supplies on
which tax is payable under reverse charge is not taken
into account for calculation of aggregate turnover.
Q 23. What are the penal consequences if a person
opts for the composition scheme in violation of
the conditions?
Ans. If a taxable person has paid tax under the
composition scheme though he was not eligible for the
scheme then the person would be liable to penalty and the
provisions of section 73 or 74 shall be applicable for
determination of tax and penalty.
Q 24. Does the GST Law empower the Government to

exempt supplies from the levy of GST?
Ans. Yes. In the public interest, the Central or the State

Government can exempt either wholly or partly, on the
recommendations of the GST council, the supplies of goods
or services or both from the levy of GST either absolutely or
subject to conditions. Further the Government can exempt,
under circumstances of an exceptional nature, by special
order any goods or services or both. It has also been
provided in the SGST Act and UTGST Act that any
exemption granted under CGST Act shall be deemed to be
exemption under the said Act.
Q 25. When exemption from whole of tax collected

on goods or services or both has been granted
absolutely, can a person pay tax?
Ans. No, the person supplying exempted goods or services
or both shall not collect the tax in excess of the effective
rate.
3. Registration
Q 1. What is advantage of taking registration in
GST?
Ans. Registration under Goods and Service Tax (GST)

regime will confer following advantages to the business:
Legally recognized as supplier of goods or services.
Proper accounting of taxes paid on the input goods

or services which can be utilized for payment of GST due on
supply of goods or services or both by the business.
Legally authorized to collect tax from his purchasers

and pass on the credit of the taxes paid on the goods or
services supplied to purchasers or recipients.
Getting eligible to avail various other benefits and

privileges rendered under the GST laws.
Q 2. Can a person without GST registration claim

ITC and collect tax?
Ans. No, a person without GST registration can neither

collect GST from his customers nor can claim any input tax
credit of GST paid by him.
Q 3. What will be the effective date of

registration?
Ans. Where the application for registration has been

submitted within thirty days from the date on which the
person becomes liable to registration, the effective date of
registration shall be the date on which he became liable for
registration.
Where an application for registration has been submitted

by the applicant after thirty days from the date of his

becoming liable to registration, the effective date of
registration shall be the date of grant of registration.
In case of a person taking registration voluntarily while

being within the threshold exemption limit for paying tax,
the effective date of registration shall be the date of order of
registration.
Q 4. Who are the persons liable to take a

Registration under the Model GST Law?
Ans. As per Section 22 of the CGST/SGST Act 2017, every

supplier (including his agent) who makes a taxable supply
i.e. supply of goods and / or services which are leviable to
tax under GST law, and his aggregate turn over in a
financial year exceeds the threshold limit of twenty lakh
rupees shall be liable to register himself in the State or the
Union territory of Delhi or Puducherry from where he
makes the taxable supply.
In case of eleven special category states (as mentioned in

Art.279A(4)(g) of the Constitution of India), this threshold
limit for registration liability is ten lakh rupees.
Besides, Section 24 of the Act mentions certain categories of

suppliers, who shall be liable to take registration even if
their aggregate turnover is below the said threshold limit of
20 lakh rupees.
On the other hand, as per Section 23 of the Act, an

agriculturist in respect of supply of his agricultural produce;
as also any person exclusively making supply of non-taxable
or wholly exempted goods and/or services under GST law
will not be liable for registration.
Q 5. What is aggregate turnover?

Ans. As per section 2(6) of the CGST/SGST Act aggregate

turnover includes the aggregate value of:
(i) all taxable supplies,

(ii) all exempt supplies,
(iii) exports of goods and/or service, and,
(iv) all inter-state supplies
of a person having the same PAN.
The above shall be computed on all India basis and excludes

taxes charged under the CGST Act, SGST Act, UTGST Act, and
the IGST Act. Aggregate turnover shall include all supplies
made by the Taxable person, whether on his own account or
made on behalf of all his principals.
Aggregate turnover does not include value of supplies on

which tax is levied on reverse charge basis, and value of
inward supplies.
The value of goods after completion of job work is not

includible in the turnover of the job-worker. It will be
treated as supply of goods by the principal and will
accordingly be includible in the turnover of the Principal.
Q 6. Which are the cases in which registration is

compulsory?
Ans. As per Section 24 of the CGST/SGST Act, the following

categories of persons shall be required to be registered
compulsorily irrespective of the threshold limit:
i) persons making any inter-State taxable supply;

ii) casual taxable persons;
iii) persons who are required to pay tax under reverse
charge;
iv) electronic commerce operators required to pay tax
under sub-section (5) of section 9;
v) non-resident taxable persons;
vi) persons who are required to deduct tax under

section 51;
vii) persons who supply goods and/or services on behalf
of other registered taxable persons whether as an
agent or otherwise;
viii) Input service distributor (whether or not separately
registered under the Act)
ix) persons who are required to collect tax under section
52;
x) every electronic commerce operator
xi) every person supplying online information and data
base retrieval services from a place outside India to
a person in India, other than a registered person;
and,
xii) such other person or class of persons as may be
notified by the Central Government or a State
Government on the recommendations of the Council.
Q 7. What is the time limit for taking a Registration

under GST?
Ans. A person should take a Registration, within thirty days

from the date on which he becomes liable to registration, in
such manner and subject to such conditions as is prescribed
under the Registration Rules. A Casual Taxable person and a
non-resident taxable person should however apply for
registration at least 5 days prior to commencement of
business.
Q 8. If a person is operating in different states, with

the same PAN number, whether he can operate
with a single Registration?
Ans. No. Every person who is liable to take a Registration

will have to get registered separately for each of the States
where he has a business operation and is liable to pay GST
in terms of Sub-section (1) of Section 22 of the CGST/SGST
Act.
Q 9. Whether a person having multiple business

verticals in a state can obtain for different
registrations?
Ans. Yes. In terms of the proviso to Sub-Section (2) of Section

25, a person having multiple business verticals in a State
may obtain a separate registration for each business
vertical, subject to such conditions as may be prescribed.
Q 10. Is there a provision for a person to get himself

voluntarily registered though he may not be liable
to pay GST?
Ans. Yes. In terms of Sub-section (3) of Section 25, a person,

though not liable to be registered under Section 22 may get
himself registered voluntarily, and all provisions of this Act,
as are applicable to a registered taxable person, shall apply
to such person.
Q 11. Is possession of a Permanent Account Number

(PAN) mandatory for obtaining a Registration?
Ans. Yes. As per Section 25(6) of the CGST/SGST Act every

person shall have a Permanent Account Number issued

under the Income Tax Act,1961(43 of 1961) in order to be
eligible for grant of registration.
However as per the proviso to the aforesaid section 25(6), a

person required to deduct tax under Section 51, may have,
in lieu of a PAN, a Tax Deduction and Collection Account
Number issued under the said Income Tax Act, in order to be
eligible for grant of registration.
Also, as per Section 25(7) PAN is not mandatory for a non-

resident taxable person who may be granted registration on
the basis of any other document as maybe prescribed.
Q 12. Whether the Department through the proper

officer, can suo-moto proceed to register of a
Person under this Act?
Ans. Yes. In terms of sub-section (8) of Section 25, where a

person who is liable to be registered under this Act fails to
obtain registration, the proper officer may, without
prejudice to any action which may be taken under this Act,
or under any other law for the time being in force, proceed
to register such person in the manner as is prescribed in the
Registration rules.
Q 13. Whether the proper officer can reject an

Application for Registration?
Ans. Yes. In terms of sub-section 10 of section 25 of the

CGST/SGST Act, the proper officer can reject an application
for registration after due verification.
Q 14. Whether the Registration granted to any person

is permanent?
Ans. Yes, the registration Certificate once granted is

permanent unless surrendered, cancelled, suspended or
revoked.
Q 15. Is it necessary for the UN bodies to get

registration under GST?
Ans. Yes. In terms of Section 25(9) of the CGST/SGST Act, all

notified UN bodies, Consulate or Embassy of foreign
countries and any other class of persons so notified would
be required to obtain a unique identification number (UIN)
from the GST portal. The structure of the said ID would be
uniform across the States in conformity with GSTIN
structure and the same will be common for the Centre and
the States. This UIN will be needed for claiming refund of
taxes paid on notified supplies of goods and services
received by them, and for any other purpose as may be
notified.
Q 16. What is the responsibility of the taxable person

supplying to UN bodies?
Ans. The taxable supplier supplying to these organizations

is expected to mention the UIN on the invoices and treat
such supplies as supplies to another registered person (B2B)
and the invoices of the same will be uploaded by the
supplier.
Q 17. Is it necessary for the Govt. Organization to get

registration?
Ans. A unique identification number (ID) would be given by

the respective state tax authorities through GST portal to
Government authorities / PSUs not making outwards
supplies of GST goods (and thus not liable to obtain GST
registration) but are making inter-state purchases.
Q 18. Who is a Casual Taxable Person?
Ans. Casual Taxable Person has been defined in Section 2

(20) of the CGST/SGST Act meaning a person who
occasionally undertakes transactions involving supply of
goods and/or services in the course or furtherance of
business, whether as principal, or agent or in any other
capacity, in a State or a Union territory where he has no
fixed place of business.
Q 19. Who is a Non-resident Taxable Person?
Ans. In terms of Section 2(77) of the CGST/SGST Act, a non-

resident taxable person means any person who occasionally
undertakes transactions involving supply of goods and/or
services whether as principal or agent or in any other
capacity, but who has no fixed place of business or residence
in India.
Q 20. What is the validity period of the Registration

certificate issued to a Casual Taxable Person and
non- Resident Taxable person?
Ans. In terms of Section 27(1) read with proviso thereto, the

certificate of registration issued to a casual taxable
person or a non-resident taxable person shall be valid for
a period specified in the application for registration or
ninety days from the effective date of registration,
whichever is earlier. However, the proper officer, at the
request of the said taxable person, may extend the validity
of the aforesaid period of ninety days by a further period not
exceeding ninety days.
Q 21. Is there any Advance tax to be paid by a Casual

Taxable Person and Non-resident Taxable Person
at the time of obtaining registration under this
Special Category?
Ans. Yes. While a normal taxable person does not have to

make any advance deposit of tax to obtain registration, a
casual taxable person or a non-resident taxable person
shall, at the time of submission of application for
registration is required, in terms of Section 27(2) read with
proviso thereto, make an advance deposit of tax in an
amount equivalent to the estimated tax liability of such
person for the period for which the registration is sought. If
registration is to be extended beyond the initial period of
ninety days, an advance additional amount of tax
equivalent to the estimated tax liability is to be deposited
for the period for which the extension beyond ninety days is
being sought.
Q 22. Whether Amendments to the Registration

Certificate is permissible?
Ans. Yes. In terms of Section 28, the proper officer may, on

the basis of such information furnished either by the
registrant or as ascertained by him, approve or reject
amendments in the registration particulars within a period
of 15 common working days from the date of receipt of
application for amendment.
It is to be noted that permission of the proper officer for

making amendments will be required for only certain core
fields of information, whereas for the other fields, the
certificate of registration shall stand amended upon
submission of application in the GST common portal.
Q 23. Whether Cancellation of Registration

Certificate is permissible?
Ans. Yes. Any Registration granted under this Act may be

cancelled by the Proper Officer, in circumstances mentioned
in Section 29 of the CGST/SGST Act. The proper officer may,
either on his own motion or on an application filed, in the
prescribed manner, by the registered taxable person or by
his legal heirs, in case of death of such person, cancel the
registration, in such manner and within such period as may
be prescribed. As per the Registration Rules, an order for
cancellation is to be issued within 30 days from the date of
receipt of reply to SCN (in cases where the cancellation is
proposed to be carried out suo moto by the proper officer)
or from the date of receipt of application for cancellation
(in case where the taxable person/legal heir applies for such
cancellation)
Q 24. Whether cancellation of Registration under

CGST Act means cancellation under SGST Act also?
Ans. Yes, the cancellation of registration under one Act (say

CGST Act) shall be deemed to be a cancellation of
registration under the other Act (i.e. SGST Act). (Section 29
(4))
Q 25. Can the proper Officer Cancel the Registration

on his own?
Ans. Yes, in certain circumstances specified under section

29(2) of the CGST/SGST Act, the proper officer can cancel
the registration on his own. Such circumstances include
contravention of any of the prescribed provisions of the
CGST Act or the rules made there under, not filing return by
a composition dealer for three consecutive tax periods or
non-furnishing of returns by a regular taxpayer for a
continuous period of six months, and not commencing
business within six months from the date of voluntary
registration. However, before cancelling the registration,
the proper officer has to follow the principles of natural
justice. (proviso to Section 29(2)(e))
Q 26. What happens when the registration is

obtained by means of willful mis-statement, fraud
or suppression of facts?
Ans. In such cases, the registration may be cancelled with

retrospective effect by the proper officer. (Section 29(2)(e))
Q 27. Is there an option to take centralized

registration for services under GST Law?
Ans. No, the tax paper has to take separate registration in

every state from where he makes taxable supplies.
Q 28. If the taxpayer has different business

verticals in one state, will he have to obtain
separate registration for each such vertical in the
state?
Ans. No, however the taxpayer has the option to register

such separate business verticals independently in terms of
the proviso to Section 25(2) of the CGTST Act, 2017.
Q 29. Who is an ISD?
Ans. ISD stands for Input Service Distributor and has been
defined under Section 2(61) of the CGST/SGST Act. It is
basically an office meant to receive tax invoices towards
receipt of input services and further distribute the credit to
supplier units (having the same PAN) proportionately.
Q 30. Will ISD be required to be separately registered

other than the existing tax payer registration?
Ans. Yes, the ISD registration is for one office of the

taxpayer which will be different from the normal
registration.
Q 31. Can a tax payer have multiple ISDs?
Ans. Yes. Different offices of a tax payer can apply for ISD
registration.
Q 32. What could be the liabilities (in so far as

registration is concerned) on transfer of a
business?
Ans. The transferee or the successor shall be liable to be

registered with effect from such transfer or succession and
he will have to obtain a fresh registration with effect from
the date of such transfer or succession. (Section 22(3)).
Q 33. Whether all assesses / dealers who are already

registered under existing central excise/service
tax/ vat laws will have to obtain fresh registration?
Ans. No, GSTN shall migrate all such assessees/dealers to

the GSTN network and shall issue a provisional registration
certificate with GSTIN number on the appointed day, which
after due verification by the departmental officers within six
months, will be converted into final registration certificate.
For converting the provisional registration to final
registration the registrants will be asked to submit all
requisite documents and information required for
registration in a prescribed period of time. Failure to do so
will result in cancellation of the provisional GSTIN number.
The service tax assesses having centralized registration will

have to apply afresh in the respective states wherever they
have their businesses.
Q 34. Whether the job worker will have to be

compulsorily registered?
Ans. No, a Job worker is a supplier of services and will be

obliged to take registration only when his turnover crosses
the prescribed threshold of 20/10 Lakhs.
Q 35. Whether the goods will be permitted to be

supplied from the place of business of a job

worker?
Ans. Yes. But only in cases where the job worker is

registered, or if not, the principal declares the place of
business of the job worker as his additional place of
business.
Q 36. At the time of registration will the assessee

have to declare all his places of business?
Ans. Yes. The principal place of business and place of

business have been separately defined under section 2(89) &
2(85) of the CGST/SGST Act respectively. The taxpayer will
have to declare the principal place of business as well as the
details of additional places of business in the registration
form.
Q 37. Is there any system to facilitate smaller dealers

or dealers having no IT infrastructure?
Ans. In order to cater to the needs of tax payers who are

not IT savvy, following facilities shall be made available: -
Tax Return Preparer(TRP): A taxable person may prepare

his registration application /returns himself or can
approach the TRP for assistance. TRP will prepare the said
registration document / return in prescribed format on the
basis of the information furnished to him by the taxable
person. The legal responsibility of the correctness of
information contained in the forms prepared by the TRP
will rest with the taxable person only and the TRP shall not
be liable for any errors or incorrect information.
Facilitation Centre (FC): shall be responsible for the

digitization and/or uploading of the forms and documents
including summary sheet duly signed by the Authorized
Signatory and given to it by the taxable person. After
uploading the data on common portal using the ID and
Password of FC, a print-out of acknowledgement will be
taken and signed by the FC and handed over to the taxable
person for his records. The FC will scan and upload the
summary sheet duly signed by the Authorized Signatory.
Q 38. Is there any facility for digital signature in the

GSTN registration?
Ans. Tax payers would have the option to sign the submitted
application using valid digital signatures. There will be two
options for electronically signing the application or other
submissions- by e-signing through Aadhar number, or
through DSC i.e. by registering the tax payers digital
signature certificate with GST portal. However, companies
or limited liability partnership entities will have to sign
mandatorily through DSC only. Only level 2 and level 3 DSC
certificates will be acceptable for signature purpose.
Q 39. What will be the time limit for the decision on

the on line registration application?
Ans. If the information and the uploaded documents are

found in order, the State and the Central authorities shall
have to respond to the application within three common

working days. If they communicate any deficiency or
discrepancy in the application within such time, then the
applicant will have to remove the discrepancy / deficiency
within 7 days of such communication. Thereafter, for either
approving the application or rejecting it, the State and the
Central authorities will have 7 days from the date when the
taxable person communicates removal of deficiencies. In
case no response is given by the departmental authorities
within the said time line, the portal shall automatically
generate the registration.
Q 40. What will be the time of response by the

applicant if any query is raised in the online
application?
Ans. If during the process of verification, one of the tax

authorities raises some query or notices some error, the
same shall be communicated to the applicant and to the
other tax authority through the GST Common Portal within
3 common working days. The applicant will reply to the
query/rectify the error/ answer the query within a period of
seven days from the date of receipt of deficiency intimation.
On receipt of additional document or clarification, the

relevant tax authority will respond within seven common
working days from the date of receipt of clarification.
Q 41. What is the process of refusal of registration?
Ans. In case registration is refused, the applicant will be

informed about the reasons for such refusal through a
speaking order. The applicant shall have the right to appeal

against the decision of the Authority. As per sub-section (2)
of section 26 of the CGST Act, any rejection of application
for registration by one authority (i.e. under the CGST Act /
SGST Act) shall be deemed to be a rejection of application
for registration by the other tax authority (i.e. under the
SGST Act / UTGST Act/ CGST Act).
Q 42. Will there be any communication related to the

application disposal?
Ans. The applicant shall be informed of the fact of grant or

rejection of his registration application through an e-mail
and SMS by the GST common portal. Jurisdictional details
would be intimated to the applicant at this stage.
Q 43. Can the registration certificate be downloaded

from the GSTN portal?
Ans. In case registration is granted; applicant can download

the Registration Certificate from the GST common portal.
Q 44. Can cancellation of registration order be

revoked?
Ans. Yes, but only in cases where the initial cancellation

has been done by the proper officer suo moto, and not on
the request of the taxable person or his legal heirs. A person
whose registration has been cancelled suo moto can apply
to the proper officer for revocation of cancellation of
registration within 30 days from the date of communication
of the cancellation order. The proper officer may within a
period of 30 days from the date of receipt of application for
revocation of cancellation or receipt of

information/clarification, either revoke the cancellation or
reject the application for revocation of cancellation of
registration.
Q 45. Does cancellation of registration impose any

tax obligations on the person whose registration is
so cancelled?
Ans. Yes, as per Section 29(5) of the CGST/SGST Act, every

registered taxable person whose registration is cancelled
shall pay an amount, by way of debit in the electronic cash
ledger, equivalent to the credit of input tax in respect of
inputs held in stock and inputs contained in semi-finished or
finished goods held in stock or capital goods or plant and
machinery on the day immediately preceding the date of
such cancellation or the output tax payable on such goods,
whichever is higher.
Q 46. What is the difference between casual and non-

resident taxable persons?
Ans. Casual and Non-resident taxable persons are

separately defined in the CGST/SGST Act in Sections 2(20)
and 2(77) respectively. Some of the differences are outlined
below:
Casual Taxable Person Non-resident Taxable

Person
Occasional undertakes Occasional undertakes
transactions involving supply transactions involving
of goods or services in a state supply of goods or
or UT where he has no fixed services but has no
place of business. fixed place of business
residence in India.
Has a PAN Number Do not have a PAN

Number; A non-
resident person, if
having PAN number
may take registration
as a casual taxable
person
Same application form for Separate application
registration as for normal form for registration by
taxable persons viz GST REG- non-resident taxable
01 person viz GST REG-10
Has to undertake Business test absent in
transactions in the course or the definition
furtherance of business
Has to file normal GSTR-1, Has to file a separate
GSTR-2 and GSTR-3 returns simplified return in the
format GSTR-5
Can claim ITC of all inward Can get ITC only in
supplies respect of import of
goods and /or services.
****
4. Meaning and Scope of Supply
Q 1. Q 1. What is the taxable event under

GST?
Ans. The taxable event under GST shall be the supply of

goods or services or both made for consideration in the
course or furtherance of business. The taxable events under
the existing indirect tax laws such as manufacture, sale, or
provision of services shall stand subsumed in the taxable
event known as supply.
Q 2. What is the scope of supply under the GST

law?
Ans. The term supply is wide in its import covers all

forms of supply of goods or services or both that includes
sale, transfer, barter, exchange, license, rental, lease or
disposal made or agreed to be made for a consideration by a
person in the course or furtherance of business. It also
includes import of service. The model GST law also provides
for including certain transactions made without
consideration within the scope of supply.
Q 3. What is a taxable supply?
Ans. A taxable supply means a supply of goods or

services or both which is chargeable to goods and services
tax under the GST Act.
Q 4. What are the necessary elements that

constitute supply under CGST/SGST Act?
Ans. In order to constitute a supply, the following elements

are required to be satisfied, i.e.-
(i) t h e a c t i v i t y i n v o l v e s supply of goods or services

or both;
(ii) the supply is for a consideration unless otherwise

specifically provided for;
(iii) the supply is made in the course or furtherance of
business;
(iv) t h e supply is made in the taxable territory;
(v) the supply is a taxable supply; and
(vi) t h e s upply is made by a taxable person.
Q 5. Can a transaction in which any one or more of

the above criteria is not fulfilled, be still considered
as supply under GST?
Ans. Yes. Under certain circumstances such as import of

services for a consideration whether or not in the course or
furtherance of business (Section 3(1) (b)) or supplies made
without consideration, specified under Schedule-I of CGST
/SGST Act, where one or more ingredients specified in
answer to question no.4 are not satisfied, it shall still be
treated as supply for levy of GST.
Q 6. Import of Goods is conspicuous by its absence

in Section 3. Why?
Ans. Import of goods is dealt separately under the

Customs Act, 1962, wherein IGST shall be levied as
additional duty of customs in addition to basic customs
duty under the Customs Tariff Act, 1975.
Q 7. Are self-supplies taxable under GST?
Ans. Inter-state self-supplies such as stock transfers,

branch transfers or consignment sales shall be taxable
under IGST even though such transactions may not involve
payment of consideration. Every supplier is liable to
register under the GST law in the State or Union territory
from where he makes a taxable supply of goods or

services or both in terms of Section 22 of the model GST
law. However, intra-state self-supplies are not taxable
subject to not opting for registration as business vertical.
Q 8. Whether transfer of title and/or possession
is necessary for a transaction to constitute supply
of goods?
Ans. Title as well as possession both have to be transferred

for a transaction to be considered as a supply of goods.
In case title is not transferred, the transaction would be
treated as supply of service in terms of Schedule II (1) (b).
In some cases, possession may be transferred immediately
but title may be transferred at a future date like in case of
sale on approval basis or hire purchase arrangement.
Such transactions will also be termed as supply of goods.
Q 9. What do you mean by supply made in the

course or furtherance of business?
Ans. Business is defined under Section 2(17) include any

trade, commerce, manufacture, profession, vocation etc.
whether or not undertaken for a pecuniary benefit.
Business also includes any activity or transaction which is
incidental or ancillary to the aforementioned listed
activities. In addition, any activity undertaken by the
Central Govt. or a State Govt. or any local authority in
which they are engaged as public authority shall also be
construed as business. From the above, it may be noted that
any activity undertaken included in the definition for
furtherance or promoting of a business could constitute a
supply under GST law.
Q 10. An individual buys a car for personal use and

after a year sells it to a car dealer. Will the
transaction be a supply in terms of CGST/SGST

Act? Give reasons for the answer.
Ans. No, because supply is not made by the individual in

the course or furtherance of business. Further, no input
tax credit was admissible on such car at the time of its
acquisition as it was meant for non-business use.
Q 11. A dealer of air-conditioners p e r m a n e n t l y

transfers an air conditioner from his stock in
trade, for personal use at his residence. Will the
transaction constitute a supply?
Ans. Yes. As per Sl. No.1 of Schedule-I, permanent transfer

or disposal of business assets where input as credit has
been availed on such assets shall constitute a supply under
GST even where no consideration is involved.
Q 12. Whether provision of service or goods by a

club or association or society to its members will
be treated as supply or not?
Ans. Yes. Provision of facilities by a club, association,

society or any such body to its members shall be treated
as supply. This is included in the definition of business in
section 2(17) of CGST/SGST Act.
Q 13. What are the different types of supplies under

the GST law?
Ans. (i) Taxable and exempt supplies. (ii) Inter-State and

Intra-State supplies, (iii) Composite and mixed supplies and
(iv) Zero rated supplies.
Q 14. What are inter-state supplies and intra-state

supplies?
Ans. Inter-state and intra-state supplies have specifically

been defined in Section 7(1), 7(2) and 8(1), 8(2) of the IGST
Act respectively. Broadly, where the location of the supplier
and the place of supply are in same state it will be intra-
state and where it is in different states it will be inter-state
supplies.
Q 15. Whether transfer of right to use goods will be

treated as supply of goods or supply of service?
Why?
Ans. Transfer of right to use goods shall be treated as

supply of service because there is no transfer of title in such
supplies. Such transactions are specifically treated as
supply of service in Schedule-II of CGST/SGST Act.
Q 16. Whether Works contracts and Catering

services will be treated as supply of goods or
supply of services? Why?
Ans. Works contracts and catering services shall be treated

as supply of services as both are specified under Sl. No.
6 (a) and (b) in Schedule-II of the model GST law.
Q 17. Whether supply of software would be

treated as supply of goods or supply of
services under GST law?
Ans. Development, design, programming,
customization, adaptation, upgradation, enhancement,
implementation of information technology software
shall be treated as supply of services as listed in Sl. No.
5 (2)(d) of Schedule II of the model GST law.
Q 18. Whether goods supplied on hire purchase

basis will be treated as supply of goods or supply
of services? Why?
Ans. Supply of goods on hire purchase shall be treated

as supply of goods as there is transfer of title, albeit at a

future date.
Q 19. What is a Composite Supply under CGST/

SGST/UTGST Act?
Ans. Composite Supply means a supply made by a taxable

person to a recipient comprising two or more supplies of
goods or services, or any combination thereof, which are
naturally bundled and supplied in conjunction with each
other in the ordinary course of business, one of which is a
principal supply. For example, where goods are packed and
transported with insurance, the supply of goods, packing
materials, transport and insurance is a composite supply
and supply of goods is the principal supply.
Q 20. How will tax liability on a composite supply be

determined under GST?
Ans. A composite supply comprising two or more

supplies, one of which is a principal supply, shall be treated
as a supply of such principal supply.
Q 21. What is a mixed supply?
Ans. Mixed Supply means two or more individual supplies

of goods or services or any combination thereof, made in
conjunction with each other by a taxable person for a single
price where such supply does not constitute a composite
supply. For example, a supply of package consisting of
canned foods, sweets, chocolates, cakes, dry fruits, aerated
drink and fruit juice when supplied for a single price is a
mixed supply. Each of these items can be supplied
separately and it is not dependent on any other. It shall not
be a mixed supply if these items are supplied separately.
Q 22. How will tax liability on a mixed supply be

determined under GST?
Ans. A mixed supply comprising two or more supplies

shall be treated as supply of that particular supply which
attracts the highest rate of tax.
Q 23. Are there any activities which are treated as

neither a supply of goods nor a supply of services?
Ans. Yes. Schedule-III of the model GST law lists certain

activities such as (i) services by an employee to the
employer in the course of or in relation to his employment,
(ii) services by any Court or Tribunal established under any
law, (iii) functions performed by members of Parliament,
State Legislatures, members of the local authorities,
Constitutional functionaries (iv) services of funeral, burial,
crematorium or mortuary and (v) sale of land and (vi),
actionable claims other than lottery, betting and gambling
shall be treated neither a supply of goods or supply of
services.
Q 24. What is meant by zero rated supply under GST?
Ans. Zero rated supply means export of goods and/or

services or supply of goods and/or services to a SEZ
developer or a SEZ Unit.
Q 25. Will import of services without consideration be

taxable under GST?
Ans. As a general principle, import of services without

consideration will not be considered as supply under GST
in terms of Section 3. However, import of services by a

taxable person from a related person or from any of his
other establishments outside India, in the course or
furtherance of business, even without consideration will
be treated as supply in terms of Sl. No.4 of Schedule I.
****
5. Time of Supply
Q 1. What is time of supply?

Ans. The time of supply fixes the point when the liability to
charge GST arises. It also indicates when a supply is
deemed to have been made. The CGST/SGST Act provides
separate time of supply for goods and services.
Q 2. When does the liability to pay GST arise in
respect of supply of goods and Services?
Ans. Section12 & 13 of the CGST/SGST Act provides for
time of supply of goods. The time of supply of goods shall
be the earlier of the following namely,
(i) the date of issue of invoice by the supplier or the last
date on which he is required under Section 28, to issue the
invoice with respect to the supply; or
(ii) the date on which the supplier receives the payment
with respect to the supply.
Q 3. What is time of supply in case of supply of
vouchers in respect of goods and services?
Ans. The time of supply of voucher in respect of goods and
services shall be;
a) the date of issue of voucher, if the supply is
identifiable at that point; or
b) the date of redemption of voucher in all other
cases.
Q 4. Where it is not possible to determine the time

of supply in terms of sub-section 2, 3, 4 of Section
12 or that of Section 13 of CGST/SGST Act, how
will time of supply be determined?
Ans. There is a residual entry in Section 12(5) as well as

13 (5) which says that if periodical return has to be filed,
then the due date of filing of such periodical return shall
be the time of supply. In other cases, it will be the date on

which the CGST/SGST/IGST is actually paid.
Q 5. What does date of receipt of payment mean?
Ans. It is the earliest of the date on which the payment is

entered in the books of accounts of the supplier or the date
on which the payment is credited to his bank account.
Q 6. Suppose, part advance payment is made or

invoice issued is for part payment, whether the
time of supply will cover the full supply?
Ans. No. The supply shall be deemed to have been made to

the extent it is covered by the invoice or the part payment.
Q 7. What is the time of supply of goods in case of

tax payable under reverse charge?
Ans. The time of supply will be the earliest of the following

dates:
a) date of receipt of goods; or
b) date on which payment is made; or
c) the date immediately following 30 days from the
date of issue of invoice by the supplier.
Q 8. What is the time of supply of service in case of
tax payable under reverse charge?
Ans. The time of supply will be the earlier of the following

dates:
a) date on which payment is made; or
b) the date immediately following sixty days

from the date of issue of invoice by the
supplier.
Q 9. What is the time of supply applicable with

regard to addition in the value by way of interest,
late fee or penalty or any delayed payment of
consideration?
Ans. The time of supply with regard to an addition in value

on account of interest, late fee or penalty or delayed
consideration shall be the date on which the supplier
receipts such additional consideration.
Q 10. Is there any change in time of supply, where

supply is completed prior to or after change in
rate of tax?
Ans. Yes. In such cases provisions of Section 14 will

apply.
Q 11. What is the time of supply, where supply is

completed prior to change in rate of tax?
Ans. In such cases time of supply will be
(i) where the invoice for the same has been

issued and the payment is also received after
the change in rate of tax, the time of supply
shall be the date of receipt of payment or the
date of issue of invoice, whichever is earlier;
or
(ii) where the invoice has been issued prior to
change in rate of tax but the payment is
received after the change in rate of tax, the
time of supply shall be the date of issue of
invoice; or
(iii) where the payment is received before the

change in rate of tax, but the invoice for the
same has been issued after the change in rate
of tax, the time of supply shall be the date of
receipt of payment;
Q 12. What is the time of supply, where supply is

completed after to change in rate of tax?
Ans. In such cases time of supply will be
(i) where the payment is received after the

change in rate of tax but the invoice has been
issued prior to the change in rate of tax, the
time of supply shall be the date of receipt of
payment; or
(ii) where the invoice has been issued and the
payment is received before the change in
rate of tax, the time of supply shall be the
date of receipt of payment or date of issue of
invoice, whichever is earlier; or
(iii) where the invoice has been issued after the
change in rate of tax but the payment is
received before the change in rate of tax, the
time of supply shall be the date of issue of
invoice
Q 13. Lets say there was increase in tax rate from

18% to 20% w.e.f.1.6.2017. What is the tax rate
applicable when services provided and invoice
issued before change in rate in April 2017, but
payment received after change in rate in
June2017?
Ans. The old rate of 18% shall be applicable as services are
provided prior to 1.6.2017.
Q 14. Lets say there was increase in tax rate from

18% to 20% w.e.f. 1.6.2017. What is the tax rate
applicable when goods are supplied and invoice

issued after change in rate in June 2017, but full
advance payment was already received in April
2017?
Ans. The new rate of 20% shall be applicable as g oods

ar e su ppl ie d an d in v oi ce i ssu ed aft er 1. 6.2017
Q 15. What is the time period within which invoice

has to be issued for supply of Goods?
Ans. As per Section 28 of CGST/SGST Act a registered

taxable person shall issue a tax invoice showing
description, quantity and value of goods, tax charged
thereon and other prescribed particulars, before or at the
time of
(a) removal of goods for supply to the recipient,
where supply involves movement of goods or
(b) delivery of goods or making available thereof
to the recipient in other cases.

has to be issued for supply of Services?
Ans. As per Section 28 of CGST/SGST Act a registered

taxable person shall, before or after the provision of service,
but within a period prescribed in this behalf, issue a tax
invoice showing description, value of goods, tax payable
thereon and other prescribed particulars.

has to be issued in a case involving continuous
supply of goods?
Ans. In case of continuous supply of goods, where

successive statements of accounts or successive payments

are involved, the invoice shall be issued before or at the time
each such statement is issued or, as the case may be, each
such payment is received.

has to be issued in a case involving continuous
supply of services?
Ans. In case of continuous supply of services,
(a) where the due date of payment is ascertainable

from the contract, the invoice shall be issued
before or after the payment is liable to be made
by the recipient but within a period prescribed in
this behalf whether or not any payment has been
received by the supplier of the service;
(b) where the due date of payment is not
ascertainable from the contract, the invoice shall
be issued before or after each such time when the
supplier of service receives the payment but
within a period prescribed in this behalf;
(c) where the payment is linked to the completion of
an event, the invoice shall be issued before or
after the time of completion of that event but
within a period prescribed in this behalf.

has to be issued where the goods being sent or
taken on approval for sale?
Ans. The invoice in respect of goods sent or taken on

approval for sale or return shall be issued before or at the
time of supply or six months from the date of approval,
whichever is earlier.
6. Valuation in GST
Q 1. What is the value of taxable supply to be
adopted for the levy of GST?
Ans. The value of taxable supply of goods and services shall

ordinarily be the transaction value which is the price paid
or payable, when the parties are not related and price is the
sole consideration. Section 15 of the CGST/SGST Act further
elaborates various inclusions and exclusions from the
ambit of transaction value. For example, the transaction
value shall not include refundable deposit, discount allowed
subject to certain conditions before or at the time of supply.
Q 2. What is transaction value?
Ans. Transaction value refers to the price actually paid or

payable for the supply of goods and or services where the
supplier and the recipient are not related and price is the
sole consideration for the supply. It includes any amount
which the supplier is liable to pay but which has been
incurred by the recipient of the supply.
Q 3. Are there separate valuation provisions for

CGST, SGST and IGST and for Goods and Services?
Ans. No, section 15 is common for all three taxes and also
common for goods and services.
Q 4. Is contract price not sufficient to determine

valuation of supply?
Ans. Contract price is more specifically referred to as

transaction value and that is the basis for computing tax.
However, when the price is influenced by factors like
relationship of parties or where certain transactions are
deemed to be supply, which do not have a price, the value
has to be determined in accordance with the GST Valuation
Rules.
Q 5. Is reference to GST Valuation Rules required in

all cases?
Ans. No. Reference to GST Valuation Rules is required only

in cases where value cannot be determined under sub-
section (1) of Section 15.
Q 6. Can the transaction value declared under

section 15(1) be accepted?
Ans. Yes, it can be accepted after examining for inclusions

in section 15(2). Furthermore, the transaction value can be
accepted even where the supplier and recipient are related,
provided the relationship has not influenced the price.
Q 7. Whether post-supply discounts or incentives

are to be included in the transaction value?
Ans. Yes. where the post-supply discount is established as

per the agreement which is known at or before the time of
supply and where such discount specifically linked to the
relevant invoice and the recipient has reversed input tax
credit attributable to such discount, the discount is allowed
as admissible deduction under Section 15 of the model GST
law.
Q 8. Whether pre-supply discounts allowed

before or at the time of supply are includible in the
transaction value?
Ans. No, provided it is allowed in the course of normal

trade practice and has been duly recorded in the invoice.
Q 9. When are the provisions of the

Valuation Rules applicable?
Ans. Valuation Rules are applicable when (i) consideration

either wholly or in part not in money terms; (ii) parties are
related or supply by any specified category of supplier; and
(iii) transaction value declared is not reliable.
Q 10. What are the inclusions specified in Section

15(2) which could be added to Transaction Value?
Ans. The inclusions specified in Section15 (2) which could
be added to transaction value are as follows:
a) Any taxes, duties, cesses, fees and charges levied
under any statute, other than the SGST/CGST Act and the
Goods and Services Tax (Compensation to the States for
Loss of Revenue) Act, 2016, if charged separately by the
supplier to the recipient;
b) Any amount that the supplier is liable to pay in
relation to such supply but which has been incurred by the
recipient of the supply and not included in the price
actually paid or payable for the goods and/or services;
c) Incidental expenses, such as commission and
packing, charged by the supplier to the recipient of a
supply, including any amount charged for anything done by
the supplier in respect of the supply of goods and/or
services at the time of, or before delivery of the goods or as
the case may be supply of the services;
d) Interest or late fee or penalty for delayed
payment of any consideration for any supply; and
e) Subsidies directly linked to the price excluding
subsidies provided by the Central and State Government.
7. GST Payment of Tax

Q 1. What are the Payments to be made in GST
regime?
Ans. In the GST regime, for any intra-state supply, taxes to

be paid are the Central GST (CGST), going into the account
of the Central Government) and the State/UT GST (SGST,
going into the account of the concerned State Government).
For any inter-state supply, tax to be paid is Integrated GST
(IGST) which will have components of both CGST and SGST.
In addition, certain categories of registered persons will be
required to pay to the government account Tax Deducted at
Source (TDS) and Tax Collected at Source (TCS). In addition,
wherever applicable, Interest, Penalty, Fees and any other
payment will also be required to be made.
Q 2. Who is liable to pay GST?
Ans. In general, the supplier of goods or services is liable to

pay GST. However, in specified cases like imports and other
notified supplies, the liability may be cast on the recipient
under the reverse charge mechanism. Further, in some
notified cases of intra-state supply of services, the liability to
pay GST may be cast on e-commerce operators through
which such services are supplied. Also Government
Departments making payments to vendors above a specified
limit [2.5 lakh under one contract as per S.51(1)(d)] are
required to deduct tax (TDS) and E-commerce operators are
required to collect tax (TCS) on the net value [i.e. aggregate
value of taxable supplies of goods and/or services but
excluding such value of services on which the operator is
made liable to pay GST under Section 9(5) of the CGST Act,
2017] of supplies made through them and deposit it with
the Government.
Q 3. When does liability to pay GST arises?
Ans. Liability to pay arises at the time of supply of Goods as

explained in Section 12 and at the time of supply of services
as explained in Section13.
The time is generally the earliest of one of the three events,

namely receiving payment, issuance of invoice or
completion of supply. Different situations envisaged and
different tax points have been explained in the aforesaid
sections.
Q 4. What are the main features of GST payment

process?
Ans. The payment processes under GST Act(s) have the

following features:
Electronically generated challan from GSTN

Common Portal in all modes of payment and no use of
manually prepared challan;
Facilitation for the tax payer by providing hassle

free, anytime, anywhere mode of payment of tax;
Convenience of making payment online;
Logical tax collection data in electronic format;
Faster remittance of tax revenue to the Government

Account;
Paperless transactions;
Speedy Accounting and reporting;
Electronic reconciliation of all receipts;
Simplified procedure for banks
Warehousing of Digital Challan.

Q 5. How can payment be done?
Ans. Payment can be done by the following methods:
(i) Through debit of Credit Ledger of the tax payer

maintained on the Common Portal ONLY Tax can be paid.
Interest, Penalty and Fees cannot be paid by debit in the
credit ledger. Tax payers shall be allowed to take credit of
taxes paid on inputs (input tax credit) and utilize the same
for payment of output tax. However, no input tax credit on
account of CGST shall be utilized towards payment of SGST
and vice versa. The credit of IGST would be permitted to be
utilized for payment of IGST, CGST and SGST in that order.
(ii) In cash by debit in the Cash Ledger of the tax payer

maintained on the Common Portal. Money can be deposited
in the Cash Ledger by different modes, namely, E-Payment
(Internet Banking, Credit Card, Debit Card); Real Time
Gross Settlement (RTGS)/ National Electronic Fund
Transfer (NEFT); Over the Counter Payment in branches of
Banks Authorized to accept deposit of GST.
Q 6. When is payment of taxes to be made by the

Supplier?
Ans. Payment of taxes by the normal tax payer is to be done

on monthly basis by the 20th of the succeeding month. Cash
payments will be first deposited in the Cash Ledger and the
tax payer shall debit the ledger while making payment in
the monthly returns and shall reflect the relevant debit
entry number in his return. As mentioned earlier, payment
can also be debited from the Credit Ledger. Payment of
taxes for the month of March shall be paid by the 20th of
April. Composition tax payers will need to pay tax on
quarterly basis.
Q 7. Whether time limit for payment of tax can be

extended or paid in monthly installments?
Ans. No, this is not permitted in case of self-assessed

liability. In other cases, competent authority has been
empowered to extend the time period or allow payment in
instalments. (Section 80 of the CGST/SGST Act).
Q 8. What happens if the taxable person files the return

but does not make payment of tax?
Ans. In such cases, the return is not considered as a valid

return. Section 2(117) defines a valid return to mean a
return furnished under sub-section (1) of section 39 on
which self-assessed tax has been paid in full. It is only the
valid return that would be used for allowing input tax credit
(ITC) to the recipient. In other words, unless the supplier
has paid the entire self-assessed tax and filed his return and
the recipient has filed his return, the ITC of the recipient
would not be confirmed.
Q 9. Which date is considered as date of deposit of

the tax dues Date of presentation of cheque or
Date of payment or Date of credit of amount in the
account of government?
Ans. It is the date of credit to the Government account.

Q 10. What are E-Ledgers?
Ans. Electronic Ledgers or E-Ledgers are statements of

cash and input tax credit in respect of each registered
taxpayer. In addition, each taxpayer shall also have an
electronic tax liability register. Once a taxpayer is
registered on Common Portal (GSTN), two e-ledgers (Cash
&Input Tax Credit ledger) and an electronic tax liability
register will be automatically opened and displayed on his
dash board at all times.
Q 11. What is a tax liability register?
Ans. Tax Liability Register will reflect the total tax liability
of a taxpayer (after netting) for the particular month.
Q 12. What is a Cash Ledger?
Ans. The cash ledger will reflect all deposits made in cash,
and TDS/TCS made on account of the taxpayer. The
information will be reflected on real time basis. This
ledger can be used for making any payment on account of
GST.
Q 13. What is an ITC Ledger?
Ans. Input Tax Credit as self-assessed in monthly returns

will be reflected in the ITC Ledger. The credit in this ledger
can be used to make payment of TAX ONLY and not other
amounts such as interest, penalty, fees etc.
Q 14. What is the linkage between GSTN and the

authorized Banks?
Ans. There will be real time two-way linkage between the

GSTN and the Core Banking Solution (CBS) of the Bank.
CPIN is automatically routed to the Bank via electronic
string for verification and receiving payment and a challan
identification number (CIN) is automatically sent by the
Bank to the Common Portal confirming payment receipt. No
manual intervention will be involved in the process by any
one including bank cashier or teller or the tax payer.
Q 15. Can a tax payer generate challan in multiple

sittings?
Ans. Yes, a taxpayer can partially fill in the challan form

and temporarily save the challan for completion at a later
stage. A saved challan can be edited before finalization.
After the tax payer has finalized the challan, he will
generate the challan, for use of payment of taxes. The
remitter will have option of printing the challan for his
record.
Q 16. Can a challan generated online be modified?
Ans. No. After logging into GSTN portal for generation of

challan, payment particulars have to be fed in by the tax
payer or his authorized person. He can save the challan
midway for future updation. However once the challan is
finalized and CPIN generated, no further changes can be
made to it by the taxpayer.
Q 17. Is there a validity period of challan?
Ans. Yes, a challan will be valid for fifteen days after its
generation and thereafter it will be purged from the System.
However, the tax payer can generate another challan at his
convenience.
Q 18. What is a CPIN?
Ans. CPIN stands for Common Portal Identification

Number (CPIN) given at the time of generation of challan.
It is a 14-digit unique number to identify the challan. As
stated above, the CPIN remains valid for a period of 15
days.
Q 19. What is a CIN and what is its relevance?
Ans. CIN stands for Challan Identification Number. It

is a 17-digit number that is 14-digit CPIN plus 3-digit
Bank Code. CIN is generated by the authorized banks/
Reserve Bank of India (RBI) when payment is actually
received by such authorized banks or RBI and credited
in the relevant government account held with them. It
is an indication that the payment has been realized and
credited to the appropriate government account. CIN
is communicated by the authorized bank to taxpayer as
well as to GSTN.
Q 20. What is the sequence of payment of tax where

that taxpayer has liabilities for previous months also?
Ans. Section 49(8) prescribes an order of payment where

the taxpayer has tax liability beyond the current return
period. In such a situation, the order of payment to be
followed is: First self-assessed tax and other dues for the
previous period; thereafter self-assessed tax and ot he r
d u e s for the current period; and thereafter any other

amounts payable including any confirmed demands
under section 73 or 74. This sequence has to be
mandatorily followed.
Q 21. What does the expression Other dues

referred to above mean?
Ans. The expression other dues means interest, penalty,

fee or any other amount payable under the Act or the
rules made thereunder.
Q 22. What is an E-FPB?
Ans. E-FPB stands for Electronic Focal Point Branch.

These are branches of authorized banks which are
authorized to collect payment of GST. Each authorized
bank will nominate only one branch as its E-FPB for
pan India Transactions. The E-FPB will have to open
accounts under each major head for all governments.
Total 38 accounts (one each for CGST, IGST and one each
for SGST for each State/UT Govt.) will have to be opened.
Any amount received by such E-FPB towards GST will
be credited to the appropriate account held by such E-
FPB.
For NEFT/RTGS Transactions, RBI will act as E-FPB.
Q 23. What is TDS?
Ans. TDS stands for Tax Deducted at Source (TDS). As

per section 51, this provision is meant for Government
and Government undertakings and other notified
entities making contractual payments w h e r e t o t a l
value of such supply under a contract
e x c e e d s Rs. 2.5 Lakhs to suppliers. While making any
payments under such contracts, the concerned

Government/authority shall deduct 1% of the total
payment made and remit it into the appropriate GST
account.
Q 24. How will the Supplier account for this TDS?

while filing his return?
Ans. Any amount shown as TDS will be reflected in the

electronic cash ledger of the concerned supplier. He can
utilize this amount towards discharging his liability
towards tax, interest fees and any other amount.
Q 25. How will the TDS Deductor account for such

TDS?
Ans. TDS Deductor will account for such TDS in the

following ways:
1. Such deductors needs to get compulsorily registered

under section 24 of the CGST/SGST Act.
2. They need to remit such TDS collected by the 10th

day of the month succeeding the month in which TDS
was collected and reported in GSTR 7.
3. The amount deposited as TDS will be reflected in the

electronic cash ledger of the supplier.
4. They need to issue certificate of such TDS to the

deductee within 5 days of deducting TDS failing
which fees of Rs. 100 per day subject to maximum of
Rs. 5000/- will be payable by such deductor.
Q 26. What is Tax Collected at Source (TCS)?
Ans. This provision is applicable only for E-Commerce

Operator under section 52 of CGST/SGST Act. Every E-
Commerce Operator, not being an agent, needs to
withhold an amount calculated at the rate not exceeding

one percent of the net value of taxable supplies made
through it where the consideration with respect to such
supplies is to be collected by the operator. Such withheld
amount is to be deposited by such E-Commerce Operator
to the appropriate GST account by the 10th of the next
month. The amount deposited as TCS will be reflected in
the electronic cash ledger of the supplier.
Q 27. What does the expression Net value of taxable

supplies mean?
Ans. The expression net value of taxable supplies means

the aggregate value of taxable supplies of goods or
services, other than services notified under Section 9(5),
made during any month by all registered taxable persons
through the operator reduced by the aggregate value of
taxable supplies returned to the suppliers during the said
month.
Q 28. Is the pre-registration of credit card necessary

in the GSTN portal for the GST payment?
Ans. Yes. The taxpayer would be required to pre-register

his credit card, from which the tax payment is intended,
with the Common Portal maintained on GSTN. GSTN may
also attempt to put in a system with banks in getting the
credit card verified by taking a confirmation from the
credit card service provider. The payments using credit
cards can therefore be allowed without any monetary limit
to facilitate ease of doing business.
****
8. Electronic Commerce
Q 1. What is Electronic Commerce?
Ans. Electronic Commerce has been defined to mean the

supply o f goods or services or both, including digital
products over digital or electronic network.
Q 2. Who is an e-commerce operator?
Ans. Electronic Commerce Operator has been defined to

mean any person who owns, operates or manages digital
or electronic facility or platform for electronic commerce.
Q 3. Is it mandatory for e-commerce operator to

obtain registration?
Ans. Yes. The benefit of threshold exemption is not

available to e-commerce operators and they would be
liable to be registered irrespective of the value of supply
made by them.
Q 4. Whether a supplier of goods or

services supplying through e-commerce operator
would be entitled to threshold exemption?
Ans. No. The threshold exemption is not available to such

suppliers and they would be liable to be registered
irrespective of the value of supply made by them. This
requirement, however, is applicable only if the supply is
made through such electronic commerce operator who is
required to collect tax at source.
Q 5. Will an e-commerce operator be liable to pay

tax in respect of supply of goods or services made
through it, instead of actual supplier?
Ans. Yes, but only in case of certain notified services. In

such cases tax shall be paid by the electronic commerce
operator if such services are supplied through it and all
the provisions of the Act shall apply to such electronic
commerce operator as if he is the person liable to pay tax
in relation to supply of such services.
Q 6. Will threshold exemption be available to

electronic commerce operators liable to pay tax
on notified services?
Ans. No. Threshold exemption is not available to e-

commerce operator who are require to pay tax on
notified services provided through them.
Q 7. What is Tax Collection at Source (TCS)?
Ans. The e-commerce operator is required to collect an

amount calculated at the rate not exceeding one
percent of the net value of taxable supplies made
through it, where the consideration with respect to
such supplies is to be collected by such operator. The
amount so collected is called as Tax Collection at Source
(TCS).
Q 8. It is very common that customers of e-

commerce companies return goods. How these
returns are going to be adjusted?
Ans. An e-commerce company is required to collect tax

only on the net value of taxable supplies. In other words,
value of the supplies which are returned are adjusted in
the aggregate value of taxable supplies.
Q 9. What is meant by net value of taxable

supplies?
Ans. The net value of taxable supplies means the

aggregate value of taxable supplies of goods or services
or both, other than the services on which entire tax is
payable by the e-commerce operator, made during any
month by all registered persons through such operator
reduced by the aggregate value of taxable supplies
returned to the suppliers during the said mont h.
Q 10. Is every e-commerce operator required to

collect tax on behalf of actual supplier?
Ans. Yes, every e-commerce operator is required to

collect tax where consideration with respect to the
supply is being collected by the e-commerce operator.
Q 11. At what time should the e-commerce operator

make such collection?
Ans. The e-commerce operator should make the

collection during the month in which supply was made.
Q 12. What is the time within which such TCS is to be

remitted by the e-commerce operator to
Government account?
Ans. The amount collected by the operator is to be paid

to appropriate government within 10 days after the end of
the month in which amount was so collected.
Q 13. How can actual suppliers claim credit of this

TCS?
Ans. The amount of TCS deposited by the operator with

the appropriate government will be reflected in the cash
ledger of the actual registered supplier (on whose account
such collection has been made) on the basis of the
statement filed by the operator. The same can be used at
the time of discharge of tax liability in respect of the
supplies by the actual supplier.
Q 14. Is the e-commerce operator required to submit

any statement? What are the details that are
required to be submitted in the statement?
Ans. Yes, every operator is required to furnish a

statement, electronically, containing the details of
outward supplies of goods or services effected through it,
including the supplies of goods or services returned
through it, and the amount collected by it as TCS during a
month within ten days after the end of such month. The
operator is also required to file an annual statement by
31st day of December following the end of the financial
year in which the tax was collected.
Q 15. What is the concept of matching in e-commerce

provisions and how it is going to work?
Ans. The details of supplies and the amount collected

during a calendar month, and furnished by every operator
in his statement will be matched with the corresponding
details of outward supplies furnished by the concerned
supplier in his valid return for the same calendar month or
any preceding calendar month. Where the details of
outward supply, on which the tax has been collected, as
declared by the operator in his statement do not match
with the corresponding details declared by the supplier
the discrepancy shall be communicated to both persons.
Q 16. What will happen if the details remain

mismatched?
Ans. The value of a supply relating to any payment in

respect of which any discrepancy is communicated and
which is not rectified by the supplier in his valid return
for the month in which discrepancy is communicated shall
be added to the output liability of the said supplier, for
the calendar month succeeding the calendar month in
which the discrepancy is communicated. The concerned
supplier shall, in whose output tax liability any amount
has been added shall be liable to pay the tax payable in
respect of such supply along with interest on the amount
so added from the date such tax was due till the date of its
payment.
Q 17. Are there any additional powers to tax officers

available?
Ans. Any authority not below the rank of Deputy

Commissioner may issue a notice to the electronic
operator to furnish specified details within a period of 15
working days from the date of service of such notice.
****
9. Job Work
Q 1. Q 1. What is job
work?
Ans. Job work means undertaking any treatment or
process by a person on goods belonging to another
registered taxable person. The person who is treating or
processing the goods belonging to other person is called
job worker and the person to whom the goods belongs is
called principal.
This definition is much wider than the one given in

Notification No. 214/86 CE dated 23rd March, 1986. In
the said notification, job work has been defined in such a
manner so as to ensure that the activity of job work must
amount to manufacture. Thus the definition of job work
itself reflects the change in basic scheme of taxation
relating to job work in the proposed GST regime.
Q 2. Whether goods sent by a taxable person to a

job worker will be treated as supply and liable to
GST? Why?
Ans. It will be treated as a supply as supply includes all

forms of supply such as sale, transfer, etc. However, the
registered taxable person (the principal), under intimation
and subject to such conditions as may be prescribed send
any inputs and/or capital goods, without payment of tax, to
a job worker for job work and from there subsequently to
another job worker(s) and shall either bring back such
inputs/capital goods after completion of job work or
otherwise within 1 year/3years of their being sent out or
supply such inputs/capital goods after completion of job
work or otherwise within 1 year / 3 years of their being
sent out, from the place of business of a job worker on
payment of tax within India or with or without payment of
tax for export.
Q 3. Is a job worker required to take registration?

Ans. Yes, as job work is a service, the job worker would be
required to obtain registration if his aggregate turnover
exceeds the prescribed threshold.
Q 4. Whether the goods of principal directly

supplied from the job workers premises will be
included in the aggregate turnover of the job
worker?
Ans. No. It will be included in the aggregate turnover of

the principal. However, the value of goods or services used
by the job worker for carrying out the job work will be
included in the value of services supplied by the job
worker.
Q 5. Can a principal send inputs and capital goods

directly to the premises of job worker without
bringing it to his premises?
Ans. Yes, the principal is allowed to do so. The input tax

credit of tax paid on inputs or capital goods can also be
availed by the principal in such a scenario. The inputs or
capital goods must be received back within one year or
three years respectively failing which the original
transaction would be treated as supply and the principal
would be liable to pay tax accordingly.
Q 6. Can the principal supply the goods directly

from the premises of the job worker without
bringing it back to his own premises?
Ans. Yes. But the principal should have declared the

premises of an unregistered job worker as his additional
place of business. If the job worker is a registered person
then goods can be supplied directly from the premises of
the job worker. The Commissioner may also notify goods

in which case goods sent for job work can be directly
supplied from the premises of the job worker.
Q 7. Under what circumstances can the principal

directly supply goods from the premises of job worker
without declaring the premises of job worker as his
additional place of business?
Ans. The goods can be supplied directly from the place of

business of job worker without declaring it as additional
place of business in two circumstances namely where the
job worker is a registered taxable person or where the
principal is engaged in supply of such goods as may be
notified by the Commissioner.
Q 8. What are the provisions concerning taking of
ITC in respect of inputs/capital goods sent to a
job worker?
Ans. Principal shall be entitled to take credit of taxes paid

on inputs or capital goods sent to a job worker whether
sent after receiving them at his place of business or even
when such the inputs or capital goods are directly sent to
a job worker without their being first brought to his place
of business. However, the inputs or capital goods, after
completion of job work, are required to be received back
or supplied from job workers premises, as the case may
be, within a period of one year or three years of their
being sent out.
Q 9. What happens when the inputs or capital goods

are not received back or supplied from the place
of business of job worker within prescribed time
period?
Ans. If the inputs or capital goods are not received back by

the principal or are not supplied from the place of
business of job worker within the prescribed time limit, it

would be deemed that such inputs or capital goods had
been supplied by the principal to the job worker on the
day when the said inputs or capital goods were sent out by
the principal (or on the date of receipt by the job worker
where the inputs or capital goods were sent directly to the
place of business of job worker). Thus the principal would
be liable to pay tax accordingly.
Q 10. Some capital goods like jigs

and fixtures are non -usable aft er
their use and normally sold as scrap.
What is t he treatment of such it ems
in job work provisions?
Ans. The condition of bringing back capital goods within

three years is not applicable to moulds, dies, jigs and
fixtures or tools.
Q 11. What would be treatment of the waste and

scrap generated during the job work?
Ans. The waste and scrap generated during the job work
can be supplied by the job worker directly from his place of
business, on payment of tax, if he is registered. If he is not
registered, the same would be supplied by the principal on
payment of tax.
Q 12. Whether intermediate goods can also be sent

for job work?
Ans. Yes. The term inputs, for the purpose of job work,
includes intermediate goods arising from any treatment
or process carried out on the inputs by the principal or job
worker.
Q 13. Who is responsible for the

maintenance of proper accounts
relat ed t o j ob work?
Ans. It is completely the responsibility of the principal to

maintain proper accounts of job work related inputs and
capital goods.
Q 14. Are the provisions of job work applicable

to all categories of goods?
Ans. No. The provisions relating to job work are applicable

only when registered taxable person intends to send taxable
goods. In other words, these provisions are not applicable
to exempted or non-taxable goods or when the sender is a
person other than registered taxable person.
Q 15. Is it compulsory that job work provisions

should be followed by the principal?
Ans. No. The principal can send the inputs or capital

goods after payment of GST without following the special
procedure. In such a case, the job-worker would take the
input tax credit and supply back the processed goods (after
completion of job-work) on payment of GST.
Q 16. Should job worker and principal be

located in same State or Union territory?
Ans. No this is not necessary as provisions relating to job

work have been adopted in the IGST Act as well as in UTGST
Act and therefore job-worker and principal can be located
either is same State or in same Union Territory or in
different States or Union Territories.
10. Input Tax Credit

Q 1. What is input tax?
Ans. Input tax means the central tax (CGST), State tax
(SGST), integrated tax (IGST) or Union territory tax (UTGST)
charged on supply of goods or services or both made to a
registered person. It also includes tax paid on reverse charge
basis and integrated tax goods and services tax charged on
import of goods. It does not include tax paid under
composition levy.
Q 2. Can GST paid on reverse charge basis be

considered as input tax?
Ans. Yes. The definition of input tax includes the tax payable
under the reverse charge.
Q 3. Does input tax includes tax (CGST/IGST/SGST)

paid on input goods, input services and capital
goods?
Ans. Yes, it includes taxes paid on input goods, input
services and capital goods. Credit of tax paid on capital
goods is permitted to be availed in one instalment.
Q 4. Is credit of all input tax charged on supply of

goods or services allowed under GST?
Ans. A registered person is entitled to take credit of input
tax charged on supply of goods or services or both to him
which are used or intended to be used in the course or
furtherance of business, subject to other conditions and
restrictions.
Q 5. What are the conditions necessary for

obtaining ITC?
Ans. Following four conditions are to be satisfied by the
registered taxable person for obtaining ITC:
(a) he is in possession of tax invoice or debit note or
such other tax paying documents as may be
prescribed;
(b) he has received the goods or services or both;
(c) the supplier has actually paid the tax charged in
respect of the supply to the government; and
(d) he has furnished the return under section 39.
Q 6. Where the goods against an invoice are received

in lots or instalments, how will a registered person
be entitled to ITC?
Ans. The registered person shall be entitled to the credit

only upon receipt of the last lot or installment.
Q 7. Can a person take input tax credit without

payment of consideration for the supply along
with tax to the supplier?
Ans. Yes, the recipient can take ITC. But he is required to pay
the consideration along with tax within 180 days from the
date of issue of invoice. This condition is not applicable
where tax is payable on reverse charge basis.
Q 8. What would happen of the ITC taken by the

registered person if he has not paid the
consideration along with tax within 180 days
from the date of issue of invoice?
Ans. The amount of ITC would be added to output tax liability

of the person. He would also be required to pay interest.

However, he can take ITC again on payment of consideration
and tax.
Q 9. Who will get the ITC where goods have been

delivered to a person other than taxable person
(bill to- ship to scenarios)?
Ans. It would be deemed that the registered person has

received the goods when the goods have been delivered to a
third party on the direction of such taxable person. So ITC will
be available to the person on whose order the goods are
delivered to third person.
Q 10. What is the time limit for taking ITC

and reasons therefor?
Ans. A registered person cannot take ITC in respect of any

invoice or debit note for supply of goods or services after
the due date for furnishing the return under section 39 for
the month of September following the end of financial year
to which such invoice/invoice relating to debit note
pertains or furnishing of the relevant annual return,
whichever is earlier. So, the upper time limit for taking ITC
is 20th October of the next FY or the date of filing of annual
return whichever is earlier.
The underlying reasoning for this restriction is that no

change in return is permitted after September of next FY. If
annual return is filed before the month of September, then
no change can be made after filing of annual return.
Q 11. Where the registered taxable person has

claimed depreciation on the tax component of the
cost of capital goods under the provisions of the
Income Tax Act,1961, will ITC be allowed in such
cases?
Ans. The input tax credit shall not be allowed on the said
tax component in respect of which depreciation has been
claimed.
Q 12. Is credit of tax paid on every input used for

supply of taxable goods or services or both is
allowed under GST?
Ans. Yes, except a small list of items provided in the law,

the credit is admissible on all items. The list covers mainly
items of personal consumption, inputs use of which results
into formation of an immovable property (except plant
and machinery), telecommunication towers, pipelines laid
outside the factory premises, etc. and taxes paid as a
result of detection of evasion of taxes.
Q 13. A taxable person is in the business of

information technology. He buys a motor vehicle
for use of his Executive Directors. Can he avail
the ITC in respect of GST paid on purchase of such
motor vehicle?
Ans. No. ITC on motor vehicles can be availed only if the
taxable person is in the business of transport of passengers
or goods or is providing the services of imparting training
on motor vehicles.
Q 14. Sometimes goods are destroyed or lost due to
various reasons? Can a person take ITC to the
extent of such goods?
Ans. No, a person cannot take ITC with respect to goods lost,
stolen, destroyed or written off. In addition, ITC with respect
of goods given as gifts or free samples are also not allowed.
Q 15. Can a registered person get ITC with respect of

goods or services used for construction of a
building for business purposes?
Ans. No. ITC on goods or services by a person for

construction of immovable property, other than plant and
machinery, is not allowed. Plant and machinery cover only
apparatus, equipment, and machinery fixed to earth by
foundation or structural support, and excludes land and
building, among other things.
Q 16. What is the ITC entitlement of a newl y

regi ster ed person?
Ans. A person applying for registration can take input tax
credit of inputs held in stock and inputs contained in semi-
finished or finished goods held in stock on the day
immediately preceding the date of grant of registration. If
the person was liable to take registration and he has
applied for registration within thirty days from the date on
which he became liable to registration, then input tax
credit of inputs held in stock and inputs contained in semi-
finished or finished goods held in stock on the day
immediately preceding the date on which he became liable
to pay tax can be taken.
Q 17. A person becomes liable to pay tax on 1st
August, 2017and has obtained registration on
15th August, 2017. Such person is eligible for
input tax credit on inputs held in stock as on:
(a) 1st August, 2017
(b) 31st July, 2017
(c) 15th August, 2017
(d) He cannot take credit for the past period
Ans. 31st July, 2017.
Q 18. What is the eligibility of input tax credit on

inputs in stock for a person who obtains
voluntary registration?
Ans. The person who obtains voluntary registration is

entitled to take the input tax credit of input tax on inputs in
stock, inputs in semi- finished goods and finished goods in
stock, held on the day immediately preceding the date of
registration.
Q 19. What would be input tax eligibility in cases

where there is a change in the constitution of a
registered person?
Ans. The registered person shall be allowed to transfer the

input tax credit that remains unutilized in its electronic
credit ledger to the new entity, provided that there is a
specific provision for transfer of liabilities.
Q 20. Where goods or services or both received by

a taxable person are used for effecting both
taxable and non-taxable supplies, whether the
input tax credit is available to the registered
taxable person?
Ans. The input tax credit of goods or services or both

attributable only to taxable supplies can be taken by
registered person. The manner of calculation of eligible
credit would be provided by rules.
Q 21. If input tax credit is allowed only in respect of

goods or services or both for effecting taxable
supplies, would it not lead to loss of input tax credit
on exempt supplies when exported?
Ans. Zero-rated supplies have been covered within taxable

supplies for the purpose of allowing input tax credit. The
scope of zero-rated supply is provided in the Integrated
Goods and Services Tax Act which includes even exempt

supplies.
Q 22. Which of the following is included for

computation of taxable supplies for the purpose
of availing credit?
(a) Zero-rated supplies
(b) Exempt supplies
(c) Both
Ans. Zero rated supplies.
Q 23. Where goods or services received by a

registered person are used partly for the
purpose of business and partly for other
purposes, whether the input tax credit is
available to the person?
Ans. The input tax credit of goods or services or both
attributable only to the purpose of business can be taken by
registered person. The manner of calculation of eligible
credit would be provided by rules.
Q 24. A person paying tax under compounding

scheme crosses the compounding threshold and
becomes a regular taxable person. Can he avail
ITC and if so from what date?
Ans. He can avail ITC in respect of inputs held in stock and

inputs contained in semi-finished or finished goods held in
stock and on capital goods (reduced by prescribed
percentage points) on the day immediately preceding the
date from which he ceases to be eligible for composition
scheme. The manner of calculation of eligible credit would
be provided by rules.
Q 25. Are there any special provisions in respect of

banking companies?
Ans. A banking company or a financial institution

including a non-banking financial company engaged in
supply of specified services would either avail
proportionate credit or avail 50% of the eligible input tax
credit.
Q 26. Mr. A, a registered person was paying tax

under composition scheme up to 30th July, 2017.
However, w.e.f 31st July, 2017, Mr. A becomes
liable to pay tax under regular scheme. Is he
eligible for ITC?
Ans. Mr. A is eligible for input tax credit on inputs held in

stock and inputs contained in semi-finished or finished
goods held in stock and capital goods (reduced by such
percentage points as may be prescribed) as on 30th July,
2017.
Q 27. Mr. B applies for voluntary registration on 5th

June, 2017 and obtained registration on 22 June, nd
2017. Mr. B is eligible for input tax credit on

inputs in stock as on..
Ans. Mr. B is eligible for input tax credit on inputs held in
stock and inputs contained in semi-finished or finished
goods held in stock as on 21st June, 2017. Mr. B cannot take
input tax credit in respect of capital goods.
Q 28. What would happen to the input tax credit

availed by a registered person who opts for
composition scheme or where the goods or
services or both supplied by him become wholly

exempt?
Ans. The registered person has to pay an amount equal to

the input tax credit in respect of stocks held on the day
immediately preceding the date of exercise of option or
date of exemption. In respect of capital goods, the
payable amount would be calculated by reducing by a
prescribed percentage point. The payment can be made
by debiting electronic credit ledger, if there is sufficient
balance in the credit ledger, or by debiting electronic
cash ledger. If any balance remains in the credit ledger,
it would lapse.
Q 29. Is there any restriction on period for

availment of ITC?
Ans. In cases of new registration, change from composition

to normal scheme, from exempt to taxable supplies, the
concerned person cannot avail ITC after the expiry of one
year from the date of issue of tax invoice relating to such
supply.
Q 30. What happens where the details of inward

supplies furnished by the recipient do not match
with the outward supply details furnished by
the supplier in his valid return?
Ans. In case of mismatch, the communication would be

made to the both parties. If the mismatch is not rectified,
then the amount will be added to the output liability of
recipient in the return for the month succeeding the month
in which discrepancy is communicated.
Q 31. Is input tax credit allowed only after

matching?
Ans. No, input tax credit is allowed provisionally for two

months. The supply details are matched by the system and
discrepancies are communicated to concerned supplier and
recipient. In case mismatch continues, the ITC taken would
be reversed automatically.
Q 32. Can provisionally allowed ITC be used for

payment of all liabilities?
Ans. No, provisionally allowed ITC can be used only for the
payment of self-assessed output tax in the return.
Q 33. What will be the tax impact when capital

goods on which ITC has been taken are supplied
by taxable person?
Ans. In case of supply of capital goods or plant and

machinery on which input tax credit has been taken, the
registered person shall pay an amount equal to the input
tax credit taken on the said capital goods or plant an d
mac hin ery reduced by the percentage points as may be
specified in this behalf or the tax on the transaction value of
such capital goods, whichever is higher.
Q 34. What is the tax implication of supply of capital

goods by a registered person who had taken ITC
on such capital goods?
Ans. The registered person would pay an amount equal to ITC

reduced by prescribed percentage point or tax on the
transaction value, whichever is higher. But in case of
refractory bricks, moulds and dies, jigs and fixtures when
these are supplied as scrap, the person can pay tax on the
transaction value.
11. Concept of Input Service Distributor

in GST
Q 1. What is Input Service Distributor (ISD)?
Ans. ISD means an office of the supplier of goods or

services or both which receives tax invoices towards
receipt of input services and issues a prescribed document
for the purposes of distributing the credit of central tax
(CGST), State tax (SGST)/ Union territory tax (UTGST) or
integrated tax (IGST) paid on the said services to a
supplier of taxable goods or services or both having same
PAN as that of the ISD.
Q 2. What are the requirements for registration as

ISD?
Ans. An ISD is required to obtain a separate registration

even though it may be separately registered. The
threshold limit of registration is not applicable to ISD. The
registration of ISD under the existing regime (i.e. under
Service Tax) would not be migrated in GST regime. All the
existing ISDs will be required to obtain fresh registration
under new regime in case they want to operate as an ISD.
Q 3. What are the documents for distribution of

credit by ISD?
Ans. The distribution of credit would be done through a

document especially designed for this purpose. The said
document would contain the amount of input tax credit
being distributed.
Q 4. Can an ISD distribute the input tax credit to all

suppliers?
Ans. No. The input tax credit of input services shall be

distributed only amongst those registered persons who

have used the input services in the course or furtherance of
business.
Q 5. It is not possible many a times to establish a

one-to-one link between quantum of input
services used in the course or furtherance of
business by a supplier. In such situations, how
distribution of ITC by the ISD is to be done?
Ans. In such situations, distribution would be based on a

formula. Firstly, distribution would be done only amongst
those recipients of input tax credit to whom the input
service being distributed are attributable. Secondly,
distribution would be done amongst the operational units
only. Thirdly, distribution would be done in the ratio of
turnover in a State or Union territory of the recipient
during the period to the aggregate of all recipients to
whom input service being distributed is attributable. Lastly,
the credit distributed should not exceed the credit available
for distribution.
Q 6. What does the turnover used for ISD cover?
Ans. The turnover for the purpose of ISD does not include
any duty or tax levied under entry 84 of List I and entry 51
and 54 of List II of the Seventh Schedule to the Constitution.
Q 7. Is the ISD required to file return?
Ans. Yes, ISD is required to file monthly return by 13th of

the following month.
Q 8. Can a company have multiple ISD?

Ans. Yes, different offices like marketing division, security

division etc. may apply for separate ISD.
Q 9. What are the provisions for recovery of

excess/wrongly distributed credit by ISD?
Ans. The excess/wrongly distributed credit can be

recovered from the recipients of credit along with interest
by initiating action under section 73 or 74.
Q 10. Whether CGST and IGST credit can

be distributed by ISD as IGST credit to recipients
located in different States?
Ans. Yes, CGST credit can be distributed as IGST and IGST

credit can be distributed as CGST by an ISD for the
recipients located in different States.
Q 11. Whether SGST / UTGST credit can be
distributed as IGST credit by an ISD to recipients
located in different States?
Ans. Yes, an ISD can distribute SGST /UTGST credit as
IGST for the recipients located in different States.
Q 12. Whether the ISD can distribute the CGST
and IGST Credit as CGST credit?
Ans. Yes, CGST and IGST credit can be distributed as CGST
credit by an ISD for the recipients located in same State.
Q 13. Whether the SGST/ UTGST a nd IGST
C r ed it can be distributed as SGST/UTGST
credit?
Ans. Yes, ISD can distribute SGST and IGST credit as
SGST / UTGST credit for the recipients located in same
State.
Q 14. How to distribute common credit among all

the recipients of an ISD?
Ans. The common credit used by all the recipients can be

distributed by ISD on pro rata basis i.e. based on the
turnover of each recipient to the aggregate turnover of
all the recipients to which credit is distributed.
Q 15. The ISD may distribute the CGST and IGST

credit to recipient outside the State as_______ (a)
IGST
(b) CGST
(c) SGST
Ans. (a) IGST.
Q 16. The ISD may distribute the CGST credit within

the State as____
(a) IGST
(b) CGST
(c) SGST
(d) Any of the above.
Ans. (b) CGST.
Q 17. The credit of tax paid on input service used by

more than one supplier is ________
(a) Distributed among the suppliers who used such
input service on pro rata basis of turnover in
such State.
(b) Distributed equally among all the suppliers.
(c) Distributed only to one supplier.

(d) Cannot be distributed.
Ans. (a) Distributed among the suppliers who used such

input service on pro rata basis of turnover in such State.
Q 18. Whether the excess credit distributed could

be recovered from ISD by the department?
Ans. No. Excess credit distributed can be recovered

along with interest only from the recipient and not ISD.
The provisions of section 73 or 74 would be applicable for
the recovery of credit.
Q 19. What are the consequences of credit distributed

in contravention of the provisions of the Act?
Ans. The credit distributed in contravention of provisions

of Act could be recovered from the recipient to which it is
distributed along with interest.
*****
12. Returns Process and matching of

Input Tax Credit
Q 1. What is the purpose of returns?

Ans.
a) Mode for transfer of information to tax
administration;
b) Compliance verification program of tax
administration;
c) Finalization of the tax liabilities of the taxpayer
within stipulated period of limitation; to declare
tax liability for a given period;
d) Providing necessary inputs for taking
policy decision;
e) Management of audit and anti-evasion programs
of tax administration.
Q 2. Who needs to file Return in GST regime?
Ans. Every person registered under GST will have to file

returns in some form or other. A registered person will
have to file returns either monthly (normal supplier) or
quarterly basis (Supplier opting for composition scheme).
An ISD will have to file monthly returns showing details of
credit distributed during the particular month. A person
required to deduct tax (TDS) and persons required to
collect tax (TCS) will also have to file monthly returns
showing the amount deducted/collected and other details
as may be prescribed. A non-resident taxable person will
also have to file returns for the period of activity
undertaken.
Q 3. What type of outward supply details are to be

filed in the return?
Ans. A normal registered taxpayer has to file the outward

supply details in GSTR-1 in relation to various types of
supplies made in a month, namely outward supplies to
registered persons, outward supplies to unregistered
persons (consumers), details of Credit/Debit Notes, zero
rated, exempted and non-GST supplies, exports, and
advances received in relation to future supply.
Q 4. Is the scanned copy of invoices to be uploaded

along with GSTR-1?
Ans. No scanned copy of invoices is to be uploaded. Only

certain prescribed fields of information from invoices need
to be uploaded.
Q 5. Whether all invoices will have to be

uploaded?
Ans. No. It depends on whether B2B or B2C plus whether

Intra-state or Inter-state supplies.
For B2B supplies, all invoices, whether Intra-state or Inter-

state supplies, will have to be uploaded. Why So? Because
ITC will be taken by the recipients, invoice matching is
required to be done.
In B2C supplies, uploading in general may not be required

as the buyer will not be taking ITC. However still in order
to implement the destination based principle, invoices of
value more than Rs.2.5 lacs in inter-state B2C supplies will
have to be uploaded. For inter-state invoices below Rs. 2.5
lacs and all intra-state invoices, state wise summary will
be sufficient.
Q 6. Whether description of each item in the invoice

will have to be uploaded?
Ans. No. In fact, description will not have to be uploaded.

Only HSN code in respect of supply of goods and Accounting
code in respect of supply of services will have to be fed. The
minimum number of digits that the filer will have to upload
would depend on his turnover in the last year.
Q 7. Whether value for each transaction will have

to be fed? What if no consideration?
Ans. Yes. Not only value but taxable value will also have to
be fed. In some cases, both may be different.
In case there is no consideration, but it is supply by

virtue of schedule 1, the taxable value will have to be
worked out as prescribed and uploaded.
Q 8. Can a recipient feed information in his GSTR-2

which has been missed by the supplier?
Ans. Yes, the recipient can himself feed the invoices not
uploaded by his supplier. The credit on such invoices will
also be given provisionally but will be subject to matching.
On matching, if the invoice is not uploaded by the supplier,
both of them will be intimated. If the mismatch is rectified,
provisional credit will be confirmed. But if the mismatch
continues, the amount will be added to the output tax
liability of the recipient in the returns for the month
subsequent to the month in which such discrepancy was
communicated.
Q 9. Does the taxable person have to feed

anything in the GSTR-2 or everything is auto-
populated from GSTR-1?
Ans. While a large part of GSTR-2 will be auto-populated,

there are some details that only recipient can fill like
details of imports, details of purchases from non-registered
or composition suppliers and exempt/non-GST/nil GST

supplies etc.
Q 10. What if the invoices do not match? Whether

ITC is to be given or denied? If denied, what
action is taken against supplier?
Ans. If invoices in GSTR-2 do not match with invoices in

counter-party GSTR-1, then such mismatch shall be
intimated to the supplier. If the mismatch continues even
after it is made known to both and still it is not rectified.
Mismatch can be because of two reasons. First, it could be
due to mistake at the side of the recipient, and in such a
case, no further action is required. Secondly, it could be
possible that the said invoice was issued by supplier but he
did not upload it and pay tax on it. In such a case, the ITC
availed by the recipient would be added to his output tax liability,
in short, all mismatches will lead to proceedings if the
supplier has made a supply but not paid tax on it.
Q 11. What will be the legal position in regard to the

reversed input tax credit if the supplier later
realizes the mistake and feeds the information?
Ans. At any stage, but before September of the next

financial year, supplier can upload the invoice and pay
duty and interest on such missing invoices in his GSTR-3 of
the month in which he had earlier failed to upload the
invoice. The recipient shall be eligible to reduce his output
tax liability to the extent of the amount in respect of which
the supplier has rectified the mis-match. The interest paid
by the recipient at the time of reversal will also be
refunded to the recipient by crediting the amount in
corresponding head of his electronic cash ledger.
Q 12. What is the special feature of GSTR-2?

Ans. The special feature of GSTR-2 is that the details of

supplies received by a recipient can be auto populated
on the basis of the details furnished by the counterparty
supplier in his GSTR-1.
Q 13. Do tax payers under the composition scheme

also need to file GSTR-1 and GSTR-2?
Ans. No. Composition tax payers do not need to file any

statement of outward or inward supplies. They have to
file a quarterly return in Form GSTR-4 by the 18th of the
month after the end of the quarter. Since they are not
eligible for any input tax credit, there is no relevance
of GSTR-2 for them and since the credit of tax paid under
Composition Levy is not eligible, there is no relevance of
GSTR-1 for them. In their return, they have to declare
summary details of their outward supplies along with
the details of tax payment. They also have to give
details of their purchases in their quarterly return itself,
most of which will be auto populated.
Q 14. Do I n p u t S e r v i c e D i s t r i b u t o r s ( ISDs)
n e e d to file separate statement of outward and
inward supplies with their return?
Ans. No, the ISDs need to file only a return in Form GSTR-
6 and the return has the details of credit received by them
from the service provider and the credit distributed by
them to the recipient units. Since their return itself covers
these aspects, there is no requirement to file separate
statement of inward and outward supplies.
Q 15. How does a taxpayer get the credit of the tax

deducted at source on his behalf? Does he need
to produce TDS certificate from the deductee to
get the credit?
Ans. Under GST, the deductor will be submitting the

deductee wise details of all the deductions made by him
in his return in Form GSTR-7 to be filed by 10th of the
month next to the month in which deductions were made.
The details of the deductions as uploaded by the deductor
shall be auto populated in the GSTR-2 of the deductee.
The taxpayer shall be required to confirm these details
in his GSTR-2 to avail the credit for deductions made
on his behalf. To avail this credit, he does not require to
produce any certificate in physical or electronic form.
The certificate will only be for record keeping of the
tax payer and can be downloaded from the Common
Portal.
Q 16. Which type of taxpayers need to file

Annual Return?
Ans. All taxpayers filing return in GSTR-1 to GSTR-3,

other than ISDs, casual/non-resident taxpayers,
taxpayers under composition scheme, TDS/TCS deductors,
are required to file an annual return. Casual taxpayers, non-
resident taxpayers, ISDs and persons authorized to
deduct/collect tax at source are not required to file annual
return.
Q 17. Is an Annual Return and a Final Return one

and the same?
Ans. No. Annual Return has to be filed by every

registered person paying tax as a normal taxpayer. Final
Return has to be filed only by those registered persons
who have applied for cancellation of registration. The
Final return has to be filed within three months of the
date of cancellation or the date of cancellation order.
Q 18. If a return has been filed, how can it be revised

if some changes are required to be made?
Ans. In GST since the returns are built from details of

individual transactions, there is no requirement for having
a revised return. Any need to revise a return may arise
due to the need to change a set of invoices or debit/ credit
notes. Instead of revising the return already submitted, the
system will allow changing the details of those transactions
(invoices or debit/credit notes) that are required to be
amended. They can be amended in any of the future GSTR-
1/2 in the tables specifically provided for the purposes of
amending previously declared details.
Q 19. How can taxpayers file their returns?
Ans. Taxpayers will have various modes to file the

statements and returns. Firstly, they can file their statement
and returns directly on the Common Portal online. However,
this may be tedious and time consuming for taxpayers
with large number of invoices. For such taxpayers, an
offline utility will be provided that can be used for
preparing the statements offline after downloading the
auto populated details and uploading them on the
Common Portal. GSTN has also developed an ecosystem of
GST Suvidha Providers (GSP) that will integrate with the
Common Portal.
Q 20. What precautions, a taxpayer is required to

take for a hassle free compliance under GST?
Ans. One of the most important things under GST will be

timely uploading of the details of outward supplies in Form
GSTR-1 by 10th of next month. How best this can be ensured
will depend on the number of B2B invoices that the taxpayer
issues. If the number is small, the taxpayer can upload all the
information in one go. However, if the number of invoices is

large, the invoices (or debit/ credit notes) should be uploaded
on a regular basis. GSTN will allow regular uploading of
invoices even on a real time basis. Till the statement is
actually submitted, the system will also allow the taxpayer to
modify the uploaded invoices. Therefore, it would always be
beneficial for the taxpayers to regularly upload the invoices.
Last minute rush will make uploading difficult and will
come with higher risk of possible failure and default. The
second thing would be to ensure that taxpayers follow up
on uploading the invoices of their inward supplies by their
suppliers. This would be helpful in ensuring that the input tax
credit is available without any hassle and delay. Recipients
can also encourage their suppliers to upload their invoices on
a regular basis instead of doing it on or close to the due date.
The system would allow recipients to see if their suppliers have
uploaded invoices pertaining to them. The GSTN system will
also provide the track record about the compliance level of a
tax payer, especially about his track record in respect of timely
uploading of his supply invoices giving details about the auto
reversals that have happened for invoices issued by a supplier.
The Common Portal of GST would have pan India data at one
place which will enable valuable services to the taxpayers.
Efforts are being made to make regular uploading of invoices
as easy as possible and it is expected that an enabling eco-
system will be developed to achieve this objective. Taxpayers
should make efficient use of this ecosystem for easy and
hassle free compliance under GST.
Q 21. Is it compulsory for a taxpayer to file return
by himself?
Ans. No. A registered taxpayer can also get his return

filed through a Tax Return Preparer, duly approved by the
Central or the State tax administration.
Q 22. What i s t h e c o n s e q u e n c e o f n o t f i l i n g
t h e return within the prescribed date?
Ans. A registered person who files return beyond the

prescribed date will have to pay late fees of rupees one
hundred for every day of delay subject to a maximum of
rupees five thousand. For failure to furnish Annual returns
by due date, late fee of Rs. One hundred for every day
during which such failure continues subject to a maximum
of an amount calculated at a quarter percent [0.25%] of
his turnover in a state, will be levied.
Q 23. What happens if ITC is taken on the basis of a

document more than once?
Ans. In case the system detects ITC being taken on the

same document more than once (duplication of claim), the
amount of such credit would be added to the output tax
liability of the recipient in the return. [section 42(6)]
Q 24. Whether the amount of credit detected by the

system on account of mis-match between GSTR-1
and GSTR-2 and recovered as output tax can be
reclaimed?
Ans. Yes, once the mismatch is rectified by the supplier by

declaring the details of the invoices or debit notes, as the
case may be, in his valid return for the month/quarter in
which the error had been detected. The said amount can be
reclaimed by way of reducing the output tax liability during
the subsequent tax period. [section 42(7)]. Similar
provisions have also been made in Section 43 of the Act in
respect of the credit notes issued by the supplier.
13. Assessment and Audit

Q 1. Who is the person responsible to make
assessment of taxes payable under the Act?
Ans. Every person registered under the Act shall himself

assess the tax payable by him for a tax period and after
such assessment he shall file the return required under
section 39.
Q 2. When c a n a t a x a b l e p e r s o n p a y t a x o n
a provisional basis?
Ans. As a taxpayer has to pay tax on self-assessment basis,

a request for paying tax on provisional basis has to come
from the taxpayer which will then have to be permitted
by the proper officer. In other words, no tax officer can
suo-moto order payment of tax on provisional basis. This
is governed by section 60 of CGST/SGST Act. Tax can be
paid on a provisional basis only after the proper officer has
permitted it through an order passed by him. For this
purpose, the taxable person has to make a written request
to the proper officer, giving reasons for payment of tax on
a provisional basis. Such a request can be made by the
taxable person only in such cases where he is unable to
determine:
a) the value of goods or services to be supplied by
him, or
b) determine the tax rate applicable to the goods
or services to be supplied by him.
In such cases the taxable person has to execute a bond in

the prescribed form, and with such surety or security as
the proper officer may deem fit.
Q 3. What is the latest time by which final

assessment is required to be made?
Ans. The final assessment order has to be passed by the

proper officer within six months from the date of the
communication of the order of provisional assessment.
However, on sufficient cause being shown and for reasons
to be recorded in writing, the above period of six months
may be extended:
a) by t h e J o i n t / Additional C o m m i s s i o n e r
fo r a further period not exceeding six months,
and
b) by the Commissioner for such further period as
he may deem fit not exceeding fours.
Thus, a provisional assessment can remain provisional for a
maximum of five years.
Q 4. Where the tax liability as per the final

assessment is higher than in provisional
assessment, will the taxable person be liable to
pay interest?
Ans. Yes. He will be liable to pay interest from the date

the tax was due to be paid originally till the date of actual
payment.
Q 5. What recourse may be taken by the officer

in case proper explanation is not furnished for
the discrepancy detected in the return filed,
while conducting scrutiny under section 61 of
CGST ACT?
Ans. If the taxable person does not provide a satisfactory

explanation within 30 days of being informed (extendable
by the officer concerned) or after accepting discrepancies,
fails to take corrective action in the return for the month
in which the discrepancy is accepted, the Proper Officer
may take recourse to any of the following provisions:
(a) Proceed to conduct audit under Section 6 5 of

the Act;
(b) Direct the conduct of a special audit under Section

66 which is to be conducted by a Chartered
Accountant or a Cost Accountant nominated for
this purpose by the Commissioner; or
(c) Undertake procedures of inspection, search and

seizure under Section 67 of the Act; or
(d) Initiate pr oc e edi n g for de t er min at i on of

t ax an d ot her du e s under Section 73 or 74 of
the Act.
Q 6. If a ta xa bl e p er s on f a i l s t o f i l e t he
r et u r n required under law (under section 39
( m on t h l y/ qu a r t e r l y) , or 45 (final
r et u r n ) , what legal recourse is available to the
tax officer?
Ans. The proper officer has to first issue a notice to the

defaulting taxable person under section 46 of CGST/SGST
Act requiring him to furnish the return within a period of
fifteen days. If the taxable person fails to file return within
the given time, the proper officer shall proceed to assess
the tax liability of the return defaulter to the best of his
judgement taking into account all the relevant material
available with him. (Section 62).
Q 7. Under what circumstances can a best

judgment assessment order issued under section
60 be withdrawn?
Ans. The best judgment order passed by the Proper

Officer under section 62 of CGST/SGST Act shall
automatically stand withdrawn if the taxable person
furnishes a valid return for the default period (i.e. files the
return and pays the tax as assessed by him), within thirty
days of the receipt of the best judgment assessment order.
Q 8. What is the time limit for passing assessment

order u/s 62 (Best Judgment) and 63 (Non-filers)?
Ans. The time limit for passing an assessment order under

section 62 or 63 is five years from the due date for
furnishing the annual return.
Q 9. What is the legal recourse available in respect

of a person who is liable to pay tax but has failed
to obtain registration?
Ans. Section 63 of CGST/SGST Act provides that in such

a case, the proper officer can assess the tax liability and
pass an order to his best judgment for the relevant tax
periods. However, such an order must be passed within a
period of five years from the due date for furnishing the
annual return for the financial year to which non-payment
of tax relates.
Q 10. Under what circumstances can a tax officer

initiate Summary Assessment?
Ans. As per section 64 of CGST/SGST Act, Summary

Assessments can be initiated to protect the interest of
revenue when:
a) the proper officer has evidence that a taxable

person has incurred a liability to pay tax under
the Act, and
b) the proper officer believes that delay in passing
an assessment order will adversely affect the
interest of revenue.
Such order can be passed after seeking permission from the

Additional Commissioner / Joint Commissioner.
Q 11. Other t h a n a p p e l l a t e r e m e d y , i s t h e r e
a n y other recourse available to the taxpayer
against a summary assessment order?
Ans. A taxable person against whom a summary

assessment order has been passed can apply for its
withdrawal to the jurisdictional Additional/Joint
Commissioner within thirty days of the date of receipt
of the order. If the said officer finds the order erroneous,
he can withdraw it and direct the proper officer to carry
out determination of tax liability in terms of section 7 3
or 74 of CGST/SGST Act. The Additional/Joint
Commissioner can follow a similar course of action on his
own motion if he finds the summary assessment order to
be erroneous (section 64 of CGST/SGST Act).
Q 12. Is summary assessment order to be necessarily

passed against the taxable person?
Ans. No. In certain cases, like when goods are under

transportation or are stored in a warehouse, and the
taxable p e r s o n i n r e s p e c t o f s u c h g o o d s c a n n o t
b e ascertained, the person in charge of such goods shall
be deemed to be the taxable person and will be assessed
to tax (proviso to Section 64 of CGST/SGST Act).
Q 13. Who can conduct audit of taxpayers?
Ans. There are three types of audit prescribed in the GST

Act(s) as explained below:
(a) Audit by Chartered Accountant or a Cost Accountant:
Every registered person whose turnover exceeds the
prescribed limit, shall get his accounts audited by a
chartered accountant or a cost accountant. (Section

35(5) of the CGST/SGST Act)
(b) Audit by Department: The Commissioner or any officer
of CGST or SGST or UTGST authorized by him by a
general or specific order, may conduct audit of any
registered person. The frequency and manner of audit
will be prescribed in due course. (Section 65 of the
CGST/SGST Act)
(c) Special Audit: If at any stage of scrutiny, inquiry,
investigations or any other proceedings, if department
is of the opinion that the value has not been correctly
declared or credit availed is not with in the normal
limits, department may order special audit by
chartered accountant or cost accountant, nominated
by department. (Section 66 of the CGST/SGST Act)
Q 14. Whether any prior intimation is required

before conducting the audit?
Ans. Yes, prior intimation is required and the taxable

person should be informed at least 15 working days prior to
conduct of audit.
Q 15. What is the period within which the audit is to

be completed?
Ans. The aud it i s required t o be c omplet e d w it hin

3 months from the date of commencement of audit. The
period is extendable for a further period of a maximum of 6
months by the Commissioner.
Q 16. What is meant by commencement of audit?
Ans. The term commencement of audit is important

because audit has to be completed within a given time
frame in reference to this date of commencement.
Commencement of audit means the later of the following:
a) the date on which the records/accounts called
for by the audit authorities are made available

to them, or
b) the actual institution of audit at the place of
business of the taxpayer.
Q 17. What are the obligations of the taxable person
when he receives the notice of audit?
Ans. The taxable person is required to:

a) facilitate the verification of accounts/records
available or requisitioned by the authorities,
b) provide such information as the authorities may
require for the conduct of the audit, and
c) render assistance for timely completion of the
audit.
Q 18. What would be the action by the proper officer

upon conclusion of the audit?
Ans. The proper officer shall, on conclusion of audit,

within 30 days inform the taxable person about his
findings, reasons for findings and the taxable persons
rights and obligations in respect of such findings.
Q 19. Under what circumstances can a special audit

be instituted?
Ans. A special audit can be instituted in limited

circumstances where during scrutiny, investigation, etc. it
comes to the notice that a case is complex or the revenue
stake is high. This power is given in section 66 of CGST
/SGST Act.
Q 20. Who can serve the notice of communication

for special audit?
Ans. The Assistant / Deputy Commissioner is to serve the

communication for special audit only after prior
approval of the Commissioner.
Q 21. Who will do the special audit?
Ans. A Chartered Accountant or a Cost Accountant so

nominated by the Commissioner may undertake the audit.
Q 22. What is the time limit to submit the audit

report?
Ans. The auditor will have to submit the report within 90

days or within the further extended period of 90 days.
Q 23. Who will bear the cost of special audit?
Ans. The expenses for examination and audit including the

remuneration payable to the auditor will be determined
and borne by the Commissioner.
Q 24. What action the tax authorities may take after

the special audit?
Ans. Based on the findings / observations of the special

audit, action can be initiated under Section 73 or Section
74 of the CGST/SGST Act.
****
14. Refunds
Q 1. What is refund?
Ans. Refund has been discussed in section 54 of the

CGST/SGST Act.
Refund includes
(a) any balance amount in the electronic cash ledger so
claimed in the returns,
(b) any unutilized input tax credit in respect of (i) zero
rated supplies made without payment of tax or, (ii) where
the credit has accumulated on account of rate of tax on
inputs being higher than the rate of tax on output supplies
(other than nil rated or fully exempt supplies),
(c) tax paid by specialized agency of United Nations or any
Multilateral Financial Institution and Organization notified
under the United Nations (Privileges and Immunities) Act,
1947, Consulate or Embassy of foreign countries on any
inward supply
Q 2. Can unutilized Input tax credit be allowed as

refund?
Ans. Unutilized input tax credit can be allowed as refund

in accordance with the provisions of sub-section (3) of
section 54 in the following situations: -
(i) Zero rated supplies made without payment of tax;
(ii) Where credit has accumulated on account of rate of tax
on inputs being higher than the rate of taxes on output
supplies (other than nil rated or fully exempt supplies)
However, no refund of unutilized input tax credit shall be

allowed in cases where the goods exported out of India are
subjected to export duty, and also in the case where the
supplier of goods or services or both avails of drawback in
respect of central tax or claims refund of the integrated tax
paid on such supplies.
Q 3. Can unutilized ITC be given refund, in case goods

Exported outside India are subjected to export duty?
Ans. Refund of unutilized input tax credit is not allowed in

cases where the goods exported out of India are subjected
to export duty - as per the second proviso to Section 54(3)
of CGST/SGST Act.
Q 4. Will unutilized ITC at the end of the financial

year (after introduction of GST) be refunded?
Ans. There is no such provision to allow refund of such
unutilized ITC at the end of the financial year in the GST
Law. It shall be carried forward to the next financial
year.
Q 5. Suppose a taxable person has paid IGST/

CGST/SGST mistakenly as an Interstate/intrastate
supply, but the nature of which is subsequently
clarified. Can the CGST/SGST be adjusted against
wrongly paid IGST or vice versa?
Ans. The taxable person cannot adjust CGST/SGST or

IGST with the wrongly paid IGST or CGST/SGST but he is
entitled to refund of the tax so paid wrongly - Sec.77 of
the CGST/SGST Act.
Q 6. Whether purchases made by Embassies or UN

are taxed or exempted?
Ans. Supplies to the Embassies or UN bodies will be taxed,

which later on can be claimed as refund by them in terms
of Section 54(2) of the CGST/SGST Act. The claim has to
be filed in the manner prescribed under CGST/SGST
Refund rules, before expiry of six months from the last day
of the month in which such supply was received.
[The United Nations Organization and Consulates or

Embassies are required to take a Unique Identity Number
[section 26(1) of the CGST/SGST Act] and purchases made
by them will be reflected against their Unique Identity
Number in the return of outward supplies of the
supplier(s)]
Q 7. What is the time limit for taking refund?

Ans. A person claiming refund is required to file an

application before the expiry of two years from the
relevant date as given in the Explanation to section 54
of the CGST/SGST Act.
Q 8. Whether principle of unjust enrichment will be

applicable in refund?
Ans. The principle of unjust enrichment would be

applicable in all cases of refund except in the following cases: -
i. Refund of tax paid on zero-rated supplies of goods
or services or both or on inputs or input services
used in making such zero-rated supplies
ii. Unutilized input tax credit in respect of (i) zero
rated supplies made without payment of tax or,
(ii) where the credit has accumulated on account
of rate of tax on inputs being higher than the rate
of tax on output supplies
iii. refund of tax paid on a supply which is not
provided, either wholly or partially, and for which
invoice has not been issued;
iv. refund of tax in pursuance of Section 77 of
CGST/SGST Act i.e. tax wrongfully collected and
paid to Central Government or State Government
v. if the incidence of tax or interest paid has not been
passed on to any other person;
vi. such other class of persons who has borne the
incidence of tax as the Government may notify.
Q 9. In case the tax has been passed on to the

consumer, whether refund will be sanctioned?
Ans. Yes, the amount so refunded shall be credited to the

Consumer Welfare Fund - Section 57 of the CGST/SGST Act
Q 10. Is there any time limit for sanctioning of

refund?
Ans. Yes, refund has to be sanctioned within 60 days from
the date of receipt of application complete in all respects.
If refund is not sanctioned within the said period of 60
days, interest at the rate notified will have to be paid in
accordance with section 56 of the CGST/SGST Act.
However, in case where provisional refund to the extent of
90% of the amount claimed is refundable in respect of
zero-rated supplies made by certain categories of
registered persons in terms of sub-section (6) of section 54
of the CGST/SGST Act, the provisional refund has to be
given within 7 days from the date of acknowledgement of
the claim of refund.
Q 11. Can refund be withheld by the department?
Ans. Yes, refund can be withheld in the following

circumstances:
i. If the person has failed to furnish any return till he
files such return;
ii. If the registered taxable person is required to pay
any tax, interest or penalty which has not been
stayed by the appellate authority/Tribunal/ court,
till he pays such tax interest or penalty;
The proper officer can also deduct

unpaid taxes, interest, penalty, late fee,
if any, from the refundable amount
Section 54(10) (d) of the CGST/SGST
Act
iii. The Commissioner can withhold any refund, if, the
order of refund is under appeal and he is of
the opinion that grant of such refund will adversely
affect revenue in the said appeal on
account of malfeasance or fraud committed - Sec.54
(11) of the CGST/SGST Act.
Q 12. Where the refund is withheld under Section

54(11) of the CGST/SGST Act, will the taxable
person be given interest?
Ans. If as a result of appeal or further proceeding the

taxable person becomes entitled to refund, then he shall
also be entitled to interest at the rate notified [section
54(12) of the CGST/SGST Act].
Q 13. Is there any minimum threshold for refund?
Ans. No refund shall be granted if the amount is less than

Rs.1000/-. [Sec.54 (14) of the CGST/SGST Act]
Q 14. How will the refunds arising out of existing law

be paid?
Ans. The refund arising out of existing law will be paid as

per the provisions of the existing law and will be made in
cash and will not be available as ITC.
Q 15. Whether refund can be made before

verification of documents?
Ans. In case of any claim of refund to a registered person on

account of zero rated supplies of goods or services or both
(other than registered persons as may be notified), 90%
refund may be granted on provisional basis before
verification subject to such conditions and restrictions as
may be prescribed in accordance with sub-section 6 of
section 54 of the CGST/SGST Act.
Q 16. In case of refund under exports, whether BRC

is necessary for granting refund?
Ans. In case of refund on account of export of goods, the

refund rules do not prescribe BRC as a necessary document
for filing of refund claim. However, for export of services
details of BRC is required to be submitted along with the
application for refund.
Q 17. Will the principle of unjust enrichment apply

to exports and supplies to SEZ Units?
Ans. The principle of unjust enrichment would not be
applicable to zero-rated supplies [i.e. exports and supplies
to SEZ units]
Q 18. How will the applicant prove that the principle

of unjust enrichment does not apply in his case?
Ans. Where the claim of refund is less than Rs.2 Lakh, a self-
declaration by the applicant based on the documentary or
other evidences available with him, certifying that the
incidence of tax has not been passed on to any other person
would make him eligible to get refund. However, if the
claim of refund is more than Rs.2 Lakh, the applicant is
required to submit a certificate from a Chartered
Accountant or a Cost Accountant to the effect that the
incidence of tax has not been passed on to any other person.
Q 19. Today under VAT/CST merchant exporters can

purchase goods without payment of tax on
furnishing of a declaration form. Will this system
be there in GST?
Ans. There is no such provision in the GST law. They will

have to procure goods upon payment of tax and claim
refund of the unutilized input tax credit in accordance
with section 54(3) of the CGST/SGST Act.
Q 20. Presently under Central law, exporters are

allowed to obtain duty paid inputs, avail ITC on it
and export goods upon payment of duty (after
utilizing the ITC) and thereafter claim refund of
the duty paid on exports. Will this system continue
in GST?
Ans. Yes. In terms of Section 16 of the IGST Act, a

registered taxable person shall have the option either to
export goods/services without payment of IGST under

bond or letter of undertaking and claim refund of ITC or
he can export goods/services on payment of IGST and
claim refund of IGST paid.
Q 21. What is the time period within which an

acknowledgement of a refund claim has to be
given?
Ans. Where an application relates to a claim for refund

from the electronic cash ledger as per sub-section (6) of
section 49 of the CGST/SGST Act made through the return
furnished for the relevant tax period the
acknowledgement will be communicated as soon as the
return is furnished and in all other cases of claim of refund
the acknowledgement will be communicated to the
applicant within 15 days from the date of receipt of
application complete in all respect.
Q 22. What is the time period within which

provisional refund has to be given?
Ans. Provisional refund to the extent of 90% of the

amount claimed on account of zero-rated supplies in
terms of sub-section (6) of section 54 of the CGST/SGST
Act has to be given within 7 days from the date of
acknowledgement of complete application for refund
claim.
Q 23. Is there any specified format for filing refund
claim?
Ans. Every claim of refund has to be filed in Form GST

RFD 1. However, claim of refund of balance in electronic
cash ledger can be claimed through furnishing of
monthly/quarterly returns in Form GSTR 3, GSTR 4 or
GSTR 7, as the case may be, of the relevant period.
Q 24. Is there any specified format for sanction of

refund claim?
Ans. The claim of refund will be sanctioned by the proper

officer in Form GST RFD-06 if the claim is found to be in
order and payment advice will be issued in Form GST RFD-
05. The refund amount will then be electronically credited
to the applicants given bank account.
Q 25. What happens if there are deficiencies in the

refund claim?
Ans. Deficiencies, if any, in the refund claim has to be

pointed out within 15 days. A form GST RFD-03 will be
issued by the proper officer to the applicant pointing out
the deficiencies through the common portal electronically
requiring him to file a refund application after
rectification of such deficiencies.
Q 26. Can the refund claim be rejected without

assigning any reasons?
Ans. No. When the proper officer is satisfied that the

claim is not admissible he shall issue a notice in Form GST

RFD-08 to the applicant requiring him to furnish a reply
in GST RFD -09 within fifteen days and after consideration
of the applicants reply, he can accept or reject the refund
claim and pass an order in Form GST RFD-06 only.
****
15. Demands and Recovery
Q 1. Which are the applicable sections for the

purpose of recovery of tax short paid or not paid or
amount erroneously refunded or input tax credit
wrongly availed or utilized?
Ans. Section 73 deals with the cases where there is no

invocation of fraud/suppression/mis-statement etc. Section
74 deals with cases where the provisions related to
fraud/suppression/mis-statement etc. are invoked.
Q 2. What if person chargeable with tax, pays the

amount along with interest before issue of show
cause notice under section 73?
Ans. In such cases notice shall not be issued by the proper
officer. {sec.73 (6)}
Q 3. If show cause notice is issued under Section 73

and thereafter the noticee makes payment along
with applicable interest, is there any need to
adjudicate the case?
Ans. If the person pays the tax along with interest within 30
days of issue of notice, no penalty shall be payable and all
proceedings in respect of such notice shall be deemed to be
concluded. {sec.73 (8)}
Q 4. What is the relevant date for issue of Show
Cause Notice?
Ans.
(i) In case of section 73(cases other than fraud/
suppression of facts/willful misstatement),
the relevant date shall be counted from the
due date for filing of annual return for the
financial year to which demand relates to.
The SCN has to be adjudicated within at

period of three years from the due date of
filing of annual return. The SCN is required to
be issued at least three months prior to the
time limit set for adjudication.
{sec.73(2&10)}
(ii) In case of section 74(cases involving fraud/
the relevant date shall be counted from the
due date for filing of annual return for the
financial year to which demand relates to.
The SCN has to be adjudicated within at
period of five years from the due date of filing
of annual return. The SCN is required to be
issued at least six months prior to the time
limit set for adjudication.
{sec.74(2&10)}
Q 5. Is there any time limit for adjudication the

cases?
Ans:
(i) In case of section 73(cases other than fraud/
the time limit for adjudication of cases is 3
years from the due date for filing of annual
return for the financial year to which demand
relates to. {sec.73(10)}
(ii) In case of section 74(cases of
fraud/suppression of facts/willful
misstatement), the time limit for adjudication
is 5 years from the due date for filing of
annual return for the financial year to which
demand relates to. {sec.74(10)}
Q 6. Is there any immunity to a person chargeable

with tax in cases of fraud/suppression of facts/
willful misstatement, who pays the amount of

demand along-with interest before issue of notice?
Ans. Yes. Person chargeable with tax, shall have an option to
pay the amount of tax along with interest and penalty equal
to 15% percent of the tax involved, as ascertained either on
his own or ascertained by the proper officer, and on such
payment, no notice shall be issued with respect to the tax so
paid. {sec. 74(6)}
Q 7. If notice is issued under Section 74 and

thereafter the noticee makes payment, is there any
need to adjudicate the case?
Ans. Where the person to whom a notice has been issued
under sub-section (1) of section 74, pays the tax along with
interest with penalty equal to 25% of such tax within 30
days of issue of notice, all proceedings in respect of such
notice shall be deemed to be concluded. {sec.74 (8)}
Q 8. In case a notice is adjudicated under Section 74

and order issued confirming tax demand and
penalty, does the noticee have any option to pay
reduced penalty?
Ans. Yes. if any person pays the tax determined by the order
along with interest and a penalty equivalent to 50% of such
tax within thirty days of the communication of order, all
proceedings in respect of the said tax shall be deemed to be
concluded. {sec.74 (11)}
Q 9. What will happen in cases where notice is

issued but order has not been passed under
section 73 & 74 within time specified for
adjudication under these sections?
Ans. Section 75 (10) provides for deemed conclusion of the
adjudication proceedings if the order is not issued within
time limit prescribed under these sections.
Q 10. What happens if a person collects tax from

another person but does not deposit the same with
Government?
Ans. It is mandatory to pay amount, collected from other
person representing tax under this act, to the government.
For any such amount not so paid, proper officer may issue
SCN for recovery of such amount and penalty equivalent to
such amount. {Sec.76 (1&2)}
Q 11. In case the person does not deposit tax

collected in contravention of Section 76(1), what is
the proper course of action to be taken?
Ans. SCN may be issued and if so, an order shall be passed

following Principles of natural justice within one year of
date of issue of such notice. {sec.76 (2 to 6)}
Q 12. What is the time limit to issue notice in cases

under Section 76 i.e. taxes collected but not paid to
Government?
Ans. There is no time limit. Notice can be issued on
detection of such cases without any time limit.
Q 13. What are the modes of recovery of tax available

to the proper officer?
Ans.
The proper officer may recover the dues in following
manner:
a) Deduction of dues from the amount owned by the tax
authorities payable to such person.
b) Recovery by way of detaining and selling any goods

belonging to such person;
c) Recovery from other person, from whom money is due or
may become due to such person or who holds or may
subsequently hold money for or on account of such person,
to pay to the credit of the Central or a State Government;
d) Distrain any movable or immovable property belonging
to such person, until the amount payable is paid. If the dues
not paid within 30days, the said property is to be sold and
with the proceeds of such sale the amount payable and cost
of sale shall be recovered.
e) Through the Collector of the district in which such person
owns any property or resides or carries on his business, as if
it was an arrear of land revenue.
(f) By way of an application to the appropriate Magistrate

who in turn shall proceed to recover the amount as if it
were a fine imposed by him.
(g) Through enforcing the bond /instrument executed under

this Act or any rules or regulations made thereunder.
(h) CGST arrears can be recovered as an arrear of SGST and

vice-versa.
{sec.79 (1,2,3,4)}
Q 14. Whether the payment of tax dues can be made

in installments?
Ans. On receipt of any such request, Commissioner/Chief
Commissioner may extend the time for payment or allow
payment of any amount due under the Act, other than the
amount due as per the liability self-assessed in any return,
by such person in monthly installments not exceeding
twenty four, subject to payment of interest under section 50
with such limitations and conditions as may be prescribed.
However, where there is default in payment of any one
installment on its due date, the whole outstanding balance

payable on such date shall become payable and recovered
without any further notice. {sec.80}
Q 15. What is the course of recovery in cases where

the tax demand confirmed is enhanced in appeal/
revision proceedings?
Ans. The notice of demand is required to be served only in

respect of the enhanced dues. In so far as the amount
already confirmed prior to disposal of appeal/revision, the
recovery proceedings may be continued from the stage at
which such proceedings stood immediately before such
disposal of appeal/revision. (Sec.84(a))
Q 16. If a taxable person with pending tax dues,

transfers his business to another person, what
would happen to the tax dues?
Ans. The person, to whom the business is transferred, shall
jointly and severally be liable to pay the tax, interest or
penalty due from the taxable person up to the time of such
transfer, whether such dues has been determined before
such transfer, but has remained unpaid or is determined
thereafter. {Sec. 85(1)}
Q 17. What happens to tax dues where the Company

(taxable person) goes into liquidation?
Ans. When any company is wound up, every appointed
receiver of assets (Liquidator) shall give intimation of his
appointment to Commissioner within 30 days. On receipt of
such intimation Commissioner may notify amount sufficient
to recover tax liabilities/dues to the liquidator within 3
months. {Sec. 88(1,2)}
Q 18. What is the liability of directors of the Company

(taxable person) under liquidation?
Ans: When any private company is wound up and any tax or

other dues determined whether before or after liquidation
that remains unrecovered, every person who was a director
of the company during the period for which the tax was due,
shall jointly and severally be liable for payment of dues
unless he proves to the satisfaction of the Commissioner
that such non-recovery is not attributed to any gross
neglect, misfeasance or breach of duties on his part in
relation to the affairs of the company. {Sec.88(3),89}
Q 19. What is the liability of partners of a partnership

firm (Taxable person) to pay outstanding tax?
Ans. Partners of any firm shall jointly and severally be liable
for payment of any tax, interest or penalty.
Firm/ partner shall intimate the retirement of any partner
to the Commissioner by a notice in writing.
Liability to pay tax, interest or penalty up to the date of such
retirement, whether determined on that date or
subsequently, shall be on such partner.
If no intimation is given within one month from the date of
retirement, the liability of such partner shall continue until
the date on which such intimation is received by the
Commissioner. {Sec.90}
Q 20. What happens to the tax liability of a taxable

person, whose business is carried on by any
guardian/ trustee or agent of a minor?
Ans. Where the business in respect of which any tax is

payable is carried on by any guardian / trustee / agent of a
minor or other incapacitated person on behalf of and for the
benefit of such minor/incapacitated person, the tax, interest

or penalty shall be levied upon and recoverable from such
guardian / trustee / agent. {Sec.91}
Q 21. What happens when the estate of a taxable

person is under the control of Court of Wards?
Ans. Where the estate of a taxable person owning a business
in respect of which any tax, interest or penalty is payable is
under the control of the Court of Wards/ Administrator
General / Official Trustee / Receiver or Manager appointed
under any order of a Court, the tax, interest or penalty shall
be levied and recoverable from such Court of
Wards/Administrator General / Official Trustee / Receiver
or Manager to the same extent as it would be determined
and recoverable from a taxable person. {Sec.92}
****
16. Appeals, Review and Revision in

GST
Q 1. Whether any person aggrieved by any order or
decision passed against him has the right to
appeal?
Ans. Yes. Any person aggrieved by any order or decision

passed under the GST Act(s) has the right to appeal under
Section 107. It must be an order or decision passed by an
adjudicating authority.
However, some decisions or orders (as provided for in

Section 121) are not appealable.
Q 2. What is the time limit to file appeal to

Appellate Authority (AA)?
Ans. For the aggrieved person, the time limit is fixed as

3 months from the date of communication of order or
decision. For the department (Revenue), the time limit is 6
months within which review proceedings have to be
completed and appeal filed before the AA
Q 3. Whether the appellate authority has any

powers to condone the delay in filing appeal?
Ans. Yes. He can condone a delay of up to one month from

the end of the prescribed period of 3/6 months for filing
the appeal (3+1/6+1), provided there is sufficient cause
as laid down in the section 107(4).
Q 4. Whether the appellate authority has any

powers to allow additional grounds not specified
in the appeal memo?
Ans. Yes. He has the powers to allow additional grounds

if he is satisfied that the omission was not wilful or
unreasonable.
Q 5. The order passed by Appellate Authority has to

be communicated to whom?
Ans. Appellate Authority has to communicate the copy of

order to the appellant, respondent and the adjudicating
authority with a copy to jurisdictional Commissioner of
CGST and SGST/UTGST.
Q 6. What is the amount of mandatory pre-deposit

which should be made along with every appeal
before Appellate Authority?
Ans. Full amount of tax, interest, fine, fee and penalty

arising from the impugned order as is admitted by the
appellant and a sum equal to 10% of remaining amount
of tax in dispute arising from the order in relation
to which appeal has been filed.
Q 7. Can the Department apply to AA for

ordering a higher amount of pre-deposit?
Ans No
Q 8. What about the recovery of the balance

amount?
Ans. On making the payment of pre-deposit as above, the
recovery of the balance amount shall be deemed to be
stayed, in terms of section 107(7)
Q 9. Whether in an appeal the AA can pass an order

enhancing the quantum of duty/ fine/ penalty/
reduce the amount of refund/ITC from the one

passed by the original authority?
Ans. The AA is empowered to pass an order enhancing the

fees or penalty or fine in lieu of confiscation or reducing
the amount of refund or input tax credit provided the
appellant has been given reasonable opportunity of
showing cause against the proposed detrimental order.
(First Proviso to Section 107(11)).
In so far as the question of enhancing the duty or deciding

wrong availment of ITC is concerned, the AA can do so
only after giving specific SCN to the appellant against the
proposed order and the order itself should be passed within
the time limit specified under Section 73 or Section 74.
(Second Proviso to Section 107(11)).
Q 10. Does the AA have the power to remand

the case back to the adjudicating authority for
whatever reasons?
Ans. No. Section 107(11) specifically states that the AA

shall, after making such inquiry as may be necessary, pass
such order, as he thinks just and proper, confirming,
modifying or annulling the decision or order appealed
against, but shall not refer the case back to the
authority that passed the decision or order.
Q 11. Can any CGST/SGST authority r e v i s e a n y

order passed under the Act by his subordinates?
Ans. Section 2(99) of the Act defines Revisional

Authority as an authority appointed or authorised under
this Act for revision of decision or orders referred to in
section 108. Section 108 of the Act authorizes such revisional

authority to call for and examine any order passed by his
subordinates and in case he considers the order of the
lower authority to be erroneous in so far as it is prejudicial
to revenue and is illegal or improper or has not taken into
account certain material facts, whether available at the
time of issuance of the said order or not or in consequence
of an observation by the Comptroller and Auditor General
of India, he may, if necessary, he can revise the order after
giving opportunity of being heard to the noticee.
Q 12. Can the revisional authority order for staying of

operation of any order passed by his
subordinates pending such revision?
Ans. Yes.
Q 13. Are there any fetters to the powers of

revisional authority under GST to revise orders of
subordinates?
Ans. Yes. The revisional authority shall not revise any

order if
(a) the order has been subject to an appeal under
section 107 or under section 112 or under section 117 or
under section 118; or
(b) the period specified under section 107(2) has not yet expired
or more than three years have expired after the passing of
the decision or order sought to be revised.
(c) the order has already been taken up for revision

under this Section at any earlier stage.
Q 14. When the Tribunal is having powers to refuse

to admit the appeal?
Ans. In cases where the appeal involves

tax amount or input tax credit or
the difference in tax or the difference in input tax
credit involved or
amount of fine, fees or amount of penalty
determined by such order,
does not exceed Rs 50,000/-, the Tribunal has discretion to

refuse to admit such appeal. (Section 112(2) of the Act)
Q 15. What is the time limit within which appeal has
to be filed before the Tribunal?
Ans. The aggrieved person has to file appeal before

Tribunal within 3 months from t he date of rec eipt of
the order appealed against. Department has to
complete review proceedings and file appeal within a
period of six months from the date of passing the order
under revision.
Q 16. Can the Tribunal condone delay in filing

appeal before it beyond the period of 3/6
months? If so, till what time?
Ans. Yes, the Tribunal has powers to condone delay of a
further three months, beyond the period of 3/6 months
provided sufficient cause is shown by the appellant for
such delay.
Q 17. What is the time limit for filing memorandum

of cross objections before Tribunal?
Ans. 45 days from the date of receipt of appeal.

Q 18. Whether interest becomes payable on refund

of pre-deposit amount?
Ans. Yes. As per Section 115 of the Act, where an amount

deposited by the appellant under sub-section (6) of section
107 or under sub-section (8) of section 112 is required to
be refunded consequent to any order of the Appellate
Authority or of the Appellate Tribunal, as the case may be,
interest at the rate specified under section 56 shall be
payable in respect of such refund from the date of
payment of the amount till the date of refund of such
amount.
Q 19. An appeal from the order of Tribunal lies to

which forum?
Ans. Appeal against orders passed by the State Bench or

Area Benches of the Tribunal lies to the High Court if the
High Court is satisfied that such an appeal involves a
substantial question of law. (Section 117(1)). However,
appeal against orders passed by the National Bench or
Regional Benches of the Tribunal lies to the Supreme
Court and not High Court. (Under section 109(5) of the
Act, only the National Bench or Regional Benches of the
Tribunal can decide appeals where one of the issues
involved relates to the place of supply.)
Q 20. What is the time limit for filing an appeal

before the High Court?
Ans. 180 days from the date of receipt of the order

appealed against. However, the High Court has the
power to condone further delay on sufficient cause being
shown.
17. Advance Ruling

Q 1. What is the meaning of Advance Ruling?
Ans. As per section 95 of CGST/SGST Law and section 12 of

UTGST law, advance ruling means a decision provided by
the authority or the Appellate Authority to an applicant
on matters or on questions specified in section 97(2) or
100(1) of CGST/SGST Act as the case may be, in relation to
the supply of goods and/or services proposed to be
undertaken or being undertaken by the applicant.
Q 2. Which are the questions for which advance

ruling can be sought?
Ans. Advance Ruling can be sought for the following

questions:
(a) classification of any goods or services or both;
(b) applicability of a notification issued under
provisions of the G S T Act(s);
(c) determination of time and value of supply of
goods or services or both;
(d) admissibility of input tax credit of tax paid or
deemed to have been paid;
(e) determination of the liability to pay tax on any
goods or services under the Act;
(f) whether applicant i s required to be registered
under the Act;
(g) whether any particular thing done by the
applicant with respect to any goods or services
amounts to or results in a supply of goods or

services, within the meaning of that term.
Q 3. What is the objective of having a mechanism of

Advance Ruling?
Ans. The broad objective for setting up such an authority

is to:
i. provide certainty in tax liability in advance in
relation to an activity proposed to be undertaken
by the applicant;
ii. attract Foreign Direct Investment (FDI);
iii. reduce litigation;
iv. pronounce ruling expeditiously in transparent
and inexpensive manner.
Q 4. What will be the composition of Authority for

advance rulings (AAR) under GST?
Ans. Authority for advance ruling (AAR) shall comprise

one m e m b e r C G S T a n d o n e m e m b e r S G S T /
U T G S T . They will be appointed by the Central and State
government respectively.
Q 5. Is it necessary for a person seeking advance

ruling to be registered?
Ans. No, any person registered under the GST Act(s) or

desirous of obtaining registration can be an applicant.
(Section 95(b))
Q 6. At what time an application for advance ruling

be made?
Ans. An applicant can apply for advance ruling even before

taking up a transaction (proposed supply of goods or
services) or in respect of a supply which is being
undertaken. The only restriction is that the question being
raised is already not pending or decided in any proceedings
in the case of applicant.
Q 7. In how much time will the Authority for

Advance Rulings have to pronounce its ruling?
Ans. As per Section 98(6) of CGST/SGST Act, the Authority

shall pronounce its ruling in writing within ninety days
from the date of receipt of application.
Q 8. What is the Appellate authority for advance

ruling (AAAR)?
Ans. Appellate authority for advance ruling (AAAR),

shall be constituted under the SGST Act or UTGST Act and
such AAAR shall be deemed to be the Appellate Authority
under the CGST Act in respect of the respective state or
Union Territory. An applicant, or the jurisdictional officer,
if aggrieved by any advance ruling, may appeal to the
Appellate Authority.
Q 9. How many AAR and AAAR will be constituted

under GST?
Ans. There will be one AAR and AAAR for each State.
Q 10. To whom will the Advance Ruling be

applicable?
Ans. Section 1 0 3 provides that an advance ruling

pronounced by AAR or AAAR shall be binding only on the

applicant who sought it in respect of any matter referred
to in 97 (2) and on the jurisdictional tax authority of the
applicant. This clearly means that an advance ruling is
not applicable to similarly placed taxable persons in the
State. It is only limited to the person who has applied for
an advance ruling.
Q 11. Whether the advance ruling have precedent

value of a judgment of the High Court or the
Supreme Court?
Ans. No, the advance ruling is binding only in respect of

the matter referred. It has no precedent value. However,
even for persons other than applicant, it does have
persuasive value.
Q 12. What is the time period for applicability of

Advance Ruling?
Ans. The law does not provide for a fixed time period
for which the ruling shall apply. Instead, in section
1 0 3 ( 2 ) , it is provided that advance ruling shall be
binding till the period when the law, facts or
circumstances supporting the original advance ruling
have changed. Thus, a ruling shall continue to be in force
so long as the transaction continues and so long as there is
no change in law, facts or circumstances.
Q 13. Can an advance ruling given be nullified?
Ans. Section 104(1) provides that an advance ruling shall

be held to be ab initio void if the AAR or AAAR finds that
the advance ruling was obtained by the applicant by fraud

or suppression of material facts or misrepresentation of facts.
In such a situation, all the provisions of the GST Act(s) shall
apply to the applicant as if such advance ruling had never
been made (but excluding the period when advance ruling
was given and up to the period when the order declaring it
to be void is issued). An order declaring advance ruling to be
void can be passed only after hearing the applicant.
Q 14. What is the procedure for obtaining Advance
Ruling?
Ans. Section 97 and 98 deals with procedure for obtaining

advance ruling. Section 97 provides that the applicant
desirous of obtaining advance ruling should make
application to AAR in a prescribed form and manner. The
format of the form and the detailed procedure for making
application will be prescribed in the Rules.
Section 98 provides the procedure for dealing with the

application for advance ruling. The AAR shall send a copy
of application to the officer in whose jurisdiction the
applicant falls and call for all relevant records. The AAR
may then examine the application along with the records
and may also hear the applicant. Thereafter AAR will pass
an order either admitting or rejecting the application.
Q 15. Under what circumstances will the application

for Advance Ruling be compulsorily rejected?
Ans. Application has to be rejected if the question raised

in the application is already pending or decided in any
proceedings in the case of applicant under any of the
provisions of GST Act(s)
If the application is rejected, it should be by way of a
speaking order giving the reasons for rejection.
Q 16. What is the procedure to be followed by AAR

once the application is admitted?
Ans. If the application is admitted, the AAR shall
pronounce its ruling within ninety days of receipt of
application. Before giving its ruling, it shall examine the
application and any further material furnished by the
applicant or by the concerned departmental officer.
Before giving the ruling, AAR must hear the applicant or
his authorized representative as well as the jurisdictional
officers of CGST/SGST/UTGST.
Q 17. What happens if there is a difference of opinion

amongst members of AAR?
Ans. If there is difference of opinion between the two

members of AAR, they shall refer the point or points on
which they differ to the AAAR for hearing the issue. If the
members of AAAR are also unable to come to a common
conclusion in regard to the point(s) referred to them by
AAR, then it shall be deemed that no advance ruling can be
given in respect of the question on which difference persists
at the level of AAAR.
Q 18. What are the provisions for appeals against

order of AAR?
Ans. The provisions of appeal before AAAR are dealt in

section 100 and 101 of CGST/SGST Act or section 14 of the
UTGST Act.
If the applicant is aggrieved with the finding of the AAR, he

can file an appeal with AAAR. Similarly, if the concerned
or jurisdictional officer of CGST/SGST/UTGST does not

agree with the finding of AAR, he can also file an appeal
with AAAR. The word concerned officer of CGST/SGST
means an officer who has been designated by the
CGST/SGST administration in regard to an application
for advance ruling. In normal circumstances, the
concerned officer will be the officer in whose jurisdiction
the applicant is located. In such cases the concerned
officer will be the jurisdictional CGST/SGST officer.
Any appeal must be filed within thirty days from the

receipt of the advance ruling. The appeal has to be in
prescribed form and has to be verified in prescribed
manner. This will be prescribed in the Model GST Rules.
The Appellate Authority must pass an order after hearing

the parties to the appeal within a period of ninety days of
the filing of an appeal. If members of AAAR differ on any
point referred to in appeal, it shall be deemed that no
advance ruling is issued in respect of the question under
appeal.
Q 19. Whether Appeal can be filed before High Court

or Supreme Court against the ruling of Appellate
Authority for Advance Rulings?
Ans The CGST /SGST Act do not provide for any appeal
against the ruling of Appellate Authority for Advance
Rulings. Thus no further appeals lie and the ruling shall be
binding on the applicant as well as the jurisdictional
officer in respect of applicant.
However, Writ Jurisdiction may lie before Honble High
Court or the Supreme Court.
Q 20. Can the AAR & AAAR order for rectification of

mistakes in the ruling?
Ans. Yes, AAR and AAAR h a v e p o w e r to amend their

order to rectify any mistake apparent from the record
within a period of six months from the date of the order.
Such mistake may be noticed by the authority on its
own accord or may be brought to its notice by the
applicant or the concerned or the jurisdictional
CGST/SGST officer. If a rectification has the effect of
enhancing the tax liability or reducing the quantum of
input tax credit, the applicant or the appellant must be
heard before the order is passed. (Section 102)
18. Settlement Commission [Omitted]
Omitted as the chapter is no longer there in the

Final GST Act(s)
19. Inspection, Search, Seizure and

Arrest
Q 1. What is the meaning of the term Search?
Ans. As per law dictionary and as noted in different judicial

pronouncements, the term search, in simple language,
denotes an action of a government machinery to go, look
through or examine carefully a place, area, person, object
etc. in order to find something concealed or for the purpose
of discovering evidence of a crime. The search of a person
or vehicle or premises etc. can only be done under proper
and valid authority of law.
Q 2. What is the meaning of the term Inspection?
Ans. Inspection is a new provision under the CGST/SGST

Act. It is a softer provision than search to enable officers to
access any place of business of a taxable person and also
any place of business of a person engaged in transporting
goods or who is an owner or an operator of a warehouse
or godown.
Q 3. Who can order for carrying out Inspection

and under what circumstances?
Ans. As per Section 67 of CGST/SGST Act, Inspection

can be carried out by an officer of CGST/SGST only upon a
written authorization given by an officer of the rank of
Joint Commissioner or above. A Joint Commissioner or an
officer higher in rank can give such authorization only if
he has reasons to believe that the person concerned has
done one of the following:
i. suppressed any transaction of supply;

ii. suppressed stock of goods in hand;

iii. claimed excess input tax credit;
iv. contravened any provision of the CGST/SGST
Act to evade tax;
v. a transporter or warehouse owner has kept
goods which have escaped payment of tax or
has kept his accounts or goods in a manner that
is likely to cause evasion of tax.
Q 4. Can the proper officer authorize Inspection of

any assets/premises of any person under this
Section?
Ans. No. Authorization can be given to an officer of CGST/

SGST to carry out inspection of any of the following:
i. any place of business of a taxable person;
ii. any place of business of a person engaged in the
business of transporting goods whether or not
he is a registered taxable person;
iii. any place of business of an owner or an operator
of a warehouse or godown.
Q 5. Who can order for Search and Seizure under

the provisions of CGST Act?
Ans. An officer of the rank of Joint Commissioner or above

can authorize an officer in writing to carry out search and
seize goods, documents, books or things. Such authorization
can be given only where the Joint Commissioner has reasons
to believe that any goods liable to confiscation or any
documents or books or things relevant for any proceedings
are hidden in any place.
Q 6. What is meant by reasons to believe?
Ans. Reason to believe is to have knowledge of facts

which, although not amounting to direct knowledge,

would cause a reasonable person, knowing the same
facts, to reasonably conclude the same thing. As per
Section 26 of the IPC, 1860, A person is said to have
reason to believe a thing, if he has sufficient cause to
believe that thing but not otherwise. Reason to believe
contemplates an objective determination based on
intelligent care and evaluation as distinguished from a
purely subjective consideration. It has to be and must
be that of an honest and reasonable person based on
relevant material and circumstances.
Q 7. Is it mandatory that such reasons to believe

has to be recorded in writing by the proper
officer, before issuing authorization for
Inspection or Search and Seizure?
Ans. Although the officer is not required to state the

reasons for such belief before issuing an authorization
for search, he has to disclose the material on which his
belief was formed. Reason to believe need not be
recorded invariably in each case. However, it would be
better if the materials / information etc. are recorded
before issue of search warrant or before conducting
search.
Q 8. What is a Search Warrant and what are its

contents?
Ans. The written authority to conduct search is generally

called search warrant. The competent authority to
issue search warrant is an officer of the rank of Joint
Commissioner or above. A search warrant must indicate
the existence of a reasonable belief leading to the search.
Search Warrant should contain the following details:
i. the violation under the Act,

ii. the premise to be searched,
iii. the name and designation of the person
authorized for search,
iv. the name of the issuing officer with full
designation along with his round seal,
v. date and place of issue,
vi. serial number of the search warrant,
vii. period of validity i.e. a day or two days etc.
Q 9. When does goods become liable to confiscation

under the provisions of CGST/SGST Act?
Ans. As per section 130 of SGST/SGST Act , goods

become liable to confiscation when any person does the
following:
(i) supplies or receives any goods in contravention of
any of the provisions of this Act or rules made
thereunder leading to evasion of tax;
(ii) does not account for any goods on which he is
liable to pay tax under this Act;
(iii) supplies any g o o d s liable to tax under this Act

without having applied for the registration;
(iv) contravenes any of the provisions of the
CGST/ SGST Act or rules made thereunder
with intent to evade payment of tax.
Q 10. What powers can be exercised by an officer

during valid search?
Ans. An officer carrying out a search has the power to search

for and seize goods (which are liable to confiscation) and
documents, books or things (relevant for any proceedings
under CGST/SGST Act) from the premises searched. During

search, the officer has the power to break open the door of
the premises authorized to be searched if access to the same
is denied. Similarly, while carrying out search within the
premises, he can break open any almirah or box if access to
such almirah or box is denied and in which any goods,
account, registers or documents are suspected to be
concealed. He can also seal the premises if access to it denied.
Q 11. What is the procedure for conducting search?
Ans. Section 67(10) of CGST/SGST Act prescribes that

searches must be carried out in accordance with the
provisions of Code of Criminal Procedure, 1973. Section
100 of the Code of Criminal Procedure describes the
procedure for search.
Q 12. What are the basic requirements to be

observed during Search operations?
Ans. The following principles should be observed during

Search:
No search of premises should be carried out

without a valid search warrant issued by the
proper officer.
There should invariably be a lady officer
accompanying the search team to residence.
The officers before starting the search should
disclose their identity by showing their identity
cards to the person in-charge of the premises.
The search warrant should be executed before
the start of the search by showing the same to the
person in-charge of the premises and his signature
should be taken on the body of the search warrant
in token of having seen the same. The signatures of
at least two witnesses should also be taken on the

body of the search warrant.
The search should be made in the presence of at
least two independent witnesses of the locality. If
no such inhabitants are available
/willing, the inhabitants of any other locality
should be asked to be witness to the search. The
witnesses should be briefed about the purpose of
the search.
Before the start of the search proceedings, the
team of officers conducting the search and the
accompanying witnesses should offer themselves for
their personal search to the person in-charge of the
premises being searched. Similarly, after the
completion of search all the officers and the
witnesses should again offer themselves for their
personal search.
A Panchnama / Mahazar of the proceedings of
the search should necessarily be prepared on
the spot. A list of all goods, documents recovered
and seized/detained should be prepared and
annexed to the Panchnama/Mahazar. The
Panchnama / Mahazar and the list of goods/
documents seized/detained should invariably be
signed by the witnesses, the in-
charge/ owner of the premises before whom
the search is conducted and also by the
officer(s) duly authorized for conducting the
search.
After the search is over, the search warrant
duly executed should be returned in original to
the issuing officer with a report regarding the
outcome of the search. The names of the officers
who participated in the search may also be
written on the reverse of the search warrant.

The issuing authority of search warrant should
maintain register of records of search warrant
issued and returned and used search warrants
should be kept in records.
A copy of the Panchnama / Mahazar along with
its annexure should be given to the person in-
charge/owner of the premises being searched
under acknowledgement.
Q 13. Can a CGST/SGST officer access business

premises under any other circumstances?
Ans. Yes. Access can also be obtained in terms of Section

65 of CGST/SGST Act. This provision of law is meant to
allow an audit party of CGST/SGST or C&AG or a cost
accountant or chartered accountant nominated under
section 66 of CGST/SGST Act, access to any business
premises without issuance of a search warrant for the
purposes of carrying out any audit, scrutiny, verification
and checks as may be necessary to safeguard the interest
of revenue. However, a written authorization is to be
issued by an officer of the rank of Commissioner of CGST or
SGST. This provision facilitates access to a business
premise which is not registered by a taxable person as a
principal or additional place of business but has books of
accounts, documents, computers etc. which are required
for audit or verification of accounts of a taxable person.
Q 14. What is meant by the term Seizure?
Ans. The term seizure has not been specifically defined

in the Model GST Law. In Law Lexicon Dictionary, seizure
is defined as the act of taking possession of property by
an officer under legal process. It generally implies taking
possession forcibly contrary to the wishes of the owner

of the property or who has the possession and who was
unwilling to part with the possession.
Q 15. Does GST Act(s) h a ve any power of

d et ent i on of goods and conveyances?
Ans. Yes, under Section 129 of CGST/SGST Act, an officer

has power to detain goods along with the conveyance
(like a truck or other types of vehicle) transporting the
goods. This can be done for such goods which are being
transported or are stored in transit in violation of the
provisions of CGST/SGST Act. Goods which are stored or
are kept in stock but not accounted for can also be
detained. Such goods and conveyance shall be released
after payment of applicable tax or upon furnishing
security of equivalent amount.
Q 16. What is the distinction in law between Seizure

and Detention?
Ans. Denial of access to the owner of the property or the

person who possesses the property at a particular point
of time by a legal order/notice is called detention. Seizure
is taking over of actual possession of the goods by the
department. Detention order is issued when it is suspected
that the goods are liable to confiscation. Seizure can be
made only on the reasonable belief which is arrived at
after inquiry/investigation that the goods are liable to
confiscation.
Q 17. What are the safeguards provided in G S T

A c t ( s ) in respect of Search or Seizure?
Ans. Certain safeguards are provided in section 67 of

CGST/SGST Act in respect of the power of search or seizure.

These are as follows:
i. Seized goods o r documents should n o t be
retained beyond the period necessary for their
examination;
ii. Photocopies of the documents can be taken by
the person from whose custody documents are
seized;
iii. For seized goods, if a notice is not issued within
six months of its seizure, goods shall be
returned to the person from whose possession it
was seized. This period of six months can be
extended on justified grounds up to a further
period of maximum six months;
iv. An inventory of seized goods shall be made by

the seizing officer;
v. Certain categories of goods to be specified under
CGST Rules (such as perishable, hazardous etc.)
can be disposed of immediately after seizure;
vi. Provisions of Code of Criminal Procedure 1973
relating to search and seizure shall apply.
However, one important modification is in
relation to sub-section (5) of section 165 of
Code of Criminal Procedure instead of sending
copies of any record made in course of search
to the nearest Magistrate empowered to take
cognizance of the offence, it has to be sent to
the Principal Commissioner/ Commissioner of
CGST/ Commissioner of SGST.
Q 18. Is there any special document required to be

carried during transport of taxable goods?
Ans. Under section 68 of CGST /SGST Act, a person in

charge of a conveyance carrying any consignment of
goods of value exceeding a specified amount may be
required to carry a prescribed document as may be
prescribed.
Q 19. What is meant by the term arrest?
Ans. The term arrest has not been defined in the

CGST/SGST Act. However, as per judicial
pronouncements, it denotes the taking into custody of a
person under some lawful command or authority. In other
words, a person is said to be arrested when he is taken and
restrained of his liberty by power or colour of lawful
warrant.
Q 20. When can the proper officer authorize arrest

of any person under CGST / SGST Act?
Ans. The Commissioner of CGST/SGST can authorize a

CGST/SGST officer to arrest a person if he has reasons to
believe that the person has committed an offence attracting
a punishment prescribed under section 132(1) (a), (b), (c),
(d) or Sec 132(2) of the CGST/SGST Act. This essentially
means that a person can be arrested only where the tax
evasion is more than 2 crore rupees or where a he has
been convicted earlier under CGST Act.
Q 21. What are the safeguards provided under CGST

/SGST Act for a person who is placed under
arrest?
Ans. There are certain safeguards provided under section

69 for a person who is placed under arrest. These are:
a. If a person is arrested for a cognizable
offence, he must be informed in writing of

the grounds of arrest and he must be
produced before a magistrate within 24
hours of his arrest;
i. If a person is arrested for a non-
cognizable and bailable offence, the
Deputy/ Assistant Commissioner of
CGST/SGST can release him on bail
and he will be subject to the same
provisions as an officer in-charge of a
police station under section 436 of the
Code of Criminal Procedure, 1973;
ii. All arrest must be in accordance with
the provisions of the Code of Criminal
Procedure,1973 relating to arrest.
Q 22. What are the precautions to be taken during

arrest?
Ans. The provisions of the Code of Criminal Procedure,

1973 (2 of 1974) relating to arrest and the procedure
thereof must be adhered to. It is therefore necessary that
all field officers of CGST/SGST be fully familiar with the
provisions of the Code of Criminal Procedure, 1973.
One important provision to be taken note of is section 57 of

Cr.P.C., 1973 which provides that a person arrested without
warrant shall not be detained for a longer period than,
under the circumstances of the case, is reasonable but this
shall not exceed twenty four hours (excluding the journey
time from place of arrest to the Magistrates court). Within
this period, as provided under section 56 of Cr.P.C., the
person making the arrest shall send the person arrested
without warrant before a Magistrate having jurisdiction
in the case.
In a landmark judgment in the case of D.K. Basu v. State

of West Bengal reported in 1997 (1) SCC 416, the Honble

Supreme Court has laid down specific guidelines required
to be followed while making arrests. While this is in relation
to police, it needs to be followed by all departments having
power of arrest. These are as under:
i. The police personnel carrying out the arrest and
handling the interrogation of the arrestee should
bear accurate, visible and clear identification
and name tags with their designations. The
particulars of all such police personnel who
handle interrogation of the arrestee must be
recorded in a register.
ii. The police officer carrying out the arrest shall
prepare a memo of arrest at the time of arrest
and such memo shall be attested by at least one
witness, who may be either a member of the
family of the arrestee or a respectable person of
the locality from where the arrest is made. It
shall also be counter signed by the arrestee and
shall contain the time and date of arrest.
iii. A person who has been arrested or detained and
is being held in custody in a police station or
interrogation center or other lock up, shall be
entitled to have one friend or relative or other
person known to him or having interest in his
welfare being informed, as soon as practicable,
that he has been arrested and is being detained at
the particular place, unless the attesting witness of
the memo of arrest is himself such a friend or a
relative of the arrestee.
iv. The time, place of arrest and venue of custody of an
arrestee must be notified by the police where the
next friend or relative of the arrestee lives outside
the district or town through the Legal Aid
Organization in the District and the police station

of the area concerned telegraphically within a
period of 8 to 12 hours after the arrest.
v. An entry must be made in the diary at the place of
detention regarding the arrest of the person which
shall also disclose the name of the next friend of
the person who has been informed of the arrest
and the names and particulars of the police
officials in whose custody the arrestee is.
vi. The arrestee should, where he so requests, be
also examined at the time of his arrest and major
and minor injuries, if any present on his/her
body, must be recorded at that time. The
Inspection Memo must be signed both by the
arrestee and the police officer effecting the arrest
and its copy provided to the arrestee.
vii. The arrestee should be subjected to medical
examination by the trained doctor every 48
hours during his detention in custody by a doctor
on the panel of approved doctors appointed by
Director, Health Services of the concerned State
or Union Territory, Director, Health Services
should prepare such a panel for all Tehsils and
Districts as well.
viii. Copies of all the documents including the memo
of arrest, referred to above, should be sent to the
Magistrate for his record.
ix. The arrestee may be permitted to meet his lawyer
during interrogation, though not throughout
the interrogation.
x. A police control room should be provided at
all district and State headquarters where
information regarding the arrest and the place
of custody of the arrestee shall be communicated

by the officer causing the arrest, within 12 hours
of effecting the arrest and at the police control
room it should be displayed on a conspicuous
notice board.
Q 23. What a r e t h e b r o a d g u i d e l i n e s f o r
a r r e s t followed in CBEC?
Ans. Decision to arrest needs to be taken on case-to-
case basis considering various factors, such as, nature
and gravity of offence, quantum of duty evaded or credit
wrongfully availed, nature and quality of evidence,
possibility of evidences being tampered with or witnesses
being influenced, cooperation with the investigation,
etc. Power to arrest has to be exercised after careful
consideration of the facts of the case which may include:
i. to ensure proper investigation of the offence;
ii. to prevent such person from absconding;
iii. cases involving organized smuggling of goods or
evasion of customs duty by way of concealment;
iv. master minds or key operators effecting proxy/
benami imports/exports in the name of dummy
or non-existent persons/IECs, etc.;
v. where the intent to evade duty is evident and
element of mensrea/guilty mind is palpable;
vi. prevention of the possibility of tampering with
evidence;
vii. intimidating or influencing witnesses; and
viii. large amounts of evasion of duty or service tax
at least exceeding one crore rupees.
Q 24. What is a cognizable offence?

Ans. Generally, cognizable offence means serious category of

offences in respect of which a police officer has the authority
to make an arrest without a warrant and to start an
investigation with or without the permission of a court.
Q 25. What is a non-cognizable offence?
Ans. Non-cognizable offence means relatively less serious

offences in respect of which a police officer does not have
the authority to make an arrest without a warrant and an
investigation cannot be initiated without a court order.
Q 26. What are cognizable and non-cognizable

offences under CGST Act?
Ans. In section 132 of CGST Act, it is provided that the

offences relating to taxable goods and /or services where
the amount of tax evaded or the amount of input tax
credit wrongly availed or the amount of refund wrongly
taken exceeds Rs. 5 crore, shall be cognizable and non-
bailable. Other offences under the act are non-cognizable
and bailable.
Q 27. When can the proper officer issue summons

under CGST Act?
Ans. Section 70 of CGST/SGST Act gives powers to a duly

authorized CGST/SGST officer to call upon a person by
issuing a summon to present himself before the officer
issuing the summon to either give evidence or produce a
document or any other thing in any inquiry which an
officer is making. A summons to produce documents or
other things may be for the production of certain specified
documents or things or for the production of all
documents or things of a certain description in the
possession or under the control of the person summoned.
Q 28. What are the responsibilities of the person so

summoned?
Ans. A person who is issued summon is legally bound to

attend either in person or by an authorized representative
and he is bound to state the truth before the officer who has
issued the summon upon any subject which is the subject
matter of examination and to produce such documents
and other things as may be required.
Q 29. What can be the consequences of non-

appearance to summons?
Ans. The proceeding before the official who has issued

summons is deemed to be a judicial proceeding. If a
person does not appear on the date when summoned
without any reasonable justification, he can be
prosecuted under section 174 of the Indian Penal Code
(IPC). If he absconds to avoid service of summons, he can
be prosecuted under section 172 of the IPC and in case
he does not produce the documents or electronic records
required to be produced, he can be prosecuted under
section 175 of the IPC. In case he gives false evidence, he
can be prosecuted under section 193 of the IPC. In
addition, if a person does not appear before a CGST/
SGST officer who has issued the summon, he is liable to a
penalty up to Rs 25,000/- under section 122(3)(d) of
CGST/SGST Act.
Q 30. What are the guidelines for issue of

summons?
Ans. The Central Board of Excise and Customs (CBEC)

in t h e D e p a r t m e n t o f R e v e n u e , M i n i s t r y o f
F i n a n c e has issued guidelines from time to time to
ensure that summons provisions are not misused in the
field. Some of the important highlights of these

guidelines are given below:
i. summons are to be issued as a last resort where
assesses are not co-operating and this section
should not be used for the top management;
ii. the language of the summons should not be harsh
and legal which causes unnecessary mental
stress and embarrassment to the receiver;
iii. summons by Superintendents should be issued
after obtaining prior written permission from
an officer not below the rank of Assistant
Commissioner with the reasons for issuance of
summons to be recorded in writing;
iv. where for operational reasons, it is not possible
to obtain such prior written permission, oral/
telephonic permission from such officer must be
obtained and the same should be reduced to
writing and intimated to the officer according
such permission at the earliest opportunity;
v. in all cases, where summons are issued, the
officer issuing summons should submit a report
or should record a brief of the proceedings in
the case file and submit the same to the officer
who had authorized the issuance of summons;
vi. senior management officials such as CEO, CFO,
General Managers of a large company or a Public
Sector Undertaking should not generally be
issued summons at the first instance. They should
be summoned only when there are indications
in the investigation of their involvement in the
decision making process which led to loss of
revenue.
Q 31. What are the precautions to be observed while

issuing summons?
Ans. The following precautions should generally be

observed when summoning a person: -
(i) A summon should not be issued for appearance
where it is not justified. The power to summon
can be exercised only when there is an inquiry
being undertaken and the attendance of the
person is considered necessary.
(ii) Normally, summons should not be issued
repeatedly. As far as practicable, the statement
of the accused or witness should be recorded in
minimum number of appearances.
(iii) Respect the time of appearance given in the
summons. No person should be made to wait
for long hours before his statement is recorded
except when it has been decided very consciously
as a matter of strategy.
(iv) Preferably, statements should b e recorded
during office hours; however, an exception could
be made regarding time and place of recording
statement having regard to the facts in the case.
Q 32. Are there any class of officers who are required

to assist CGST/SGST officers?
Ans. Under section 72 of CGST/SGST Act, the following

officers have been empowered and are required to assist
CGST/SGST officers in the execution of CGST/SGST Act. The
categories specified are as follows:
i. Police;
ii. Railways
iii. Customs;
iv. Officers of State/UT/ Central Government

engaged in collection of GST;
v. Officers of State/UT/ Central Government
engaged in collection of land revenue;
vi. All village officers;
vii. Any other class of officers as may be notified
by the Central/State Government.
****
20. Offences, Penalties, Prosecution and

Compounding
Q 1. What are the prescribed offences under
CGST/SGST Act?
Ans. The CGST/SGST Act codifies the offences and penalties

in Chapter XVI. The Act lists 21 offences in section 122,
apart from the penalty prescribed under section 1 0 for
availing compounding by a taxable person who is not
eligible for it. The said offences are as follows: -
1) Making a supply without invoice or with false/
incorrect invoice;
2) Issuing an invoice without making supply;
3) Not paying tax collected for a period exceeding
three months;
4) Not paying tax collected in contravention of the
CGST/SGST Act for a period exceeding 3 months;
5) Non deduction or lower deduction of tax
deducted at source or not depositing tax
deducted at source under section 51;
6) Non collection or lower collection of or non-
payment of tax collectible at source under
section 52;
7) Availing/utilizing input tax credit without
actual receipt of goods and/or services;
8) Fraudulently obtaining any refund;
9) Availing/distributing input tax credit by an Input
Service Distributor in violation of Section 20;
10) Furnishing false information or falsification of
financial records or furnishing of fake accounts/
documents with intent to evade payment of tax;
11) Failure to register despite being liable to pay

tax;
12) Furnishing false information regarding
registration particulars either at the time of
applying for registration or subsequently;
13) Obstructing or preventing any official in
discharge of his duty;
14) Transporting goods without prescribed
documents;
15) Suppressing turnover leading to tax evasion;
16) Failure to maintain accounts/documents in the
manner specified in the Act or failure to retain
accounts/documents for the period specified in the
Act;
17) Failure to furnish information/documents
required by an officer in terms of the Act/Rules or
furnishing false information/documents during
the course of any proceeding;
18) Supplying/transporting/storing any goods
liable to confiscation;
19) Issuing invoice or document using GSTIN of
another person;
20) Tampering/destroying any material evidence;
21) Disposing of /tampering with goods detained/
seized/attached under the Act.
Q 2. What is meant by the term penalty?
Ans. The word penalty has not been defined in the

CGST/SGST Act but judicial pronouncements and
principles of jurisprudence have laid down the nature of a
penalty as:
a temporary punishment or a sum of money
imposed by statute, to be paid as punishment for
the commission of a certain offence;
a punishment imposed by law or contract for
doing or failing to do something that was the
duty of a party to do.
Q 3. What are the general disciplines to be

followed while imposing penalties?
Ans. The levy of penalty is subject to a certain disciplinary

regime which is based on jurisprudence, principles of
natural justice and principles governing international
trade and agreements. Such general discipline is enshrined
in section 126 of the Act. Accordingly
no penalty is to be imposed without issuance of
a show cause notice and proper hearing in the
matter, affording an opportunity to the person
proceeded against to rebut the allegations
levelled against him,
the penalty is to depend on the totality of the
facts and circumstances of the case,
the penalty imposed is to be
commensurate with the degree and severity
of breach of the provisions of the law or the
rules alleged,
the nature of the breach is to be specified clearly

in the order imposing the penalty,
the provisions of the law under which the penalty
has been imposed is to be specified.
Section 126 further specifies that, in particular, no

substantial penalty is to be imposed for
any m i n o r b r e a c h ( minor b r e a c h h a s
b e e n defined as a violation of the provisions in
a case where the tax involved is less than
Rs.5000), or
a procedural requirement of the law, or
an easily rectifiable mistake/omission in
documents (explained in the law as an error
apparent on record) that has been made without
fraudulent intent or gross negligence.
Further, wherever penalty of a fixed amount or a fixed

percentage has been provided in the CGST/SGST Act, the
same shall apply.
Q 4. What is the quantum of penalty provided for

in the CGST /SGST Act?
Ans. Section 122(1) provides that any taxable person

who has committed any of the offences mentioned in
section 122 shall be punished with a penalty that shall be
higher of the following amounts:
The amount of tax evaded, fraudulently obtained
as refund, availed as credit, or not deducted or
collected or short deducted or short collected,
or
A sum of Rs. 10,000/-.
Further Section 122(2) provides that any registered person

who has not paid tax or makes a short payment of taxon
supplies shall be a liable to penalty which will be the higher
of:
10% of the tax not paid or short paid, or

Rs. 10,000/-
Q 5. Is any penalty prescribed for any person other

than the taxable person?
Ans. Yes. Section 122(3) provides for levy of penalty

extending to Rs. 25,000/- for any person who-
aids or abets any of the 21 offences,
deals in any way (whether receiving, supplying,
storing or transporting) with goods that are
liable to confiscation,
receives or d e al s w i t h s u p p l y o f s e r v i c e s
i n contravention of the Act,
fails to appear before an authority who has
issued a summon,
fails to issue any invoice for a supply or account
for any invoice in his books of accounts.
Q 6. What is the penalty provided for any

contravention for which no separate penalty has
been prescribed under CGST/SGST Act?
Ans. Section 125 of the CGST/SGST Act provides that any

person who contravenes any provision of the Act or the
rules made under this Act for which no separate penalty
has been prescribed shall be punishable with a penalty
that may extend to Rs. 25,000/-
Q 6. What action can be taken for transportation

of goods without valid documents or attempted to
be removed without proper record in books?
Ans. If any person transports any goods or stores any

such goods while in transit without the documents
prescribed under the Act (i.e. invoice and a declaration)
or supplies or stores any goods that have not been
recorded in the books or accounts maintained by him,
then such goods shall be liable for detention along with

any vehicle on which they are being transported.
Where owner comes forward: - Such goods shall be
released on payment of the applicable tax and penalty
equal to 100% tax or upon furnishing of security
equivalent to the said amount.
In case of exempted goods, penalty is 2% of value of
goods or Rs 25,000/- whichever is lesser.
Where owner does not come forward: - Such goods
shall be released on payment of the applicable tax and
penalty equal to 50% of value of goods or upon
furnishing of security equivalent to the said amount.
In case of exempted goods, penalty is 5% of value of
goods or Rs 25,000/- whichever is lesser.
Q 7. What is the penalty prescribed for a person

who opts for composition scheme despite being
ineligible for the said scheme?
Ans. Section 10(5) provides that if a person who has paid

under composition levy is found as not being eligible for
compounding then such person shall be liable to penalty
to an amount equivalent to the tax payable by him under
the provisions of the Act i.e. as a normal taxable person
and that this penalty shall be in addition to the tax
payable by him.
Q 8. What is meant by confiscation?
Ans. The word confiscation has not been defined in the

Act. The concept is derived from Roman Law wherein it
meant seizing or taking into the hands of emperor, and
transferring to Imperial fiscus or Treasury. The word
confiscate has been defined in Aiyars Law Lexicon as to
appropriate (private property) to the public treasury by

way of penalty; to deprive of property as forfeited to the
State.
In short in means transfer of the title to the goods to the

Government.
Q 9. Under which circumstances can goods be
confiscated under CGST/SGST Act?
Ans. Under Section 70 of the CGST Act, goods shall be liable to

confiscation if any person:
supplies or receives any goods in contravention

of any provision of this Act and such
contravention results in evasion of tax payable
under the Act, or
does not account for any goods in the manner
required under the Act, or
supplies goods that are liable to tax under the
Act without applying for registration, or
uses any conveyance as a means of transport
for carriage of goods in contravention of the
provisions of CGST/SGST Act (unless used
without knowledge of owner)
contravenes any provision of the Act/Rules with
the intention of evading payment of tax.
Q 10. What happens to the goods upon confiscation
of goods by the proper officer?
Ans. Upon confiscation, the title in the confiscated goods

shall vest in the Government and every Police officer to
whom the proper officer makes a request in this behalf,
shall assist in taking possession of the goods.
Q 11. After confiscation, is it required to give option

to the person to redeem the goods?
Ans. Yes. In terms of section 130(2), the Owner or the

person in-charge of the goods liable to confiscation is to
be given the option for fine (not exceeding market price of
confiscated goods) in lieu of confiscation. This fine shall be
in addition to the tax and other charges payable in respect
of such goods.
Q 12. Can any conveyance carrying goods without

cover of prescribed documents be subject to
confiscation?
Ans. Yes. Section 130 provides that any conveyance

carrying goods without the cover of any documents or
declaration prescribed under the Act shall be liable to
confiscation. However, if the owner of the conveyance
proves that the goods were being transported without
cover of the required documents/declarations without his
knowledge or connivance or without the knowledge or
connivance of his agent then the conveyance shall not be
liable to confiscation as aforesaid.
Q 13. What is Prosecution?
Ans. Prosecution is the institution or commencement of

legal proceeding; the process of exhibiting formal charges
against the offender. Section 198 of the Criminal Procedure
Code defines prosecution as the institution and carrying
on of the legal proceedings against a person.
Q 14. Which are the offences which warrant
prosecution under the CGST/SGST Act?
Ans. Section 73 of the CGST/SGST Act codifies the major

offences under the Act which warrant institution of
criminal proceedings and prosecution. 12 such major
offences have been listed as follows:

a) Making a supply without issuing an invoice or upon
issuance of a false/incorrect invoice;
b) Issuing an invoice without making supply;
c) Not paying any amount collected as tax for a period
exceeding 3 months;
d) Availing or utilizing credit of input tax without actual
receipt of goods and/or services;
e) Obtaining any fraudulent refund)
f) evades tax, fraudulently avails ITC or obtains refund
by an offence not covered under clause (a) to (e);
g) Furnishing false information or falsification of
financial records or furnishing of fake accounts/
documents with intent to evade payment of tax;
h) Obstructing or preventing any official in the
discharge of his duty;
i) Dealing with goods liable to confiscation i.e.
receipt, supply, storage or transportation of goods
liable to confiscation;
j) Receiving/dealing w i t h su ppl y of se r v i c e s i n
contravention of the Act;
k) tampers with or destroys any material evidence or
documents
l) Failing to supply any information required of him
under the Act/Rules or supplying false information;
m) Attempting to commit or abetting the
commission of any of the offences at (a) to (l) above.
Q 17. What is the punishment prescribed on

conviction of any offence under the CGST/SGST Act?
Ans. The scheme of punishment provided in section 132(1)

is as follows:
Offence involving-- Punishment (Imprisonment

extending to--)
Tax evaded exceeding 5 years and fine
Rs. 5 crore or repeat
offender250 lakh
Tax evaded between Rs. 2 3 years and fine
crore and Rs.5 crore
Tax evaded between Rs.1 1 years and fine

crore and Rs.2 crore
False records 6 months
Obstructing officer
Tamper records
Q 15. What are cognizable and non-cognizable

offences under CGST/SGST Act?
Ans. In terms of Section 132(4) and 132(5) of

CGST/SGST Act
all offences where the evasion of tax is less than Rs.5
crores shall be non-cognizable and bailable,
all offences where the evasion of tax exceeds Rs.5
crores shall be cognizable and non- bailable.
Q 16. Is prior sanction of competent authority

mandatory for initiating prosecution?
Ans. Yes. No person shall be prosecuted for any offence

without the prior sanction of the designated authority.
Q 17. Is mensrea or culpable mental state necessary

for prosecution under CGST/SGST Act?
Ans. Yes. However, Section 135 presumes the existence

of a state of mind (i.e. culpable mental state or mensrea)
required to commit an offence if it cannot be committed
without such a state of mind
Q 18. What is a culpable state of mind?
Ans. While committing an act, a culpable mental state

is a state of mind wherein-
the act is intentional;
the act and its implications are understood and
controllable;
the person committing the act was not
coerced and even overcomes hurdles to the act
committed;
the person believes or has reasons to believe
that the act is contrary to law.
Q 19. Can a company be proceeded against or

prosecuted for any offence under the CGST/SGST
Act?
Ans. Yes. Section 137 of the CGST/SGST ACT provides that

every person who was in-charge of or responsible to a
company for the conduct of its business shall, along-with
the company itself, be liable to be proceeded against and
punished for an offence committed by the company while
such person was in-charge of the affairs of the company. If
any offence committed by the company
has been committed with the consent/
connivance of, or
is attributable to negligence of
any officer of the company then such officer shall be deemed

to be guilty of the said offence and liable to be proceeded
against and punished accordingly.
Q 20. What is meant by compounding of offences?
Ans. Section 3 2 0 o f t h e C o d e o f C r i m i n a l
Procedure defines compounding as to forbear from
prosecution for consideration or any private motive.
Q 21. Can offences under CGST/SGST Act be

compounded?
Ans. Yes. As per section 138 of the CGST/SGST Act, any

offence, other than the following, may upon payment of
the prescribed (compounding) amount be compounded
and such compounding is permissible either before or
after the institution of prosecution:
Offences numbered 1 to 6 of the 12 major
offences (outlined in Q. 16 above), if the person
charged with the offence had compounded
earlier in respect of any of the said offences;
Aiding/abetting offences numbered 1 to 6 of the

12 major offences, if the person charged with
the offence had compounded earlier in respect
of any of the said offences;
Any offence (other than the above offences)
under any SGST Act/IGST Act in respect of a
supply with value exceeding Rs.1 crore, if the
person charged with the offence had
compounded earlier in respect of any of the said
offences;
Any offence which is also an offence under

NDPSA or FEMA or any other Act other than
CGST/SGST;
Compounding is to be permitted only after payment of tax,
interest and penalty and compounding shall not affect any
proceeding already instituted under any other law.
Q 22. Are there any monetary limits prescribed for

compounding of offence?
Ans. Yes. The lower limit for compounding amount is to

be the greater of the following amounts: -
50% of tax involved, or
Rs. 10,000.
The upper limit for compounding amount is to be greater

of the following amounts: -
150% of tax involved or
Rs. 30,000.
Q 23. What is the consequence of compounding of

an offence under CGST/SGST Act?
Ans. Sub-section (3) of section 138 provides that on

payment of compounding amount no further proceeding
to be initiated under this Act and criminal proceeding
already initiated shall stand abated.
****
21. Overview of the IGST Act

Q 1. What is IGST?
Ans. Integrated Goods and Services Tax (IGST) means tax

levied under the IGST Act on the supply of any goods and/ or
services in the course of inter-State trade or commerce.
Q 2. What are inter-state supplies?
Ans. A supply of goods and/or services in the course of

inter-State trade or commerce means any supply where the
location of the supplier and the place of supply are in
different States, two different union territory or in a state
and union territory Further import of goods and services,
supplies to SEZ units or developer, or any supply that is not
an intra state supply. (Section 7 of the IGST Act).
Q 3. How will the Inter-State supplies of Goods and

Services be taxed under GST?
Ans. IGST shall be levied and collected by Centre on inter-

state supplies. IGST would be broadly CGST plus SGST and
shall be levied on all inter-State taxable supplies of goods
and services. The inter-State seller will pay IGST on value
addition after adjusting available credit of IGST, CGST, and
SGST on his purchases. The Exporting State will transfer to
the Centre the credit of SGST used in payment of IGST. The
Importing dealer will claim credit of IGST while discharging
his output tax liability in his own State. The Centre will
transfer to the importing State the credit of IGST used in
payment of SGST. The relevant information is also
submitted to the Central Agency which will act as a clearing
house mechanism, verify the claims and inform the
respective governments to transfer the funds.
Q 4. What are the salient features of the draft IGST

Law?
Ans. The draft IGST law contains 25 sections divided into9

Chapters. The law, inter alia, sets out the rules for
determination of the place of supply of goods. Where the
supply involves movement of goods, the place of supply shall
be the location of goods at the time at which the movement
of goods terminates for delivery to the recipient. Where the
supply does not involve movement of goods, the place of
supply shall be the location of such goods at the time of
delivery to the recipient. In the case of goods assembled or
installed at site, the place of supply shall be the place of such
installation or assembly. Finally, where the goods are
supplied on board a conveyance, the place of supply shall be
the location at which such goods are taken on board.
The law also provides for determination of place of supply of

service where both supplier and recipient are located in
India (domestic supplies) or where supplier or recipient is
located outside India (international supplies). This is
discussed in details in the next Chapter.
It also provides for certain other specific provisions like

payment of tax by online information and database access
service provider located outside India to an unregistered
person in India, upon taking registration in India, under the
IGST Act, following a simplified provision (section 14 of the
IGST Act),
Q 5. What are the advantages of IGST Model?
Ans. The major advantages of IGST Model are:

a. Maintenance of uninterrupted ITC chain on inter-

State transactions;
b. No upfront payment of tax or substantial

blockage of funds for the inter-State seller or buyer;
c. No refund claim in exporting State, as ITC is used up

while paying the tax;
d. Self-monitoring model;
e. Ensures tax neutrality while keeping the tax regime

simple;
f. Simple accounting with no additional

compliance burden on the taxpayer;
g. Would facilitate in ensuring high level of

compliance and thus higher collection efficiency. Model can
handle Business to Business as well as Business to
Consumer transactions.
Q 6. How will imports/exports be taxed under GST?
Ans. All imports/exports will be deemed as inter-state

supplies for the purposes of levy of GST (IGST). The
incidence of tax will follow the destination principle and the
tax revenue in case of SGST will accrue to the State where
the imported goods and services are consumed. Full and
complete set-off will be available as ITC of the IGST paid on
import on goods and services. Exports of goods and services
will be zero rated. The exporter has the option either to
export under bond without payment of duty and claim
refund of ITC or pay IGST at the time of export and claim
refund of IGST. The IGST on imports is leviable under the
provisions of the Customs Tariff Act and shall be levied at
the time of imports along with the levy of the Customs Act
(Section 5 of the IGST Act)
Q 7. How will the IGST be paid?
Ans. The IGST payment can be done utilizing ITC or by

cash. However, the use of ITC for payment of IGST will be
done using the following hierarchy, -
First available ITC of IGST shall be used for

payment of IGST;
Once ITC of IGST is exhausted, the ITC of CGST
shall be used for payment of IGST;
If both ITC of IGST and ITC of CGST are
exhausted, then only the dealer would be
permitted to use ITC of SGST for payment of
IGST.
Remaining IGST liability, if any, shall be discharged using

payment in cash. GST System will ensure maintenance of
this hierarchy for payment of IGST using the credit.
Q 8. How will the settlement between Centre,

exporting state and importing state be done?
Ans. There would be settlement of account between the

Centre and the states on two counts, which are as follows-
Centre and the exporting state: The exporting state

shall pay the amount equal to the ITC of SGST used by the
supplier in the exporting state to the Centre.
Centre and the importing state: The Centre shall pay

the amount equal to the ITC of IGST used by a dealer for
payment of SGST on intra- state supplies.
The settlement would be on cumulative basis for a state

taking into account the details furnished by all the dealer in
the settlement period. Similar settlement of amount would
also be undertaken between CGST and IGST account.
Q 9. What treatment is given to supplies made to

SEZ units or developer?
Ans: Supplies to SEZ units or developer shall be zero rated in

the same manner as done for the physical exports. Supplier
shall have option to make supplies to SEZ without payment
of taxes and claim refunds of input taxes on such supplies
(section 16 of the IGST Act).
Q 10. Are business processes and compliance

requirement same in the IGST and CGST Acts?
Ans: The procedure and compliance requirement are same

for processes likes registration, return filing and payment of
tax. Further, the IGST act borrows the provisions from the
CGST Act as relating to assessment, audit, valuation, time of
supply, invoice, accounts, records, adjudication, appeal etc.
(Section 20 of the IGST Act)
22. Place of Supply of Goods and Service

Q 1. What is the need for the Place of Supply of
Goods and Services under GST?
Ans. The basic principle of GST is that it should effectively

tax the consumption of such supplies at the destination
thereof or as the case may at the point of consumption. So
place of supply provision determines the place i.e. taxable
jurisdiction where the tax should reach. The place of supply
determines whether a transaction is intra-state or inter-
state. In other words, the place of Supply of Goods or
services is required to determine whether a supply is subject
to SGST plus CGST in a given State or union territory or else
would attract IGST if it is an inter-state supply.
Q 2. Why are place of supply provisions different in

respect of goods and services?
Ans. Goods being tangible do not pose any significant

problems for determination of their place of consumption.
Services being intangible pose problems w.r.t determination
of place of supply mainly due to following factors:
(i) The manner of delivery of service could be altered

easily. For example, telecom service could change from
mostly post-paid to mostly pre-paid; billing address could be
changed, billers address could be changed, repair or
maintenance of software could be changed from onsite to
online; banking services were earlier required customer to
go to the bank, now the customer could avail service from
anywhere;
(ii) Service provider, service receiver and the service

provided may not be ascertainable or may easily be
suppressed as nothing tangible moves and there would
hardly be a trail;
(iii) For supplying a service, a fixed location of service

provider is not mandatory and even the service recipient
may receive service while on the move. The location of
billing could be changed overnight;
(iv) Sometime the same element may flow to more than one
location, for example, construction or other services in
respect of a railway line, a national highway or a bridge on
a river which originate in one state and end in the other
state. Similarly, a copy right for distribution and exhibition
of film could be assigned for many states in single
transaction or an advertisement or a programme is
broadcasted across the country at the same time. An airline
may issue seasonal tickets, containing say 10 leafs which
could be used for travel between any two locations in the
country. The card issued by Delhi metro could be used by a
person located in Noida, or Delhi or Faridabad, without the
Delhi metro being able to distinguish the location or
journeys at the time of receipt of payment;
(v) Services are continuously evolving and would thus

continue to pose newer challenges. For example, 15-20
years back no one could have thought of DTH, online
information, online banking, online booking of tickets,
internet, mobile telecommunication etc.
Q 3. What proxies or assumptions in a transaction

can be used to determine the place of supply?
Ans. The various element involved in a transaction in

services can be used as proxies to determine the place of
supply. An assumption or proxy which gives more
appropriate result than others for determining the place of
supply, could be used for determining the place of supply.
The same are discussed below:
(a) location of service provider;
(b) the location of service receiver;
(c) the place where the activity takes place/ place of

performance;
(d) the place where it is consumed; and
(e) the place/person to which actual benefit flows
Q 4. What is the need to have separate rules for

place of supply in respect of B2B (supplies to
registered persons) and B2C (supplies to
unregistered persons) transactions?
Ans. In respect of B2B transactions, the taxes paid are

taken as credit by the recipient so such transactions are just
pass through. GST collected on B2B supplies effectively
create a liability for the government and an asset for the
recipient of such supplies in as much as the recipient is
entitled to use the input tax credit for payment of future
taxes. For B2B transactions the location of recipient takes
care in almost all situations as further credit is to be taken
by recipient. The recipient usually further supplies to
another customer. The supply is consumed only when a B2B
transaction is further converted into B2C transaction. In
respect of B2C transactions, the supply is finally consumed
and the taxes paid actually come to the government.
Q 5. What would be the place of supply where goods

are removed?
Ans. The place of supply of goods shall be the location of

the goods at the time at which the movement of goods
terminates for delivery to the recipient. (Section 10 of IGST
Act)
Q 6. What will be the place of supply if the goods are

delivered by the supplier to a person on the
direction of a third person?
Ans. It would be deemed that the third person has received

the goods and the place of supply of such goods shall be the
principal place of business of such person. (Section 9 of IGST
Act)
Q 7. What will be the place of supply where the

goods or services are supplied on board a
conveyance, such as a vessel, an aircraft, a train or
a motor vehicle?
Ans. In respect of goods, the place of supply shall be the

location at which such goods are taken on board. (Section 9
of IGST Act)
However, in respect of services, the place of supply shall be

the location of the first scheduled point of departure of that
conveyance for the journey. (Section 12 and 13 of IGST Act)
Q 8. What is the default presumption for place of

supply in respect of B2B supply of services?
Ans. The terms used in the IGST Act are registered taxpayers
and non-registered taxpayers. The presumption in case of
supplies to registered person is the location of such person.
Since the recipient is registered, address of recipient is
always there and the same can be taken as proxy for place
of supply.
Q 9. What is the default presumption for place of

supply in respect of unregistered recipients?
Ans. In respect of unregistered recipients, the usual place of

supply is location of recipient. However, in many cases, the
address of recipient is not available, in such cases, location
of the supplier of services is taken as proxy for place of
supply.
Q 10. The place of supply in relation to immovable

property is the location of immovable property.
Suppose a road is constructed from Delhi to
Mumbai covering multiple states. What will be the
place of supply?
Ans. Where the immovable property is located in more than

one State, the supply of service shall be treated as made in
each of the States in proportion to the value for services
separately collected or determined, in terms of the contract
or agreement entered into in this regard or, in the absence
of such contract or agreement, on such other reasonable
basis as may be prescribed in this behalf. (The Explanation
clause to section 12(3) of the IGST Act, for domestic
supplies)
Q 11. What would be the place of supply of services

provided for organizing an event, say, IPL cricket
series which is held in multiple states?
Ans. In case of an event, if the recipient of service is

registered, the place of supply of services for organizing the
event shall be the location of such person.
However, if the recipient is not registered, the place of

supply shall be the place where event is held. Since the event
is being held in multiple states and a consolidated amount is
charges for such services, the place of supply shall be taken
as being in each state in proportion to the value of services
so provided in each state. (The Explanation clause to section
12(7) of the IGST Act)
Q 12. What will be the place of supply of goods

services by way of transportation of goods,
including mail or courier?
Ans. In case of domestic supply: If the recipient is registered,

the location of such person shall be the place of supply.
However, if the recipient is not registered, the place of

supply shall be the place where the goods are handed over
for transportation (section 12 of the IGST Act.
For international supplies: The place of supply of transport

services, other than the courier services, shall be the

destination of goods. For courier, the place of supply of
services is where goods are handed over to courier.
However, if the courier services are performed even
partially in India, the place of supply shall be deemed as
India (section 13(3),13(6) and 13(9) of the IGST Act).
Q 13. What will be the place of supply of passenger

transportation service, if a person travels from
Mumbai to Delhi and back to Mumbai?
Ans. If the person is registered, the place of supply shall be

the location of recipient. If the person is not registered, the
place of supply for the forward journey from Mumbai to
Delhi shall be Mumbai, the place where he embarks.
However, for the return journey, the place of supply shall be

Delhi as the return journey has to be treated as separate
journey. (The Explanation clause to section 12(9) of the
IGST Act)
Q 14. Suppose a ticket/ pass for anywhere travel in

India is issued by M/s Air India to a person. What
will be the place of supply?
Ans. In the above case, the place of embarkation will not be

available at the time of issue of invoice as the right to
passage is for future use. Accordingly, place of supply
cannot be the place of embarkation. In such cases, the
default rule shall apply. (The proviso clause to section 12(9)
of the IGST Act)
Q 15. What will be the place of supply for mobile

connection? Can it be the location of supplier?
Ans. For domestic supplies: The location of supplier of

mobile services cannot be the place of supply as the mobile
companies are providing services in multiple states and
many of these services are inter-state. The consumption
principle will be broken if the location of supplier is taken as
place of supply and all the revenue may go to a few states
where the suppliers are located.
The place of supply for mobile connection would depend on

whether the connection is on postpaid or prepaid basis. In
case of postpaid connections, the place of supply shall be the
location of billing address of the recipient of service.
In case of pre-paid connections, the place of supply shall be

the place where payment for such connection is received or
such pre-paid vouchers are sold. However, if the recharge is
done through internet/e-payment, the location of recipient
of service on record shall be the taken as the place of
service.
For international supplies: The place of supply of telecom

services is the location of the recipient of service.
Q 16. A person in Goa buys shares from a broker in

Delhi on NSE (in Mumbai). What will be the place of
supply?
Ans. The place of supply shall be the location of the recipient

of services on the records of the supplier of services. So Goa
shall be the place of supply.
Q 17. A person from Mumbai goes to Kullu-Manali

and takes some services from ICICI Bank in Manali.

What will be the place of supply?
Ans. If the service is not linked to the account of person,

place of supply shall be Kullu i.e. the location of the supplier
of services. However, if the service is linked to the account of
the person, the place of supply shall be Mumbai, the location
of recipient on the records of the supplier.
Q 18. A person from Gurgaon travels by Air India

flight from Mumbai to Delhi and gets his travel
insurance done in Mumbai. What will be the place
of supply?
Ans. The location of the recipient of services on the records

of the supplier of insurance services shall be the place of
supply. So Gurgaon shall be the place of supply. (proviso
clause to section 11(13) of the IGST Act)
*****
23. GSTN and Frontend Business

Process on GST Portal
Q 1. What is GSTN?
Ans. Goods and Services Tax Network (GSTN) is a not-for-

profit, non-government company promoted jointly by the
Central and State Governments, which will provide shared IT
infrastructure and s e r v i c e s t o b o t h c e n t r a l and
state governments including tax payers and other
stakeholders. The Frontend services of Registration,
Returns, Payments, etc. to all taxpayers will be provided by
GSTN. It will be the interface between the government and
the taxpayers.
Q 2. What was need to create

GSTN?
Ans. The GST System Project is a unique and complex IT

initiative. It is unique as it seeks, for the first time to
establish a uniform interface for the tax payer and a
common and shared IT infrastructure between the Centre
and States. Currently, the Centre and State indirect tax
administrations work under different laws, regulations,
procedures and formats and consequently the IT systems
work as independent sites. Integrating them for GST
implementation would be complex since it would involve
integrating the entire indirect tax ecosystem so as to bring
all the tax administrations (Centre, State and Union
Territories) to the same level of IT maturity with uniform
formats and interfaces for taxpayers and other external
stakeholders. Besides, GST being a destination based tax,
the inter- state trade of goods and services (IGST) would
need a robust settlement mechanism amongst the States
and the Centre. This is possible only when there is a strong
IT Infrastructure and Service back bone which enables

capture, processing and exchange of information amongst
the stakeholders (including taxpayers, States and Central
Government, Bank and RBI). To achieve these objectives
GSTN was created.
Q 3. What is the genesis of GSTN?

Requirements of strong IT Infrastructure was discussed
in the 4th meeting of 2010 of the Empowered
Committee of State Finance Ministers held on
21/7/2010. In the said meeting the EC approved
creation of an Empowered Group on IT Infrastructure
for GST (referred to as EG) under the chairmanship of
Dr. Nandan Nilekani with Additional Secretary (Rev),
Member (B&C) CBEC, DG (Systems), CBEC, FA Ministry of
Finance, Member Secretary EC and five state
commissioners of Trade Taxes (Maharashtra, Assam,
Karnataka, West Bengal and Gujarat) as members. The
Group was mandated to suggest, inter alia, the
modalities for setting up a National Information Utility
(NIU/ SPV) for implementing the Common Portal to be
called GST Network (GSTN) and recommend the
structure and terms of reference for the NIU/ SPV,
detailed implementation strategy and the road map for
its creation in addition to other items like training,
outreach etc.
In March 2010, TAGUP constituted by the Ministry of

Finance had recommended that National Information
Utilities should be set up as private companies with a public
purpose for implementation of large and complex
Government IT projects including GST. Mandate of TAGUP
was to examine the technological and systemic issues
relating to the various IT projects such as GST, TIN, NPS,
etc.
The EG had seven meetings between 2nd August 2010 and

8th August 2011 to discuss the modalities. After due
deliberations, the EG recommended creation of a Special
Purpose Vehicle for implementing the GST System Project.
To enable efficient and reliable provision of services in a
demanding environment, the EG recommended a non-
Government structure for the GSTN SPV with Government
equity of 49% (Centre 24.5% and States 24.5%) after
considering key parameters such as independence of
management, strategic control of Government, flexibility
in organizational structure, agility in decision making and
ability to hire and retain competent human resources.
In view of the sensitivity of the role of GSTN and the

information that would be available with it, the EG also
considered the issue of strategic control of Government
over GSTN. The Group recommended that strategic control
of the Government over the SPV should be ensured through
measures such as composition of the Board, mechanisms of
Special Resolution and Shareholders Agreement, induction
of Government officers on deputation, and agreements
between GSTN SPV and Governments. Also, the shareholding
pattern would ensure that the Centre individually and
States collectively are the largest stakeholders at 24.5%
each. In combination, the Government shareholding at 49%
would far exceed that of any single private institution.
EG also brought out the need to have technology

specification to run this company so that there is 100
percent matching of returns. The business knowledge
resides with the officials of Government of India and States.
However, professionals with sophisticated technology
knowledge will be required to run this company
independently, similar to NSDL which is working
professionally and independently. EG also recommended a

non-government company as that will have operational
freedom.
These recommendations were presented before the

Empowered Committee of State Finance Ministers in its 3rd
meeting of 2011 held on 19th August 2011 and in the 4th
meeting of 2011 of the EC held on 14th Oct 2011. The
proposal of the EG on IT infrastructure for GST regarding
GSTN and formation of a not-for-profit section 25 company
with the strategic control of the Government were approved
by the Empowered Committee of State Finance Ministers
(EC) in its meeting held on14.10.11.
The note of Department of Revenue for setting up a Special

Purpose Vehicle to be called Goods and Services Tax
Network (GSTN-SPV) on the lines mentioned above was
considered by the Union Cabinet on 12th April 2012 and
approved. The Union cabinet also approved the following:
i. Suitable and willing non-government
institutions will be identified and firmed up by
the Ministry of Finance to invest in GSTN-SPV
prior to its incorporation.
ii. The strategic control of the Government over
the SPV would be ensured through measures
such as composition of the Board, mechanisms
of Special Resolution and Shareholders
Agreement, induction of Government officers on
deputation, and agreements between GSTN SPV
and Governments.
iii. The Board of Directors of GSTN SPV would
comprise 14 Directors with 3 Directors from the
Centre, 3 from the States, a Chairman of the
Board of Directors appointed through a joint

approval mechanism of Centre and States, 3
Directors from private equity stake holders, 3
independent Directors who would be persons of
eminence and a CEO of the GSTN SPV selected
through an open selection process.
iv. Relaxation in relevant rules to enable deputation
of Government officers to the GSTN SPV for
exercise of strategic control and for bringing in
necessary domain expertise.
v. GSTN SPV would have a self- sustaining revenue
model, where it would be able to levy user
charges on the tax payers and the tax authorities
availing services.
vi. GSTN SPV to be the exclusive national agency
responsible for delivering integrated indirect Tax
related services involving multiple tax
authorities. Accordingly, any other service
provider seeking to deliver similar integrated
services would be required to enter into a formal
arrangement with GSTN SPV for the services.
vii. A one- time non- recurring Grant- in aid of Rs.
315 crores from the Central Government towards
functioning of the SPV for a three- y e ar period
after incorporation.
Q 4. What is the equity structure and Revenue

Model of GSTN?
Ans. (a) Equity Structure: - In compliance of the Cabinet
decision, GST Network was registered as a not-for-profit,
non-Government, private limited company under section 8
of the Companies Act, 1956 with the following equity
structure:
Central Govt 24.5%

State Govts 24.5%
HDFC 10%
HDFC Bank 10%
ICICI Bank 10%
NSE Strategic Investment Co 10%
LIC Housing Finance Ltd 11%
The GSTN in its current form was created after taking

approval of the Empowered Committee of State Finance
Ministers and Union Government after due deliberations
over a long period of time.
(b) Revenue Model: An amount of 315 Cr. was approved
by the Govt. of India as Grants-in-Aid for initial setting up
of the GSTN-SPV in 2013. During the period 31.03.2013 to
31.03.2016, an amount of Rs 143.96 Crores was released
as Grant-In-Aid to GSTN out of Rs 315 Crores approved by
Govt of India. Out of the grant-in-aid received, only Rs.
62.11 Cr was spent during this period in setting of the
Company and making it functional. The balance grant was
returned to Govt. of India. During FY 2016-17, GSTN has
got loan sanctioned from a commercial bank to meet
expenditure over setting up the IT Platform to provide
services to the Center and States through GST portal and
developing the backend for 27 States and Union
Territories. The Revenue model for GSTN has been
approved by the Empowered Committee of State
Finance Ministers under which user charges will be paid
by the Centre and States/UTs equally on behalf of
taxpayers and other stakeholders for availing services
from the GST Portal. The user charges will be shared
equally by the Centre and the States. The user charges for
States will be apportioned amongst them based on
number of registered taxpayers.
Q 5. What services will be rendered by GSTN?
Ans. GSTN will render the following services through the

Common GST Portal:
(a) Registration (including existing taxpayer

migration, a process which began on 8th Nov
2016);
(b) Payment management including payment
Gateways and integration with banking systems;
(c) Return filing and processing;
(d) Taxpayer management, including account
management, notifications, information, and
status tracking;
(e) Tax authority account and ledger Management;
(f) Computation of settlement (including IGST
Settlement) b e t w e e n t h e C e n t r e a n d
S t a t e s ; Clearing house for IGST;
(g) Processing and reconciliation of GST on import
and integration with EDI systems of Customs;
(h) MIS including need based information and
business intelligence;
(i) Maintenance of interfaces between the Common
GST Portal and tax administration systems;
(j) Provide training to stakeholders;
(k) Provide Analytics and Business Intelligence to
tax authorities; and
(l) Carry out research and study best practices.
Q 6. What is the interface system between GSTN
and the States/CBEC?
Ans. In GST regime, while taxpayer facing core services

of applying for registration, uploading of invoices, filing of
return, making tax payments shall be hosted by GST System,
all the statutory functions (such as approval of registration,
assessment of return, conducting investigation and audit
etc.) shall be conducted by the tax authorities of States and

Central governments.
Thus, the frontend (GST Portal services) shall be provided
by GSTN and the backend modules shall be developed by
states and Central Government themselves. However, 27
states (termed as Model-2 states) have asked GSTN to
develop their backend modules also. The CBEC and rest of
the 9 states (Model 1) have decided to develop and host the
back-end modules themselves. For Model 1 states/ CBEC
full data (registration, return, payment etc.) submitted by
taxpayers will be shared with them for information and
analysis as deemed fit by them.
Q 7. What will be the role of GSTN in registration?
Ans. The application for Registration will be made Online

on GST Portal.
Some of the key data like PAN, Business Constitution,

Aadhaar, CIN/DIN etc. (as applicable) will be validated by
the GST Portal online with the respective agency i.e.
CBDT, U I D , MCA etc., thereby ensuring minimum need for
submission of documentation.
The a p p l i c a t i o n d a t a along with s u p p o r t i n g

s c a n n e d d o c u m e n t s shall be sent by GSTN to
states/ Centre, which in turn shall send the query, if any,
o r approval or rejection intimation and digitally signed
registration to GSTN for eventual download by the
taxpayer.
Q 8. What is the role of Infosys in GSTN?
Ans. GSTN has engaged M/S Infosys as a single Managed

Service Provider (MSP) for the design, development and
deployment of GST system, including all application
software, tools and Infrastructure and for operating &
maintaining the system for a period of 5 years from the

Go-Live date.
Q 9. What are the basic features of GST common

portal?
Ans. The GST portal (www.gst.gov.in ) is accessible

over Internet (by Taxpayers and their CAs/Tax Advocates
etc.) and Intranet by Tax Officials etc. The portal is going
to be one single common portal for all GST related services
e.g.
i. Tax payer registration (New, surrender,

cancelation, amendment etc.);
ii. Invoice upload, auto-drafting of Purchase

register of buyer, GST Returns filing on stipulated
dates for each type of return (GSTR [1,2,3,5, 9.etc];
iii. Tax payment b y c r e a t i o n o f C h a l l a n

a n d integration with agency Banks;
iv. ITC and Cash Ledger and Liability Register;
v. MIS reporting for tax payers, tax officials and

other stakeholders;
vi. BI/Analytics for Tax officials.
Q 10. What is the concept of GST Eco-system?
Ans. A common GST system will provide linkage to all

State/UT Commercial Tax departments, Central Tax
authorities, Taxpayers, Banks and other stakeholders. The
eco-system consists of all stakeholders starting from
taxpayer to tax professional to tax officials to GST portal to
Banks to accounting authorities. The diagram given below
depicts the whole GST eco-system.
Q 11. What is GSP (GST Suvidha Provider)?
Ans. GST System will provide a GST portal for taxpayers to

access the GST System and do all the GST compliance
activities. But there will be wide variety of tax payers
(SME, Large Enterprise, Micro Enterprise etc.) which may
require different kind of facilities like converting their
purchase/sales register data in GST compliant format,
Integration of their Accounting Packages/ERP with GST
System etc., various kind of dashboards to view
Matched/Mismatched ITC claims, Tax liability, Filing
status etc. As invoice level filing is required, so large
organizations may require an automated way to interact
with GST system as it may be practically impossible for
them to upload large number of invoices through a web
portal. So an eco- system is required, which can help such
taxpayers in GST compliance.
As Tax payer convenience will be the key to success of GST

regime, this eco-system will also provide Tax payer
options of using third party applications, which can
provide different kind of interfaces on desktop/mobile for
them to be GST compliant.
All above reasons require an eco-system of third party

service providers, who have access to GST System and
capability to develop such applications. These service
providers have been given a generic name, GST Suvidha
Providers or GSP.
Q 12. What will be the role of GST Suvidha

Providers (GSP)?
Ans. GSP will be developing applications having features

like return filing, reconciliation of purchase register data
with auto populated data for
acceptance/rejection/Modification, dashboards for
taxpayers for quick monitoring of GST compliance
activities. they may also provide role based access to
divide various GST related activities like uploading
invoice, filing returns etc., among different set of users
inside a company (medium or large companies will need
it), Applications for Tax Professional to manage their
clients GST compliance activities, Integration of existing
accounting packages/ERP with GST System, etc.
Q 13. What are the benefits to taxpayers in using the

GSPs?
Ans. At the outset it is clarified that all required functions

under GST can be performed by a taxpayer at the GST
portal. GSP is an additional channel being made available
for performing some of the functions and use of their
services is optional. Some of the specific solution(s) which
could be offered by the GSPs to meet specific requirements of

Taxpayers for GST compliance are given below:
1. Conversion of their current invoice format
generated by their existing accounting software,
which could be in csv, pdf, excel, word format, into
GST compliant format.
2. Reconciliation of auto populated data from GST
portal with their purchase register data, where
purchase register data can be on excel, csv or in
any proprietary database and uploaded data from
GST format could be in json/csv.
3. Organization having various branches will need
a way to upload branch wise invoices, as GST
System will only provide one user-id/password
for GST system access. An application having
role based access and different view for different
branches will be needed.
4. A company registered in multiple States may
require unified view of all branches in one
screen,
5. GST professionals will need some specific
applications to manage and undertake GST
compliance activities for their client Tax payers
from one dashboard, etc.
Above are just a few illustrations. There will be many more

requirements of different sets of Tax payers. These
requirements of taxpayers can be met by GSPs.
Q 14. What are the functions which a taxpayer will

perform at the GST Common Portal being
developed and maintained by GSTN for the
taxpayers?
Ans. GST Common Portal is envisaged as one -stop-

shop for all requirements under GST for the

taxpayers. Illustrative list of functions that can be
performed by taxpayers through GST Portal managed by
GSTN are:
Application for registration as well as amendment
in registration, cancellation of registration and
profile management;
Payment of taxes, including penalties, fines,
interest, etc. (in terms of creation of Challan as
payment will take place at banks portal or inside a
bank premises);
Change of status of a taxpayer from normal to
Compounding and vice-versa;
Uploading of Invoice data & filing of various
statutory returns/Annual statements;
Track status of return/tax ledger/cash ledger etc.
using unique Application Reference Number (ARN)
generated on GST Portal.
File application for refund etc.

Status review of return/tax ledger/cash ledger
Q 15. What will be the role of tax officers from State

and Central Govt in respect of the GST system
being developed by GSTN?
Ans. The officers will use information/ application

submitted by taxpayer on GST Portal for following
statutory functions:
Approval/rejection for enrollment/registration
of taxpayers;
Tax administration (Assessment / Audit
/Refund / Appeal/ Investigation etc.);
Business Analytics, MIS and other statutory
functions.
Q 16. Will GSTN generate a unique identification for

each invoice line in GSTN system?
Ans. No, GSTN will not generate any new identification.

The combination of Suppliers GSTIN, Invoice no and
Financial year will make each Invoice unique.
Q 17. Can invoice data be uploaded on day to day

basis?
Ans. Yes, GST Portal will have functionality for taxpayers

to upload invoice data on any time basis. Early upload of
invoices by supplier taxpayer will help receiver taxpayer
in early reconciliation of data in Invoices as well as help
supplier taxpayer in avoiding last minute rush of
uploading returns on the last day.
Q 18. Will GSTN provide tools for uploading invoice

data on GST portal?
Ans. Yes, GSTN will provide spreadsheet like tools (such

as Microsoft Excel), free of cost, to taxpayers to enable
them to compile invoice data in the same and generate
files which can then be uploaded on GST portal. This
will be an offline tool which can be used to
input/capture invoice data without being online and
then generate final files in compatible format for
uploading to GST portal.
Q 19. Will GSTN be providing mobile based Apps to

view ledgers and other accounts?
Ans. The GST portal is being designed in such a way that

it can be seen on any smart phone. Thus ledgers like cash
ledger, liability ledger, ITC ledger etc. can be seen on a
mobile phone using compatible browsers.
Q 20. Will GSTN provide separate user ID and password

for GST Practitioner to enable them to work on behalf
of their customers (Taxpayers) without requiring
user ID and password of taxpayers, as happens
today?
Ans. Yes, GSTN will be providing separate user ID and

Password to GST Practitioner to enable them to work on
behalf of their clients without asking for their user ID and
passwords. They will be able to do all the work on behalf
of taxpayers as allowed under GST Law.
Q 21. Will t a x p a y e r b e a b l e t o c h a n g e t he
G S T Practitioner once chosen in above
mentioned facility?
Ans. Yes, a taxpayer may choose a different GST

Practitioner by simply unselecting the previous one and then
choosing a new GST Practitioner on the GST portal.
Q 22. Will existing taxpayers under Central Excise

or Service Tax or State VAT have to apply for
fresh registration under GST?
Ans. No, the existing taxpayers under taxes which are to

be subsumed under GST and whose PAN have been
validated from CBDT database will not be required to
apply afresh. They will be issued provisional GSTIN by GST
portal, which will be valid for six months. Such taxpayers
will be required to provide relevant data as per GST
enrollment form online on GST Portal. On completion of
data filing the status of taxpayer will change to Migrated.
On appointed day the status of taxpayer will change to
Active and he will be able to comply with requirements of
GST regime for payment of taxes, filing of returns etc., on
GST Portal.
GSTN has issued Provisional IDs and passwords to all such

taxpayers and the same has been shared with tax
authorities for conveying the same to the taxpayers.
Enrolment of existing taxpayers for GST started at GST
portal on 8th November 2016 and by end of March 2017 a
large number of them have activated the Provisional ID
and many have completed the migration process. More
details are available at https://www.gst.gov.in/help
Q 23. What material will be provided by GSTN, on

various aspects of working on GST portal, for the
benefit of taxpayers?
Ans. GSTN is preparing Computer Based Training
materials (CBTs) which have videos embedded into them
for each process to be performed on the GST portal. These
will be put on the GST portal as well as on the website of all
tax authorities. Apart from CBTs, Various User Manuals,
FAQs etc., will also be placed on GST Portal for education of
the taxpayers. Apart from it, a helpdesk has been set up for
the taxpayers for logging of their tickets via mail
(helpdesk@gst.gov.in) or phone (0124-4688999). CBT, FAQ
and User Manual for enrolment process are available at
https://www.gst.gov.in/help.
Q 24. Will the return and registration data furnished

by the taxpayers on the GST Common Portal will
remain Confidential?
Ans. Yes, all steps are being taken by GSTN to ensure the
confidentiality of personal and business information
furnished by the taxpayers on GST Common Portal. This
will be done by ensuring Role Based Access Control (RBAC)
and encryption of critical data of taxpayers both during
transit and in storage. Only the authorized tax authorities
will be able to see and read the data.
Q 25. What are the security measures being taken

by GSTN to ensure security of the GST system?
Ans. GST Systems project has incorporated state of art
security framework for data and service security. Besides
high end firewalls, intrusion detection, data encryption
at rest as well as in motion, complete audit trail, tamper
proofing using consistent hashing algorithms, OS and host
hardening etc., GSTN is also establishing a primary and
secondary Security Operations Command & Control center,
which will proactively monitor and protect malicious
attack in real time. GSTN is also ensuring secure coding
practices through continuous scanning of source code &
libraries being used in GST system to protect against
commonly known and unknown threats.
24. Transitional Provisions
Q 1. Will CENVAT credit (or VAT credit) carried

forward in the last return prior to GST under
existing law be available as ITC under GST?
Ans. A registered person, other than a person opting to pay

tax under composition scheme, shall be entitled to take
credit in his electronic credit ledger the amount of CENVAT
(or VAT credit) credit carried forward in the return of the
last period before the appointed day, subject to the
conditions stated therein. (Section 140(1) of the CGST/SGST
Act)
Q 2. What are those conditions?

Ans. The conditions are that: -
(i) the said amount of credit is admissible as
input tax credit under this Act;
(ii) the registered person has furnished all the
returns required under the existing law (i.e.
Central Excise and VAT) for the period of six
months immediately preceding the
appointed date;
(iii) the said amount of credit does not relate to goods
sold under notifications no. and claiming
refund of VAT paid thereon
Under SGST law there will be one more condition as
given below: -
So much of the said credit as is
attributable to any claim related to section
3, sub-section (3) of section 5, section 6,
section 6A or sub-section (8) of section 8 of
the Central Sales Tax Act, 1956 that is not

substantiated in the manner, and within the
period, prescribed in rule 12 of the Central
Sales Tax (Registration and Turnover) Rules,
1957 shall not be eligible to be credited to
the electronic credit ledger:
However, an amount equivalent to the
credit specified above shall be refunded
under the existing law when the said claims
are substantiated in the manner prescribed
in rule 12 of the Central Sales Tax
(Registration and Turnover) Rules, 1957.
Q 3. A registered person, say, purchases capital

goods under the existing law (Central Excise) in
the June quarter of 2017-18. Though the invoice
has been received within 30th June but the capital
goods are received on 5th July, 2017 (i.e. in GST
regime). Will such a person get full credit of
CENVAT in GST regime?
Ans. Yes, he will be entitled to credit in 2017-18 provided

such a credit was admissible as CENVAT credit in the
existing law and is also admissible as credit in CGST -
section 140(2) of the CGST Act.
Q 4. VAT credit was not available on items 'X' & 'Y'

as capital goods in the existing law (Central
Excise). Since they are covered in GST, can the
registered taxable person claim it now?
Ans. He will be entitled to credit only when ITC on such

goods are admissible under the existing law and is also
admissible in GST. Since credit is not available under the
existing law on such goods, the said person cannot claim it
in GST proviso to section 140(2) of the SGST Act.
Q 5. Assuming the registered person has wrongly

enjoyed the credit (Refer to Q4) under the existing
law, will the recovery be done under the GST Law
or the existing law?
Ans. The recovery relating to ITC wrongfully enjoyed,

unless recovered under the existing law, will be recovered
as arrears of tax under GST.
Q 6. Give two examples of registered taxable

persons who are not liable to be registered under
the existing law (Central Excise / VAT) but are
required to be registered under GST?
Ans. A manufacturer having a turnover of say Rs 60 lakh

who is enjoying SSI exemption under the existing law will
have to be registered under GST as the said turnover
exceeds the basic threshold of Rs 20 lakh - section 22.
A trader having turnover below the threshold under VAT
but, making sales through e-commerce operator will be
required to be registered in GST. There will be no threshold
for such person(s) section 24.
Q 7. Will ITC be allowed to a service provider on

VAT paid inputs held as stock on the appointed
day?
Ans. Yes, he will be entitled to input tax credit on inputs

held in stock in accordance with the provisions of section
140(3).
Q 8. A registered person has excess ITC of Rs 10,

000/- in his last VAT return for the period
immediately preceding the appointed day. Under
GST he opts for composition scheme. Can he carry
forward the aforesaid excess ITC to GST?
Ans. The registered person will not be able to carry

forward the excess ITC of VAT to GST if he opts for
composition scheme Section 140(1).
Q 9. Sales return under CST (i.e. Central Sales Tax

Act) is allowable as deduction from the turnover
within six months? If, say, goods are returned in
GST regime by a buyer within six months from
appointed day, will it become taxable in GST?
Ans. Where tax has been paid under the existing law [CST,
in this case] on any goods at the time of sale, not being
earlier than six months prior to the appointed day, and such
goods are returned by the buyer after the appointed day,
the sales return will be considered as a supply of the said
buyer in GST and tax has to be paid on such supply, if,
(i) the goods are taxable under the GST Law; and
(ii) the buyer is registered under the GST Law.
However, the seller is entitled to refund of such tax
[CST, in this case] paid under the existing law if the
aforesaid buyer is an unregistered person under GST and

the goods are returned within 06(six) months (or within the
extended period of maximum two months) from the
appointed day and the goods are identifiable - Section
142(1).
Q 10. Shall a manufacturer or a job worker become

liable to pay tax if the inputs or semi-finished
goods sent for job work under the existing law are
returned after completion of job work after the
appointed day?
Ans. No tax will be payable by the manufacturer or the job

worker under the following circumstances:
(i) Inputs/ semi-finished goods are sent to the job

worker in accordance with the provisions of the
existing law before the appointed day.
(ii) The job worker returns the same within six

months from the appointed day (or within the
extended period of maximum two months).
(iii) Both the manufacturer and the job worker

declare the details of inputs held in stock by the
job worker on the appointed day in the
prescribed form.
The relevant sections are 141(1), 141(2) & 141 (4).
However, if the said inputs/semi- finished goods

are not returned within six months (or within the extended
period of maximum two months), the input tax credit

availed is liable to be recovered.
Q 11. What happens if the job worker does not return

the goods within the specified time?
Ans. Tax will be payable by the job worker on the said goods
if they are not returned to the place of business of the
manufacturer within six months (or within the extended
period of maximum two months) from the appointed day
Section 141(1), 141(2)
Q 12. Can a manufacturer transfer have finished

goods sent for testing purpose to the premises of
any other taxable person?
Ans. Yes, a manufacturer can transfer finished goods sent

for testing purpose to the premise of any other registered
person on payment of tax in India or without payment of tax
for exports within six months (or within the extended period
of maximum two months) section 141(3)
Q 13. If finished goods removed from a factory for

carrying out certain processes under existing law
are returned on or after the appointed day,
whether GST would be payable?
Ans. No tax under GST will be payable if finished goods

removed from factory prior to the appointed day to any
other premise for carrying out certain processes are
returned to the said factory after undergoing tests or any
other process within six months (or within the extended

period of maximum two months) from the appointed day -
section 141(3).
Q 14. When tax shall become payable in GST on

manufactured goods sent to a Job worker for
carrying out tests or any other process not
amounting to manufacture under the existing law?
Ans. Tax will be payable in GST on manufactured goods

sent to a job worker prior to the appointed day for carrying
out tests or any process not amounting to manufacture
under the existing law if such goods are not returned to the
manufacturer within six months (or within the extended
period of maximum two months) from the appointed day.
Further, the input tax credit enjoyed by the manufacturer
will liable to be recovered if the aforesaid goods are not
returned within six months from the appointed day.
Section 141(3)
Q 15. Is extension of two months as discussed in

section 141 automatic?
Ans. No, it is not automatic. It may be extended by the

Commissioner on sufficient cause being shown.
Q 16. What is the time limit for issue of debit/credit

note(s) for revision of prices?
Ans. The taxable person may issue the debit/credit note(s)

or a supplementary invoice within 30 days of the price
revision.
In case where the price is revised downwards the taxable

person will be allowed to reduce his tax liability only if the
recipient of the invoice or credit note has reduced his ITC
corresponding to such reduction of tax liabilitysection
142(2).
Q 17. What will be the fate of pending refund of

tax/interest under the existing law?
Ans. The pending refund claims will be disposed of in

accordance with the provisions of the existing law
section 142(3).
Q 18. What will be fate of any appeal or revision

relating to a claim of CENVAT/ITC on VAT which is
pending under the existing law? If say, it relates to
output liability then?
Ans. Every proceeding of appeal, revision, review or

reference relating to a claim for CENVAT/input tax credit or
any output tax liability initiated whether before, on or after
the appointed day, will be disposed of in accordance with the
existing law and any amount of credit of CENVAT/ input tax
credit or output tax found admissible for refund will have to
be refunded in accordance with the existing law. However,
any amount which becomes recoverable will have to be
recovered as arrears of tax under the GST Law---Section
142(6)/142(7).
Q 19. If the appellate or revisional order goes in

favour of the assessee, whether refund will be

made in GST? What will happen if the decision
goes against the assessee?
Ans. The refund will be made in accordance with the

provisions of the existing law only. In case any recovery is to
be made then, unless recovered under existing law, it will
be recovered as an arrear of tax under GST sections
142(6) & 142(7)
Q 20. How shall the refund arising from revision of

return(s) furnished under the existing law be
dealt in GST?
Ans. Any amount found to be refundable as a consequence

of revision of any return under the existing law after the
appointed day will be refunded in cash in accordance with
the provisions of the existing law section 142(9)(b).
Q 21. If any goods or services are supplied in GST, in

pursuance of contract entered under existing law,
which tax will be payable?
Ans. GST will be payable on such supplies section

142(10) of the CGST Act.
Q 22. Tax on a particular supply of

goods/services is leviable under the existing law.
Will GST be also payable if the actual supply is
made in GST regime?
Ans. No tax will be payable on such supply of

goods/services under GST to the extent the tax is

leviable under the existing law section 142(11).
Q 23. In pursuance of any assessment or

adjudication proceedings instituted, after the
appointed day, under the existing law, an amount
of tax, interest, fine or penalty becomes
refundable. Shall such amount be refundable
under the GST law?
Ans. No refund of such amount will be made in cash under

the existing law section 142(8)(b) of the CGST Act.
Q 24. If services are received by ISD under the earlier

law, can the ITC relating to it be distributed in GST
regime?
Ans. Yes, irrespective of whether the invoice(s) relating to

such services is received on or after the appointed day
section 140(7) of the CGST Act.
Q 25. Where any goods are sold on which tax was

required to be deducted at source under State VAT
law and an invoice was also issued before the
appointed day, shall deduction of tax at source
shall be made under this Act if the payment is
made after the appointed day?
Ans. No, in such case no deduction of tax at source shall

be made under GST.
Q 26. Goods were sent on approval not earlier than

six months before the appointed day but are
returned to the seller after 6 months from the
appointed day, will tax be payable under GST?
Ans. Yes, if such goods are liable to tax under GST and the
person who has rejected or has not approved the goods,
returns it after 6 months (or within the extended period of
maximum two months) from the appointed day. In that
case tax shall also be payable by the person who has sent
the goods on approval basis- section 142(12).
****
RETURNS
1. Form and manner of furnishing details of outward supplies
(1) Every registered person (other than a person referred to in section 14 of the Integrated
Goods and Services Tax Act, 2017) required to furnish the details of outward supplies of goods
or services or both under section 37, shall furnish such details in FORM GSTR-1 electronically
through the Common Portal, either directly or through a Facilitation Centre notified by the
Commissioner.
(2) The details of outward supplies of goods or services or both furnished in FORM GSTR-
1 shall include, inter alia,
(a) invoice wise details of all -
(i) inter-State and intra-State supplies made to registered persons; and
(ii) inter-State supplies with invoice value more than two and a half lakh
rupees made to unregistered persons;
(b) consolidated details of all -
(i) intra-State supplies made to unregistered persons for each rate of tax; and
(ii) State wise inter-State supplies with invoice value upto two and a half lakh
rupees made to unregistered persons for each rate of tax;
(c) debit and credit notes, if any, issued during the month for invoices issued
previously.
(3) The details of outward supplies furnished by the supplier shall be made available
electronically to the concerned registered persons (recipients) in Part A of FORM GSTR-2A, in
FORM GSTR-4A and in FORM GSTR-6A through the Common Portal after the due date of
filing of FORM GSTR-1.
(4) The details of inward supplies added, corrected or deleted by the recipient in his FORM
GSTR-2 under section 38 or FORM GSTR-4 or FORM GSTR-6 under section 39 shall be
made available to the supplier electronically in FORM GSTR-1A through the Common Portal
and such supplier may either accept or reject the modifications made by the recipient and FORM
GSTR-1 furnished earlier by the supplier shall stand amended to the extent of modifications
accepted by him.
2. Form and manner of furnishing details of inward supplies

(1) Every registered person (other than a person referred to in section 14 of the Integrated
Goods and Services Tax Act, 2017) required to furnish the details of inward supplies of goods or
services or both received during a tax period under sub-section (2) of section 38 shall, on the
basis of details contained in Part A, Part B and Part C of FORM GSTR-2A, prepare such
details as specified in sub-section (1) of the said section and furnish the same in FORM GSTR-2

electronically through the Common Portal, either directly or from a Facilitation Centre notified
by the Commissioner, after including therein details of such other inward supplies, if any,
required to be furnished under sub-section (2) of section 38.
(2) Every registered person shall furnish the details, if any, required under sub-section (5) of
section 38 electronically in FORM GSTR-2.
(3) The registered person shall specify the inward supplies in respect of which he is not
eligible, either fully or partially, for input tax credit in FORM GSTR-2 where such eligibility
can be determined at the invoice level.
(4) The registered person shall declare the quantum of ineligible input tax credit on inward
supplies which is relatable to non-taxable supplies or for purposes other than business and cannot
be determined at the invoice level in FORM GSTR-2.
(4A) The details of invoices furnished by an non-resident taxable person in his return in
FORM GSTR-5 under rule 5 shall be made available to the recipient of credit in Part A of
FORM GSTR-2A electronically through the Common Portal and the said recipient may include
the same in FORM GSTR-2.
(5) The details of invoices furnished by an Input Service Distributor in his return in FORM
GSTR-6 under rule 7 shall be made available to the recipient of credit in Part B of FORM
GSTR-2A electronically through the Common Portal and the said recipient may include the
same in FORM GSTR-2.
(6) The details of tax deducted at source furnished by the deductor under sub-section (3) of
section 39 in FORM GSTR-7 shall be made available to the deductee in Part C of FORM
GSTR-2A electronically through the Common Portal and the said deductee may include the
same in FORM GSTR-2.
(7) The details of tax collected at source furnished by an e-commerce operator under section
52 in FORM GSTR-8 shall be made available to the concerned person in Part C of FORM
GSTR-2A electronically through the Common Portal and such person may include the same in
FORM GSTR-2.
(8) The details of inward supplies of goods or services or both furnished in FORM GSTR-2
shall include, inter alia, -
(a) invoice wise details of all inter-State and intra-State supplies received from
registered persons or unregistered persons;
(b) import of goods and services made; and
(c) debit and credit notes, if any, received from supplier.
3. Form and manner of submission of monthly return
(1) Every registered person, other than a person referred to in section 14 of the Integrated
Goods and Services Tax Act, 2017 or an Input Service Distributor or a non-resident taxable
person or a person paying tax under section 10 or section 51 or, as the case may be, under section

52 shall furnish a return specified under sub-section (1) of section 39 in FORM GSTR-3
electronically through the Common Portal either directly or through a Facilitation Centre notified
by the Commissioner.
(2) Part A of the return under sub-rule (1) shall be electronically generated on the basis of
information furnished through FORM GSTR-1, FORM GSTR-2 and based on other liabilities
of preceding tax periods.
(3) Every registered person furnishing the return under sub-rule (1) shall, subject to the
provisions of section 49, discharge his liability towards tax, interest, penalty, fees or any other
amount payable under the Act or these rules by debiting the electronic cash ledger or electronic
credit ledger and include the details in Part B of the return in FORM GSTR-3.
(4) A registered person, claiming refund of any balance in the electronic cash ledger in
accordance with the provisions of sub-section (6) of section 49, may claim such refund in Part B
of the return in FORM GSTR-3 and such return shall be deemed to be an application filed under
section 54.
(5) Where the time limit for furnishing of details in FORM GSTR-1 under section 37 and in
FORM GSTR-2 under section 38 has been extended and the circumstances so warrant, return in
FORM GSTR-3B, in lieu of FORM GSTR-3, may be furnished in such manner as may be
notified by the Commissioner.
4. Form and manner of submission of quarterly return by the composition supplier

(1) Every registered person paying tax under section 10 shall, on the basis of details
contained in FORM GSTR-4A, and where required, after adding, correcting or deleting the
details, furnish the quarterly return in FORM GSTR-4 electronically through the Common
Portal, either directly or through a Facilitation Centre notified by the Commissioner.
(2) Every registered person furnishing the return under sub-rule (1) shall discharge his
liability towards tax, interest, penalty, fees or any other amount payable under the Act or these
rules by debiting the electronic cash ledger.
(3) The return furnished under sub-rule (1) shall include, inter alia,-
(a) invoice wise inter-State and intra-State inward supplies received from registered and
un-registered persons; and
(b) consolidated details of outward supplies made.
(4) A registered person who has opted to pay tax under section 10 from the beginning of a
financial year shall, where required, furnish the details of outward and inward supplies and return
under rule 1, rule 2 and rule 3 relating to the period during which the person was liable to furnish
such details and returns till the due date of furnishing the return for the month of September of
the succeeding financial year or furnishing of annual return of the preceding financial year,

Explanation. The person shall not be eligible to avail of input tax credit on receipt of invoices
or debit notes from the supplier for the period prior to his opting for the composition scheme.
(5) A registered person opting to withdraw from the composition scheme at his own motion or
where option is withdrawn at the instance of the proper officer shall, where required, furnish the
details relating to the period prior to his opting for payment of tax under section 9 in FORM
GSTR-4 till the due date of furnishing the return for the quarter ending September of the
succeeding financial year or furnishing of annual return of the preceding financial year,
5. Form and manner of submission of return by non-resident taxable person

Every registered non-resident taxable person shall furnish a return in FORM GSTR-5
electronically through the Common Portal, either directly or through a Facilitation Centre
notified by the Commissioner, including therein the details of outward supplies and inward
supplies and shall pay the tax, interest, penalty, fees or any other amount payable under the Act
or these rules within twenty days after the end of a tax period or within seven days after the last
day of the validity period of registration, whichever is earlier.
5A. Form and manner of submission of return by persons providing online information
and database access or retrieval services
Every registered person providing online information and data base access or retrieval services
from a place outside India to a person in India other than a registered person shall file return in
FORM GSTR-5A on or before the twentieth day of the month succeeding the calendar month or
part thereof.
6. Form and manner of submission of return by an Input Service Distributor
Every Input Service Distributor shall, on the basis of details contained in FORM GSTR-6A, and
where required, after adding, correcting or deleting the details, furnish electronically the return in
FORM GSTR-6, containing the details of tax invoices on which credit has been received and
those issued under section 20, through the Common Portal either directly or from a Facilitation
Centre notified by the Commissioner.
7. Form and manner of submission of return by a person required to deduct tax at
source
(1) Every registered person required to deduct tax at source under section 51 shall furnish a
return in FORM GSTR-7 electronically through the Common Portal either directly or from a
Facilitation Centre notified by the Commissioner.
(2) The details furnished by the deductor under sub-rule (1) shall be made available
electronically to each of the suppliers in Part C of FORM GSTR-2A and FORM-GSTR-4A
on the Common Portal after the due date of filing of FORM GSTR-7.

(3) The certificate referred to in sub-section (3) of section 51 shall be made available
electronically to the deductee on the Common Portal in FORM GSTR-7A on the basis of the
return furnished under sub-rule (1).
8. Form and manner of submission of statement of supplies through an e-commerce
operator
(1) Every electronic commerce operator required to collect tax at source under section 52
shall furnish a statement in FORM GSTR-8 electronically on the Common Portal, either directly
or from a Facilitation Centre notified by the Commissioner, containing details of supplies
effected through such operator and the amount of tax collected as required under sub-section (1)
of section 52.
(2) The details furnished by the operator under sub-rule (1) shall be made available
electronically to each of the suppliers in Part C of FORM GSTR-2A on the Common Portal
after the due date of filing of FORM GSTR-8.
9. Notice to non-filers of returns

A notice in FORM GSTR-3A shall be issued, electronically, to a registered person who fails to
furnish return under section 39 or section 44 or section 45 or section 52.
10. Matching of claim of input tax credit
The following details relating to the claim of input tax credit on inward supplies including
imports, provisionally allowed under section 41, shall be matched under section 42 after the due
date for furnishing the return in FORM GSTR-3
(a) GSTIN of the supplier;
(b) GSTIN of the recipient;
(c) invoice or debit note number;
(d) invoice or debit note date; and
(e) tax amount:
Provided that where the time limit for furnishing FORM GSTR-1 specified under section 37 and
FORM GSTR-2 specified under section 38 has been extended, the date of matching relating to
claim of input tax credit shall also be extended accordingly:
Provided further that the Commissioner may, on the recommendations of the Council, by order,
extend the date of matching relating to claim of input tax credit to such date as may be specified
therein.
Explanation 1.- The claim of input tax credit in respect of invoices and debit notes in FORM
GSTR-2 that were accepted by the recipient on the basis of FORM GSTR-2A without
amendment shall be treated as matched if the corresponding supplier has furnished a valid return.

Explanation 2. - The claim of input tax credit shall be considered as matched where the amount
of input tax credit claimed is equal to or less than the output tax paid on such tax invoice or debit
note by the corresponding supplier.
11. Final acceptance of input tax credit and communication thereof
(1) The final acceptance of claim of input tax credit in respect of any tax period, specified in
sub-section (2) of section 42, shall be made available electronically to the registered person
making such claim in FORM GST MIS-1 through the Common Portal.
(2) The claim of input tax credit in respect of any tax period which had been communicated
as mismatched but is found to be matched after rectification by the supplier or recipient shall be
finally accepted and made available electronically to the person making such claim in FORM
GST MIS-1 through the Common Portal.
12. Communication and rectification of discrepancy in claim of input tax credit and
reversal of claim of input tax credit
(1) Any discrepancy in the claim of input tax credit in respect of any tax period, specified in
sub-section (3) of section 42 and the details of output tax liable to be added under sub-section (5)
of the said section on account of continuation of such discrepancy, shall be made available to the
recipient making such claim electronically in FORM GST MIS-1 and to the supplier
electronically in FORM GST MIS-2 through the Common Portal on or before the last date of
the month in which the matching has been carried out.
(2) A supplier to whom any discrepancy is made available under sub-rule (1) may make
suitable rectifications in the statement of outward supplies to be furnished for the month in which
the discrepancy is made available.
(3) A recipient to whom any discrepancy is made available under sub-rule (1) may make
suitable rectifications in the statement of inward supplies to be furnished for the month in which
(4) Where the discrepancy is not rectified under sub-rule (2) or sub-rule (3), an amount to the
extent of discrepancy shall be added to the output tax liability of the recipient in his return to be
furnished in FORM GSTR-3 for the month succeeding the month in which the discrepancy is
made available.
Explanation 1.- Rectification by a supplier means adding or correcting the details of an outward
supply in his valid return so as to match the details of corresponding inward supply declared by
the recipient.
Explanation 2.- Rectification by the recipient means deleting or correcting the details of an
inward supply so as to match the details of corresponding outward supply declared by the
supplier.

13. Claim of input tax credit on the same invoice more than once
Duplication of claims of input tax credit in the details of inward supplies shall be communicated
to the registered person in FORM GST MIS-1 electronically through the Common Portal.
14. Matching of claim of reduction in the output tax liability
The following details relating to the claim of reduction in output tax liability shall be matched
under section 43 after the due date for furnishing the return in FORM GSTR-3:-
(a) GSTIN of the supplier;
(b) GSTIN of the recipient;
(c) credit note number;
(d) credit note date; and
(e) tax amount:
Provided that where the time limit for furnishing FORM GSTR-1 under section 37 and FORM
GSTR-2 under section 38 has been extended, the date of matching of claim of reduction in the
output tax liability shall be extended accordingly:
Provided further that the Commissioner may, on the recommendations of the Council, by order,
extend the date of matching relating to claim of reduction in output tax liability to such date as
may be specified therein.
Explanation 1.- The claim of reduction in output tax liability due to issuance of credit notes in
FORM GSTR-1 that were accepted by the corresponding recipient in FORM GSTR-2 without
amendment shall be treated as matched if the said recipient has furnished a valid return.
Explanation 2. The claim of reduction in the output tax liability shall be considered as matched
where the amount of output tax liability after taking into account the reduction claimed is equal
to or more than the claim of input tax credit after taking into account the reduction admitted and
discharged on such credit note by the corresponding recipient in his valid return.
15. Final acceptance of reduction in output tax liability and communication thereof
(1) The final acceptance of claim of reduction in output tax liability in respect of any tax
period, specified in sub-section (2) of section 43, shall be made available electronically to the
person making such claim in FORM GST MIS-1 through the Common Portal.
(2) The claim of reduction in output tax liability in respect of any tax period which had been
communicated as mis-matched but is found to be matched after rectification by the supplier or
recipient shall be finally accepted and made available electronically to the person making such
claim in FORM GST MIS-1 through the Common Portal.

16. Communication and rectification of discrepancy in reduction in output tax liability

and reversal of claim of reduction
(1) Any discrepancy in claim of reduction in output tax liability, specified in sub-section (3)
of section 43, and the details of output tax liability to be added under sub-section (5) of the said
section on account of continuation of such discrepancy, shall be made available to the registered
person making such claim electronically in FORM GST MIS- 1 and the recipient electronically
in FORM GST MIS-2 through the Common Portal on or before the last date of the month in
which the matching has been carried out.
(3) A recipient to whom any discrepancy is made available under sub-rule (1) may make
suitable rectifications in the statement of inward supplies to be furnished for the month in which
extent of discrepancy shall be added to the output tax liability of the supplier and debited to the
electronic liability register and also shown in his return in FORM GSTR-3 for the month
succeeding the month in which the discrepancy is made available.
Explanation 1.- Rectification by a supplier means deleting or correcting the details of an outward
supply in his valid return so as to match the details of corresponding inward supply declared by
the recipient.
Explanation 2.- Rectification by the recipient means adding or correcting the details of an inward
supply so as to match the details of corresponding outward supply declared by the supplier.
17. Claim of reduction in output tax liability more than once
Duplication of claims for reduction in output tax liability in the details of outward supplies shall
be communicated to the registered person in FORM GST MIS-1 electronically through the
Common Portal.
18. Refund of interest paid on reclaim of reversals
The interest to be refunded under sub-section (9) of section 42 or sub-section (9) of section 43
shall be claimed by the registered person in his return in FORM GSTR-3 and shall be credited
to his electronic cash ledger in FORM GST PMT-05 and the amount credited shall be available
for payment of any future liability towards interest or the taxable person may claim refund of the
amount under section 54.

19. Matching of details furnished by the e-Commerce operator with the details
furnished by the supplier
The following details relating to the supplies made through an e-Commerce operator, as declared
in FORM GSTR-8, shall be matched with the corresponding details declared by the supplier in
FORM GSTR-1-
(a) State of place of supply; and
(b) net taxable value:
Provided that where the time limit for furnishing FORM GSTR-1 under section 37 has
been extended, the date of matching of the above mentioned details shall be extended
accordingly:
Provided further that the Commissioner may, on the recommendations of the Council, by
order, extend the date of matching to such date as may be specified therein.
20. Communication and rectification of discrepancy in details furnished by the e-

commerce operator and the supplier
(1) Any discrepancy in the details furnished by the operator and those declared by the
supplier shall be made available to the supplier electronically in FORM GST MIS-3 and to the
e-commerce operator electronically in FORM GST MIS4 on the Common Portal on or before
the last date of the month in which the matching has been carried out.
(3) An operator to whom any discrepancy is made available under sub-rule (1) may make
suitable rectifications in the statement to be furnished for the month in which the discrepancy is
made available.
extent of discrepancy shall be added to the output tax liability of the supplier in his return in
FORM GSTR-3 for the month succeeding the month in which the details of discrepancy are
made available and such addition to the output tax liability and interest payable thereon shall be
made available to the supplier electronically on the Common Portal in FORM GST MIS3.
21. Annual return
(1) Every registered person, other than an Input Service Distributor, a person paying tax
under section 51 or section 52, a casual taxable person and a non-resident taxable person, shall
furnish an annual return as specified under sub-section (1) of section 44 electronically in FORM
GSTR-9 through the Common Portal either directly or through a Facilitation Centre notified by
the Commissioner:
Provided that a person paying tax under section 10 shall furnish the annual return in
FORM GSTR-9A.

(2) Every electronic commerce operator required to collect tax at source under section 52
shall furnish annual statement referred to in sub-section (5) of the said section in FORM GSTR
-9B.
(3) Every registered person whose aggregate turnover during a financial year exceeds two
crore rupees shall get his accounts audited as specified under sub-section (5) of section 35 and he
shall furnish a copy of audited annual accounts and a reconciliation statement, duly certified, in
FORM GSTR-9C, electronically through the Common Portal either directly or through a
22. Final return
Every registered person required to furnish a final return under section 45, shall furnish such
return electronically in FORM GSTR-10 through the Common Portal either directly or through
a Facilitation Centre notified by the Commissioner.
23. Details of inward supplies of persons having Unique Identity Number
(1) Every person who has been issued a Unique Identity Number and claims refund of the
taxes paid on his inward supplies, shall furnish the details of such supplies of taxable goods or
services or both electronically in FORM GSTR-11, along with application for such refund
claim, through the common portal either directly or through a Facilitation Centre notified by the
Commissioner.
(2) Every person who has been issued a Unique Identity Number for purposes other than
refund of the taxes paid shall furnish the details of inward supplies of taxable goods or services
or both as may be required by the proper officer in FORM GSTR-11.
24. Provisions relating to a goods and services tax practitioner
(1) An application in FORM GST PCT-01 may be made electronically through the Common
Portal either directly or through a Facilitation Centre notified by the Commissioner for enrolment
as goods and services tax practitioner by any person who:
(a) (i) is a citizen of India;
(ii) is a person of sound mind;
(iii) is not adjudicated as insolvent;
(iv) has not been convicted by a competent court,-
and satisfies any of the following conditions: -
(b) that he is a retired officer of the Commercial Tax Department of any State
Government or of the Central Board of Excise and Customs, Department of Revenue,
Government of India, who, during his service under the Government, had worked in a
post not lower in rank than that of a Group-B gazetted officer for a period of not less than
two years; or

(c ) that he has been enrolled as a sales tax practitioner or tax return preparer under the
existing law for a period of not less than five years;
(d) he has passed:
(i) a graduate or postgraduate degree or its equivalent examination having a
degree in Commerce, Law, Banking including Higher Auditing, or Business
Administration or Business Management from any Indian University established
by any law for the time being in force; or
(ii) a degree examination of any Foreign University recognized by any Indian
University as equivalent to the degree examination mentioned in sub-clause (i); or
(iii) any other examination notified by the Government, on the
recommendation of the Council, for this purpose; or
(iv) has passed any of the following examinations, namely.-
(a) final examination of the Institute of Chartered Accountants of
India; or
(b) final examination of the Institute of Cost Accountants of India; or
(c) final examination of the Institute of Company Secretaries of India.
(2) On receipt of the application referred to in sub-rule (1), the officer authorised in this
behalf shall, after making such enquiry as he considers necessary, either enrol the applicant as a
goods and services tax practitioner and issue a certificate to that effect in FORM GST PCT-02
or reject his application where it is found that the applicant is not qualified to be enrolled as a
goods and services tax practitioner.
(3) The enrolment made under sub-rule (2) shall be valid until it is cancelled:
Provided that no person enrolled as a goods and services tax practioner shall be eligible
to remain enrolled unless he passes such examination conducted at such periods and by such
authority as may be notified by the Commissioner on the recommendations of the Council:
Provided further that no person to whom the provisions of clause (c) of sub-section (1)
apply shall be eligible to remain enrolled unless he passes the said examination within a period
of one year from the appointed date.
(4) If any goods and services tax practitioner is found guilty of misconduct in connection
with any proceedings under the Act, the authorised officer may, after giving him a notice to show
cause in FORM GST PCT-03 for such misconduct and after giving him a reasonable
opportunity of being heard, by order in FORM GST PCT -04 direct that he shall henceforth be
disqualified under section 48 to function as a goods and services tax practitioner.

(5) Any person against whom an order under sub-rule (4) is made may, within thirty days
from the date of issue of such order, appeal to the Commissioner against such order.
(6) Any registered person may, at his option, authorise a goods and services tax practitioner
on the Common Portal in FORM GST PCT-05 or, at any time, withdraw such authorisation in
FORM GST PCT-05 and the goods and services tax practitioner so authorised shall be allowed
to undertake such tasks as indicated in the said authorization during the period of authorisation.
(7) Where a statement required to be furnished by a registered person has been furnished by
the goods and services tax practitioner authorised by him, a confirmation shall be sought from
the registered person over email or SMS and the statement furnished by the goods and services
tax practitioner shall be made available to the registered person on the Common Portal:
Provided that where the registered person fails to respond to the request for confirmation
till the last date of furnishing of such statement, it shall be deemed that he has confirmed the
statement furnished by the goods and services tax practitioner.
(8) A goods and services tax practitioner can undertake any or all of the following activities
on behalf of a registered person, if so authorised by him to:
(a) furnish the details of outward and inward supplies;
(b) furnish monthly, quarterly, annual or final return;
(c) make deposit for credit into the electronic cash ledger;
(d) file a claim for refund; and
(e) file an application for amendment or cancellation of registration:
Provided that where any application relating to a claim for refund or an application for
amendment or cancellation of registration has been submitted by the goods and services tax
practitioner authorised by the registered person, a confirmation shall be sought from the
registered person and the application submitted by the said practitioner shall be made available to
the registered person on the Common Portal and such application shall not be proceeded with
further until the registered person gives his consent to the same.
(9) Any registered person opting to furnish his return through a goods and services tax
practitioner shall-
(a) give his consent in FORM GST PCT-05 to any goods and services tax
practitioner to prepare and furnish his return; and
(b) before confirming submission of any statement prepared by the goods and
services tax practitioner, ensure that the facts mentioned in the return are true and correct.
(10) The goods and services tax practitioner shall-
(a) prepare the statements with due diligence; and

(b) affix his digital signature on the statements prepared by him or electronically
verify using his credentials.
(11) A goods and services tax practitioner enrolled in any other State or Union Territory shall be
treated as enrolled in the State/Union territory for the purposes specified in sub-rule (8).
25. Conditions for purposes of appearance

(1) No person shall be eligible to attend before any authority as a goods and services tax
practitioner in connection with any proceedings under the Act on behalf of any registered or un-
registered person unless he has been enrolled under rule 24.
(2) A goods and services tax practitioner attending on behalf of a registered or an un-
registered person in any proceedings under the Act before any authority shall produce before
such authority, if required, a copy of the authorisation given by such person in FORM GST
PCT-05.
********

COMPOSITION RULES
1. Intimation for composition levy
(1) Any person who has been granted registration on a provisional basis under sub-rule (1) of
rule Registration.17 and who opts to pay tax under section 10, shall electronically file an
intimation in FORM GST CMP-01, duly signed or verified through electronic verification code
(EVC), on the Common Portal, either directly or through a Facilitation Centre notified by the
Commissioner, prior to the appointed day, but not later than thirty days after the said day, or such
further period as may be extended by the Commissioner in this behalf:
Provided that where the intimation in FORM GST CMP-01 is filed after the appointed day, the
registered person shall not collect any tax from the appointed day but shall issue bill of supply
for supplies made after the said day.
(2) Any person who applies for registration under rule Registration.1 may give an option to pay
tax under section 10 in Part B of FORM GST REG-01, which shall be considered as an
intimation to pay tax under the said section.
(3) Any registered person who opts to pay tax under section 10 shall electronically file an
intimation in FORM GST CMP-02, duly signed or verified through EVC, on the Common
Portal, either directly or through a Facilitation Centre notified by the Commissioner prior to the
commencement of the financial year for which the option to pay tax under the aforesaid section
is exercised and shall furnish the statement in FORM GST ITC-3 in accordance with the
provisions of sub-rule (4) of rule ITC.9 within sixty days from the commencement of the
relevant financial year,
(4) Any person who files an intimation under sub-rule (1) to pay tax under section 10 shall
furnish the details of stock, including the inward supply of goods received from unregistered
persons, held by him on the day preceding the date from which he opts to pay tax under the said
section, electronically, in FORM GST CMP-03, on the Common Portal, either directly or
through a Facilitation Centre notified by the Commissioner, within sixty days of the date from
which the option for composition levy is exercised or within such further period as may be
extended by the Commissioner in this behalf.
(5) Any intimation under sub-rule (1) or sub-rule (3) in respect of any place of business in any
State or Union territory shall be deemed to be an intimation in respect of all other places of
business registered on the same PAN.
2. Effective date for composition levy

(1) The option to pay tax under section 10 shall be effective from the beginning of the financial
year, where the intimation is filed under sub-rule (3) of rule 1 and the appointed day where
intimation is filed under sub-rule (1) of the said rule.
(2) The intimation under sub-rule (2) of rule 1 shall be considered only after grant of registration
to the applicant and his option to pay tax under section 10 shall be effective from the date fixed
under sub-rule (2) or (3) of rule Registration.3.
3. Conditions and restrictions for composition levy
(1) The person exercising the option to pay tax under section 10 shall comply with the
following conditions:
(a) he is neither a casual taxable person nor a non-resident taxable person;
(b) the goods held in stock by him on the appointed day have not been purchased in the
course of inter-State trade or commerce or imported from a place outside India or received from
his branch situated outside the State or from his agent or principal outside the State, where the
option is exercised under sub-rule (1) of rule 1;
(c) the goods held in stock by him have not been purchased from an unregistered supplier
and where purchased, he pays the tax under sub-section (4) of section 9;
(d) he shall pay tax under sub-section (3) or sub-section (4) of section 9 on inward supply of
goods or services or both;
(e) he was not engaged in the manufacture of goods as notified under clause (e) of sub-
section (2) of section 10, during the preceding financial year;
(f) he shall mention the words composition taxable person, not eligible to collect tax on
supplies at the top of the bill of supply issued by him; and
(g) he shall mention the words composition taxable person on every notice or signboard
displayed at a prominent place at his principal place of business and at every additional place or
places of business.
(2) The registered person paying tax under section 10 may not file a fresh intimation every year
and he may continue to pay tax under the said section subject to the provisions of the Act and
these rules.
4 Validity of composition levy

(1) The option exercised by a registered person to pay tax under section 10 shall remain valid
so long as he satisfies all the conditions mentioned in the said section and these rules.
(2) The person referred to in sub-rule (1) shall be liable to pay tax under sub-section (1) of
section 9 from the day he ceases to satisfy any of the conditions mentioned in section 10 or these
rules and shall issue tax invoice for every taxable supply made thereafter and he shall also file an
intimation for withdrawal from the scheme in FORM GST CMP-04 within seven days of
occurrence of such event.

(3) The registered person who intends to withdraw from the composition scheme shall, before
the date of such withdrawal, file an application in FORM GST CMP-04, duly signed or verified
through EVC, electronically on the Common Portal.
(4) Where the proper officer has reasons to believe that the registered person was not eligible to
pay tax under section 10 or has contravened the provisions of the Act or these rules, he may issue
a notice to such person in FORM GST CMP-05 to show cause within fifteen days of the receipt
of such notice as to why option to pay tax under section 10 should not be denied.
(5) Upon receipt of reply to the show cause notice issued under sub-rule (4) from the registered
person in FORM GST CMP-06, the proper officer shall issue an order in FORM GST CMP-07
within thirty days of receipt of such reply, either accepting the reply, or denying the option to
pay tax under section 10 from the date of option or from the date of the event concerning such
contravention, as the case may be.
(6) Every person who has furnished an intimation under sub-rule (2) or filed an application for
withdrawal under sub-rule (3) or a person in respect of whom an order of withdrawal of option
has been passed in FORM GST CMP-07 under sub-rule (5), may electronically furnish at the
Common Portal, either directly or through a Facilitation Centre notified by the Commissioner, a
statement in FORM GST ITC-01 containing details of the stock of inputs and inputs contained
in semi-finished or finished goods held in stock by him on the date on which the option is
withdrawn or denied, within 30 days, from the date from which the option is withdrawn or from
the date of order passed in FORM GST CMP-07, as the case may be.
(7) Any intimation or application for withdrawal under sub-rule (2) or (3) or denial of the option
to pay tax under section 10 in accordance with sub-rule (5) in respect of any place of business in
any State or Union territory, shall be deemed to be an intimation in respect of all other places of
business registered on the same PAN.
5. Rate of tax of the composition levy
The category of registered persons, eligible for composition levy under section 10 and these
rules, specified in column (2) of the Table below shall pay tax under section 10 at the rate
specified in column (3) of the said Table:
Sl No. Category of registered persons Rate of tax
(1) (2) (3)
1 Manufacturers, other than manufacturers of such one per cent.

goods as may be notified by the Government
2 Suppliers making supplies referred to in clause (b) two and a half per cent.
of paragraph 6 of Schedule II

3 Any other supplier eligible for composition levy half per cent.
under section 10 and these rules
**********

Determination of Value of Supply
1. Value of supply of goods or services where the consideration is not wholly in money
Where the supply of goods or services is for a consideration not wholly in money, the value of the supply
shall,
(a) be the open market value of such supply;
(b) if open market value is not available, be the sum total of consideration in money and any
such further amount in money as is equivalent to the consideration not in money if such
amount is known at the time of supply;
(c) if the value of supply is not determinable under clause (a) or clause (b), be the value of
supply of goods or services or both of like kind and quality;
(d) if value is not determinable under clause (a) or clause (b) or clause (c), be the sum total of
consideration in money and such further amount in money that is equivalent to
consideration not in money as determined by application of rule 4 or rule 5 in that order.
Illustration:
(1) Where a new phone is supplied for Rs.20000 along with the exchange of an old phone and if the
price of the new phone without exchange is Rs.24000, the open market value of the new phone is Rs
24000.
(2) Where a laptop is supplied for Rs.40000 along with a barter of printer that is manufactured by
the recipient and the value of the printer known at the time of supply is Rs.4000 but the open market value
of the laptop is not known, the value of the supply of laptop is Rs.44000.
2. Value of supply of goods or services or both between distinct or related persons, other than
through an agent
The value of the supply of goods or services or both between distinct persons as specified in sub-section
(4) and (5) of section 25 or where the supplier and recipient are related, other than where the supply is
made through an agent, shall,-
(a) be the open market value of such supply;
(b) if open market value is not available, be the value of supply of goods or services of like kind
and quality;
(c) if value is not determinable under clause (a) or (b), be the value as determined by application
of rule 4 or rule 5, in that order:
Provided that where goods are intended for further supply as such by the recipient, the value shall, at the
option of the supplier, be an amount equivalent to ninety percent of the price charged for the supply of
goods of like kind and quality by the recipient to his customer not being a related person:
Provided further that where the recipient is eligible for full input tax credit, the value declared in the
invoice shall be deemed to be the open market value of goods or services:
3. Value of supply of goods made or received through an agent

The value of supply of goods between the principal and his agent shall,-
(a) be the open market value of the goods being supplied, or at the option of the supplier, be
ninety percent of the price charged for the supply of goods of like kind and quality by the
recipient to his customer not being a related person, where the goods are intended for
further supply by the said recipient;
Illustration: Where a principal supplies groundnut to his agent and the agent is supplying groundnuts of
like kind and quality in subsequent supplies at a price of Rs.5000 per quintal on the day of supply.
Another independent supplier is supplying groundnuts of like kind and quality to the said agent at the
price of Rs.4550 per quintal. The value of the supply made by the principal shall be Rs.4550 per quintal
or where he exercises the option the value shall be 90% of the Rs.5000 i.e. is Rs.4500 per quintal.
(b) where the value of a supply is not determinable under clause (a), the same shall be
determined by application of rule 4 or rule 5 in that order.
4. Value of supply of goods or services or both based on cost
Where the value of a supply of goods or services or both is not determinable by any of the
preceding rules, the value shall be one hundred and ten percent of the cost of production or manufacture
or cost of acquisition of such goods or cost of provision of such services.
5. Residual method for determination of value of supply of goods or services or both

Where the value of supply of goods or services or both cannot be determined under rules 1 to 4,
the same shall be determined using reasonable means consistent with the principles and general
provisions of section 15 and these rules:
Provided that in case of supply of services, the supplier may opt for this rule, disregarding rule 4.
6. Determination of value in respect of certain supplies
(1) Notwithstanding anything contained in these rules, the value in respect of supplies specified below
shall, at the option of the supplier, be determined in the manner provided hereinafter.
(2) The value of supply of services in relation to purchase or sale of foreign currency, including money
changing, shall be determined by the supplier of service in the following manner:-
(a) For a currency, when exchanged from, or to, Indian Rupees (INR), the value shall be equal to the
difference in the buying rate or the selling rate, as the case may be, and the Reserve Bank of India (RBI)
reference rate for that currency at that time, multiplied by the total units of currency:
Provided that in case where the RBI reference rate for a currency is not available, the value shall be 1% of
the gross amount of Indian Rupees provided or received by the person changing the money:
Provided further that in case where neither of the currencies exchanged is Indian Rupee, the value shall be
equal to 1% of the lesser of the two amounts the person changing the money would have received by
converting any of the two currencies into Indian Rupee on that day at the reference rate provided by RBI.
Provided also that a person supplying the services may exercise option to ascertain value in terms of
clause (b) for a financial year and such option shall not be withdrawn during the remaining part of that
financial year.
(b) At the option of supplier of services, the value in relation to supply of foreign currency, including
money changing, shall be deemed to be
(i) one per cent. of the gross amount of currency exchanged for an amount up to one lakh rupees,
subject to a minimum amount of two hundred and fifty rupees;
(ii) one thousand rupees and half of a per cent. of the gross amount of currency exchanged for an
amount exceeding one lakh rupees and up to ten lakh rupees; and
(iii) five thousand and five hundred rupees and one tenth of a per cent. of the gross amount of
currency exchanged for an amount exceeding ten lakh rupees, subject to maximum amount of
sixty thousand rupees.
(3) The value of supply of services in relation to booking of tickets for travel by air provided by an air
travel agent, shall be deemed to be an amount calculated at the rate of five percent. of the basic fare in the
case of domestic bookings, and at the rate of ten per cent. of the basic fare in the case of international
bookings of passage for travel by air.
Explanation - For the purposes of this sub-rule, the expression basic fare means that part of the air fare
on which commission is normally paid to the air travel agent by the airline.
(4) The value of supply of services in relation to life insurance business shall be:
(a) the gross premium charged from a policy holder reduced by the amount allocated for investment, or
savings on behalf of the policy holder, if such amount is intimated to the policy holder at the time of
supply of service;
(b) in case of single premium annuity policies other than (a), ten per cent. of single premium charged
from the policy holder; or
(c) in all other cases, twenty five per cent. of the premium charged from the policy holder in the first
year and twelve and a half per cent. of the premium charged from policy holder in subsequent years:
Provided that nothing contained in this sub-rule shall apply where the entire premium paid by the policy
holder is only towards the risk cover in life insurance.
(5) Where a taxable supply is provided by a person dealing in buying and selling of second hand goods
i.e. used goods as such or after such minor processing which does not change the nature of the goods and
where no input tax credit has been availed on purchase of such goods the value of supply shall be the
difference between the selling price and purchase price and where the value of such supply is negative it
shall be ignored:
Provided that the purchase value of goods repossessed from a defaulting borrower, who is not registered,
for the purpose of recovery of a loan or debt shall be deemed to be the purchase price of such goods by
the defaulting borrower reduced by five percentage points for every quarter or part thereof, between the
date of purchase and the date of disposal by the person making such repossession.
(6) The value of a token, or a voucher, or a coupon, or a stamp (other than postage stamp) which is
redeemable against a supply of goods or services or both shall be equal to the money value of the goods
or services or both redeemable against such token, voucher, coupon, or stamp.
(7)The value of taxable services provided by such class of service providers as may be notified by the
Government on the recommendations of the Council as referred to in paragraph 2 of Schedule I between
distinct persons as referred to in section 25, where input tax credit is available, shall be deemed to be NIL.
7. Value of supply of services in case of pure agent

Notwithstanding anything contained in these rules, the expenditure or costs incurred by a supplier as a
pure agent of the recipient of supply shall be excluded from the value of supply, if all the following
conditions are satisfied, namely:-
(i) the supplier acts as a pure agent of the recipient of the supply, when he makes payment to the
third party on authorization by such recipient;
(ii) the payment made by the pure agent on behalf of the recipient of supply has been separately
indicated in the invoice issued by the pure agent to the recipient of service; and
(iii) the supplies procured by the pure agent from the third party as a pure agent of the recipient of
supply are in addition to the services he supplies on his own account.
Explanation . - For the purposes of this rule, pure agent means a person who -
(a) enters into a contractual agreement with the recipient of supply to act as his pure agent to incur
expenditure or costs in the course of supply of goods or services or both;
(b) neither intends to hold nor holds any title to the goods or services or both so procured or supplied
as pure agent of the recipient of supply;
(c) does not use for his own interest such goods or services so procured; and
(d) receives only the actual amount incurred to procure such goods or services in addition to the
amount received for supply he provides on his own account .
Illustration. Corporate services firm A is engaged to handle the legal work pertaining to the incorporation
of Company B. Other than its service fees, A also recovers from B, registration fee and approval fee for
the name of the company paid to Registrar of the Companies. The fees charged by the Registrar of the
companies registration and approval of the name are compulsorily levied on B. A is merely acting as a
pure agent in the payment of those fees. Therefore, As recovery of such expenses is a disbursement and
not part of the value of supply made by A to B.
8. Rate of exchange of currency, other than Indian rupees, for determination of value
The rate of exchange for determination of value of taxable goods or services or both shall be the
applicable reference rate for that currency as determined by the Reserve Bank of India on the date of time
of supply in respect of such supply in terms of section 12 or, as the case may be, section 13 of the Act.
9. Value of supply inclusive of integrated tax, central tax, State tax, Union territory tax
Where the value of supply is inclusive of integrated tax or, as the case may be, central tax, State tax,
Union territory tax, the tax amount shall be determined in the following manner,
Tax amount= Value inclusive of taxes X tax rate in % of IGST or as the case may be CGST, SGST or UTGST
(100+ sum of tax rates, as applicable, in %)
Explanation.- For the purposes of this Chapter,-

(a) open market value of a supply of goods or services or both means the full value in money,
excluding the integrated tax, central tax, State tax, Union territory tax and the cess payable by a
person in a transaction, where the supplier and the recipient of the supply are not related and price is
the sole consideration, to obtain such supply at the same time when the supply being valued is made.
(b) supply of goods or services or both of like kind and quality means any other supply of goods
or services or both made under similar circumstances that, in respect of the characteristics, quality,
quantity, functional components, materials, and reputation of the goods or services or both first
mentioned, is the same as, or closely or substantially resembles, that supply of goods or services or
both.
********
Input Tax Credit
1. Documentary requirements and conditions for claiming input tax credit
(1) The input tax credit shall be availed by a registered person, including the Input
Service Distributor, on the basis of any of the following documents, namely:-
(a) an invoice issued by the supplier of goods or services or both in accordance with
the provisions of section 31;
(b) an invoice issued in accordance with the provisions of clause (f) of sub-section
(3) of section 31, subject to payment of tax;
(c) a debit note issued by a supplier in accordance with the provisions of section 34;
(d) a bill of entry or any similar document prescribed under the Customs Act, 1962 or
rules made thereunder for assessment of integrated tax on imports;
(e) an ISD invoice or ISD credit note or any document issued by an Input Service
Distributor in accordance with the provisions of sub-rule (1) of rule invoice.7.
(2) Input tax credit shall be availed by a registered person only if all the applicable
particulars as prescribed in Chapter ---- (Invoice Rules) are contained in the said document,
and the relevant information, as contained in the said document, is furnished in FORM
GSTR-2 by such person.
(3) No input tax credit shall be availed by a registered person in respect of any tax that
has been paid in pursuance of any order where any demand has been confirmed on account
of any fraud, willful misstatement or suppression of facts.
2. Reversal of input tax credit in case of non-payment of consideration
(1) A registered person, who has availed of input tax credit on any inward supply of
goods or services or both, but fails to pay to the supplier thereof the value of such supply
along with the tax payable thereon within the time limit specified in the second proviso to
sub-section (2) of section 16, shall furnish the details of such supply, the amount of value not
paid and the amount of input tax credit availed of proportionate to such amount not paid to
the supplier in FORM GSTR-2 for the month immediately following the period of one
hundred and eighty days from the date of issue of invoice.
Provided that the value of supplies made without consideration as specified in Schedule I
shall be deemed to have been paid for the purposes of the second proviso to sub-section (2) of
section 16.
(2) The amount of input tax credit referred to in sub-rule (1) shall be added to the output tax
liability of the registered person for the month in which the details are furnished.
(3) The registered person shall be liable to pay interest at the rate notified under sub-section
(1) of section 50 for the period starting from the date of availing credit on such supplies till
the date when the amount added to the output tax liability, as mentioned in sub-rule (2), is
paid.
(4) The time limit specified in sub-section (4) of section 16 shall not apply to a claim for re-
availing of any credit, in accordance with the provisions of the Act or these rules, that had
been reversed earlier.

3. Claim of credit by a banking company or a financial institution
A banking company or a financial institution, including a non-banking financial company,

engaged in supply of services by way of accepting deposits or extending loans or advances
that chooses not to comply with the provisions of sub-section (2) of section 17, in accordance
with the option permitted under sub-section (4) of that section, shall follow the procedure
specified below -
(a) the said company or institution shall not avail the credit of,-
(i) tax paid on inputs and input services that are used for non-business
purposes, and
(ii) the credit attributable to supplies specified in sub-section (5) of section
17,
in FORM GSTR-2;
(b) the said company or institution shall avail the credit of tax paid on inputs and
input services referred to in the second proviso to sub-section (4) of section 17 and not
covered under clause (a);
(c) fifty per cent. of the remaining amount of input tax shall be the input tax credit
admissible to the company or the institution and shall be furnished in FORM GSTR-2;
(d) the amount referred to in clauses (b) and (c) shall, subject to the provisions of
sections 41, 42 and 43, be credited to the electronic credit ledger of the said company or
the institution.
4. Procedure for distribution of input tax credit by Input Service Distributor
(1) An Input Service Distributor shall distribute input tax credit in the manner and subject
to the conditions specified below-
(a) the input tax credit available for distribution in a month shall be distributed in
the same month and the details thereof shall be furnished in FORM GSTR-6 in
accordance with the provisions of Chapter ---- (Return Rules);
(b) the Input Service Distributor shall, in accordance with the provisions of clause
(d), separately distribute the amount of ineligible input tax credit (ineligible under the
provisions of sub-section (5) of section 17 or otherwise) and the amount of eligible
input tax credit;
(c) the input tax credit on account of central tax, State tax, Union territory tax and
integrated tax shall be distributed separately in accordance with the provisions of clause
(d);
(d) the input tax credit that is required to be distributed in accordance with the
provisions of clause (d) and (e) of sub-section (2) of section 20 to one of the recipients
R1, whether registered or not, from amongst the total of all the recipients to whom
input tax credit is attributable, including the recipient(s) who are engaged in making
exempt supply, or are otherwise not registered for any reason, shall be the amount,
C1, to be calculated by applying the following formula:-
C1 = (t1T) C

where,
C is the amount of credit to be distributed,
t1 is the turnover, as referred to in section 20, of person R1 during the relevant
period, and
T is the aggregate of the turnover, during the relevant period, of all recipients
to whom the input service is attributable in accordance with the provisions of
section 20,;
(e) the input tax credit on account of integrated tax shall be distributed as input tax
credit of integrated tax to every recipient;
(f) the input tax credit on account of central tax and State tax or Union territory tax
shall,
(i) in respect of a recipient located in the same State or Union territory in which
the Input Service Distributor is located, be distributed as input tax credit of
central tax and State tax or Union territory tax respectively;
(ii) in respect of a recipient located in a State or Union territory other than that
of the Input Service Distributor, be distributed as integrated tax and the amount
to be so distributed shall be equal to the aggregate of the amount of input tax
credit of central tax and State tax or Union territory tax that qualifies for
distribution to such recipient in accordance with clause (d);
(g) The Input Service Distributor shall issue an ISD invoice, as prescribed in sub-rule
(1) of rule invoice-7, clearly indicating in such invoice that it is issued only for
distribution of input tax credit.
(h) The Input Service Distributor shall issue an ISD credit note, as prescribed in sub-
rule (1) of rule Invoice-7, for reduction of credit in case the input tax credit already
distributed gets reduced for any reason.
(i) Any additional amount of input tax credit on account of issuance of a debit note to
an Input Service Distributor by the supplier shall be distributed in the manner and
subject to the conditions specified in clauses (a) to (f) and the amount attributable to
any recipient shall be calculated in the manner provided in clause (d) above and such
credit shall be distributed in the month in which the debit note is included in the return
in FORM GSTR-6.
(j) Any input tax credit required to be reduced on account of issuance of a credit note to
the Input Service Distributor by the supplier shall be apportioned to each recipient in
the same ratio in which input tax credit contained in the original invoice was distributed
in terms of clause (d) above, and the amount so apportioned shall be,-
(i) reduced from the amount to be distributed in the month in which the credit
note is included in the return in FORM GSTR-6; or
(ii) added to the output tax liability of the recipient where the amount so
apportioned is in the negative by virtue of the amount of credit under distribution
being less than the amount to be adjusted.

(2) If the amount of input tax credit distributed by an Input Service Distributor is
reduced later on for any other reason for any of the recipients, including that it was
distributed to a wrong recipient by the Input Service Distributor, the process prescribed
in clause (j) of sub-rule (1) shall apply, mutatis mutandis, for reduction of credit.
(3) Subject to sub-rule (2), the Input Service Distributor shall, on the basis of the ISD credit
note specified in clause (h) of sub-rule (1), issue an ISD Invoice to the recipient entitled to
such credit and include the ISD credit note and the ISD Invoice in the return in FORM
GSTR-6 for the month in which such credit note and invoice was issued.
5. Manner of claiming credit in special circumstances
(1) Input tax credit claimed in accordance with the provisions of sub-section (1) of section 18
on the inputs held in stock or inputs contained in semi-finished or finished goods held in
stock, or the credit claimed on capital goods in accordance with the provisions of clauses (c)
and (d) of the said sub-section, shall be subject to the following conditions -
(a) The input tax credit on capital goods, in terms of clauses (c) and (d) of sub-section (1) of
section 18, shall be claimed after reducing the tax paid on such capital goods by five
percentage points per quarter of a year or part thereof from the date of invoice or such other
documents on which the capital goods were received by the taxable person.
(b) The registered person shall within thirty days from the date of his becoming eligible to
avail of input tax credit under sub-section (1) of section 18 shall make a declaration,
electronically, on the Common Portal in FORM GST ITC-01 to the effect that he is eligible
to avail of input tax credit as aforesaid.
(c) The declaration under clause (b) shall clearly specify the details relating to the inputs held
in stock or inputs contained in semi-finished or finished goods held in stock, or as the case
may be, capital goods
(i) on the day immediately preceding the date from which he becomes liable to pay
tax under the provisions of the Act, in the case of a claim under clause (a) of sub-
section (1) of section 18,
(ii) on the day immediately preceding the date of grant of registration, in the case of a
claim under clause (b) of sub-section (1) of section 18,
(iii) on the day immediately preceding the date from which he becomes liable to pay
tax under section 9, in the case of a claim under clause (c) of sub-section (1) of
section 18,
(iv) on the day immediately preceding the date from which supplies made by the
registered person becomes taxable, in the case of a claim under clause (d) of sub-
section (1) of section 18.
(d) The details furnished in the declaration under clause (b) shall be duly certified by a
practicing chartered accountant or a cost accountant if the aggregate value of claim on
account of central tax, State tax, Union territory tax and integrated tax exceeds two lakh
rupees.
(e) The input tax credit claimed in accordance with the provisions of clauses (c) and (d) of
sub-section (1) of section 18 shall be verified with the corresponding details furnished by
the corresponding supplier in FORM GSTR-1 or as the case may be, in FORM GSTR-
4, on the Common Portal.

(2) The amount of credit in case of supply of capital goods or plant and machinery, for the
purposes of sub-section (6) of section 18, shall be calculated by reducing the input tax on the
said goods at the rate of five percentage points for every quarter or part thereof from the date
of issue of invoice for such goods.
6. Transfer of credit on sale, merger, amalgamation, lease or transfer of a business
(1) A registered person shall, in the event of sale, merger, de-merger, amalgamation, lease or
transfer or change in ownership of business for any reason, furnish the details of sale, merger,
de-merger, amalgamation, lease or transfer of business, in FORM GST ITC-02,
electronically on the Common Portal along with a request for transfer of unutilized input tax
credit lying in his electronic credit ledger to the transferee:
Provided that in the case of demerger, the input tax credit shall be apportioned in the ratio of
the value of assets of the new units as specified in the demerger scheme.
(2) The transferor shall also submit a copy of a certificate issued by a practicing chartered
account or cost accountant certifying that the sale, merger, de-merger, amalgamation, lease or
transfer of business has been done with a specific provision for transfer of liabilities.
(3) The transferee shall, on the Common Portal, accept the details so furnished by the
transferor and, upon such acceptance, the un-utilized credit specified in FORM GST ITC-02
shall be credited to his electronic credit ledger.
(4) The inputs and capital goods so transferred shall be duly accounted for by the transferee
in his books of account.
7. Manner of determination of input tax credit in respect of inputs or input services

and reversal thereof
(1) The input tax credit in respect of inputs or input services, which attract the provisions of
sub-section (1) or sub-section (2) of section 17, being partly used for the purposes of business
and partly for other purposes, or partly used for effecting taxable supplies including zero
rated supplies and partly for effecting exempt supplies, shall be attributed to the purposes of
business or for effecting taxable supplies in the following manner, namely,-
(a) total input tax involved on inputs and input services in a tax period, be denoted as T;
(b) the amount of input tax, out of T, attributable to inputs and input services intended to be
used exclusively for purposes other than business, be denoted as T1;
(c) the amount of input tax, out of T, attributable to inputs and input services intended to be
used exclusively for effecting exempt supplies, be denoted as T2;
(d) the amount of input tax, out of T, in respect of inputs and input services on which credit
is not available under sub-section (5) of section 17, be denoted as T3;
(e) the amount of input tax credit credited to the electronic credit ledger of registered person,
be denoted as C1 and calculated as:
C1 = T- (T1+T2+T3);

(f) the amount of input tax credit attributable to inputs and input services intended to be used
exclusively for effecting supplies other than exempted but including zero rated supplies, be
denoted as T4;
(g) T1, T2, T3 and T4 shall be determined and declared by the registered person at the
invoice level in FORM GSTR-2;
(h) input tax credit left after attribution of input tax credit under clause (g) shall be called
common credit, be denoted as C2 and calculated as:
C2 = C1- T4;
(i) the amount of input tax credit attributable towards exempt supplies, be denoted as D1 and
calculated as:
D1= (EF) C2
where,
E is the aggregate value of exempt supplies during the tax period, and
F is the total turnover in the State of the registered person during the tax period:
Provided that where the registered person does not have any turnover during the said tax
period or the aforesaid information is not available, the value of E/F shall calculated by
taking values of E and F of the last tax period for which details of such turnover are
available, previous to the month during which the said value of E/F is to calculated;
Explanation: For the purposes of this clause, the aggregate value of exempt supplies and total
turnover shall exclude the amount of any duty or tax levied under entry 84 of List I of the
Seventh Schedule to the Constitution and entry 51 and 54 of List II of the said Schedule.
(j) the amount of credit attributable to non-business purposes if common inputs and input
services are used partly for business and partly for non-business purposes, be denoted as D2,
and shall be equal to five per cent. of C2; and
(k) the remainder of the common credit shall be the eligible input tax credit attributed to the
purposes of business and for effecting supplies other than exempted supplies but including
zero rated supplies and shall be denoted as C3, where,-
C3 = C2 - (D1+D2);
(l) the amount C3 shall be computed separately for input tax credit of central tax, State tax,
Union territory tax and integrated tax;
(m) the amount equal to aggregate of D1 and D2 shall be added to the output tax liability
of the registered person:
Provided that where the amount of input tax relating to inputs or input services used partly for
purposes other than business and partly for effecting exempt supplies has been identified and
segregated at invoice level by the registered person, the same shall be included in T1 and
T2 respectively, and the remaining amount of credit on such inputs or input services shall be
included in T4.
(2) The input tax credit determined under sub-rule (1) shall be calculated finally for the
financial year before the due date for furnishing of the return for the month of September

following the end of the financial year to which such credit relates, in the manner prescribed
in the said sub-rule and,
(a) where the aggregate of the amounts calculated finally in respect of D1 and D2 exceeds
the aggregate of the amounts determined under sub-rule (1) in respect of D1 and D2, such
excess shall be added to the output tax liability of the registered person in the month not later
than the month of September following the end of the financial year to which such credit
relates and the said person shall be liable to pay interest on the said excess amount at the rate
specified in sub-section (1) of section 50 for the period starting from first day of April of the
succeeding financial year till the date of payment; or
(b) where the aggregate of the amounts determined under sub-rule (1) in respect of D1 and
D2 exceeds the aggregate of the amounts calculated finally in respect of D1 and D2, such
excess amount shall be claimed as credit by the registered person in his return for a month not
later than the month of September following the end of the financial year to which such credit
relates.

8. Manner of determination of input tax credit in respect of capital goods and reversal
thereof in certain cases
(1) Subject to the provisions of sub-section (3) of section 16, the input tax credit in respect of
capital goods, which attract the provisions of sub-sections (1) and (2) of section 17, being
partly used for the purposes of business and partly for other purposes, or partly used for
effecting taxable supplies including zero rated supplies and partly for effecting exempt
supplies, shall be attributed to the purposes of business or for effecting taxable supplies in the
following manner, namely,-
(a) the amount of input tax in respect of capital goods used or intended to be used
exclusively for non-business purposes or used or intended to be used exclusively for
effecting exempt supplies shall be indicated in FORM GSTR-2 and shall not be
credited to his electronic credit ledger;
(b) the amount of input tax in respect of capital goods used or intended to be used
exclusively for effecting supplies other than exempted supplies but including zero-rated
supplies shall be indicated in FORM GSTR-2 and shall be credited to the electronic
credit ledger;
(c) the amount of input tax in respect of capital goods not covered under clauses (a) and
(b), denoted as A, shall be credited to the electronic credit ledger and the useful life of
such goods shall be taken as five years from the date of invoice for such goods:
Provided that where any capital goods earlier covered under clause (a) is subsequently
covered under this clause, the value of A shall be arrived at by reducing the input tax
at the rate of five percentage points for every quarter or part thereof and the amount A
shall be credited to the electronic credit ledger;
Explanation: An item of capital goods declared under clause (a) on its receipt shall not
attract the provisions of sub-section (4) of section 18 if it is subsequently covered under
this clause.
(d) the aggregate of the amounts of A credited to the electronic credit ledger under
clause (c), to be denoted as Tc, shall be the common credit in respect of capital goods
for a tax period:
Provided that where any capital goods earlier covered under clause (b) is subsequently
covered under clause (c), the value of A arrived at by reducing the input tax at the rate
of five percentage points for every quarter or part thereof shall be added to the
aggregate value Tc;
(e) the amount of input tax credit attributable to a tax period on common capital goods
during their useful life, be denoted as Tm and calculated as:-
Tm= Tc60
(f) the amount of input tax credit, at the beginning of a tax period, on all common
capital goods whose useful life remains during the tax period, be denoted as Tr
and shall be the aggregate of Tm for all such capital goods.
(g) the amount of common credit attributable towards exempted supplies, be denoted
as Te, and calculated as:
Te= (E F) x Tr
where,

E is the aggregate value of exempt supplies, made, during the tax period, and
F is the total turnover of the registered person during the tax period:
Provided that where the registered person does not have any turnover during the said tax
period or the aforesaid information is not available, the value of E/F shall be calculated by
taking values of E and F of the last tax period for which details of such turnover are
available, previous to the month during which the said value of E/F is to calculated;
Explanation: For the purposes of this clause, the aggregate value of exempt supplies and total
turnover shall exclude the amount of any duty or tax levied under entry 84 of List I of the
Seventh Schedule to the Constitution and entry 51 and 54 of List II of the said Schedule;
(h) the amount Te along with applicable interest shall, during every tax period of the useful
life of the concerned capital goods, be added to the output tax liability of the person making
such claim of credit.
(2) The amount Te shall be computed separately for central tax, State tax, Union territory tax
and integrated tax.
9. Manner of reversal of credit under special circumstances
(1) The amount of input tax credit relating to inputs held in stock, inputs contained in semi-
finished and finished goods held in stock, and capital goods held in stock shall, for the
purposes of sub-section (4) of section 18 or sub-section (5) of section 29, be determined in
the following manner namely,-
(a) for inputs held in stock and inputs contained in semi-finished and finished goods held
in stock, the input tax credit shall be calculated proportionately on the basis of
corresponding invoices on which credit had been availed by the registered taxable
person on such input;
(b) for capital goods held in stock the input tax credit involved in the remaining useful
life in months shall be computed on pro-rata basis, taking the useful life as five
years.
Illustration
Capital goods have been in use for 4 years, 6 month and 15 days.
The useful remaining life in months= 5 months ignoring a part of the month
Input tax credit taken on such capital goods=
Input tax credit attributable to remaining useful life= C multiplied by 5/60

(2) The amount, as prescribed in sub-rule (1) shall be determined separately for input tax
credit of integrated tax and central tax.
(3) Where the tax invoices related to the inputs held in stock are not available, the registered
person shall estimate the amount under sub-rule (1) based on the prevailing market price of
goods on the effective date of occurrence of any of the events specified in sub-section (4) of
section 18 or, as the case may be, sub-section (5) of section 29.

(4) The amount determined under sub-rule (1) shall form part of the output tax liability of the
registered person and the details of the amount shall be furnished in FORM GST ITC-03,
where such amount relates to any event specified in sub-section (4) of section 18 and in
FORM GSTR-10, where such amount relates to cancellation of registration.
(5) The details furnished in accordance with sub-rule (3) shall be duly certified by a
practicing chartered accountant or cost accountant.
(6) The amount of input tax credit for the purposes of sub-section (6) of section 18 relating to
capital goods shall be determined in the same manner as prescribed in clause (b) of sub-rule
(1) and the amount shall be determined separately for input tax credit of IGST and CGST.
Where the amount so determined is more than the tax determined on the transaction value of
the capital goods, the amount determined shall form part of the output tax liability and the
same shall be furnished in FORM GSTR1.
10: Conditions and restrictions in respect of inputs and capital goods sent to the job
worker
(1) The inputs, semi-finished goods or capital goods shall be sent to the job worker under
the cover of a challan issued by the principal, including where such goods are sent directly to
a job-worker.
(2) The challan issued by the principal to the job worker shall contain the details specified
in rule Invoice.10:
(3) The details of challans in respect of goods dispatched to a job worker or received from a
job worker during a tax period shall be included in FORM GSTR-1 furnished for that period.
(4) Where the inputs or capital goods are not returned to the principal within the time
stipulated in section 143, the challan issued under sub-rule (1) shall be deemed to be an
invoice for the purposes of the Act.
Explanation.- For the purposes of this Chapter,-

(1) capital goods shall include plant and machinery as defined in the Explanation to
section 17;
(2) for determining the value of an exempt supply as referred to in sub-section (3) of section
17:-
(a) the value of land and building shall be taken as the same as adopted for the purpose of
paying stamp duty; and
(b) the value of security shall be taken as one per cent. of the sale value of such security.
******

PAYMENT OF TAX
1. Electronic Liability Register

(1) The electronic liability register specified under sub-section (7) of section 49 shall be
maintained in FORM GST PMT-01 for each person liable to pay tax, interest, penalty, late
fee or any other amount on the Common Portal and all amounts payable by him shall be
debited to the said register.
(2) The electronic liability register of the person shall be debited by:-
(a) the amount payable towards tax, interest, late fee or any other amount payable
as per the return furnished by the said person;
(b) the amount of tax, interest, penalty or any other amount payable as determined
by a proper officer in pursuance of any proceedings under the Act or as ascertained by
the said person;
(c) the amount of tax and interest payable as a result of mismatch under section 42
or section 43 or section 50; or
(d) any amount of interest that may accrue from time to time.
(3) Subject to the provisions of section 49, payment of every liability by a registered
person as per his return shall be made by debiting the electronic credit ledger maintained as
per rule 2 or the electronic cash ledger maintained as per rule 3 and the electronic liability
register shall be credited accordingly.
(4) The amount deducted under section 51, or the amount collected under section 52, or
the amount payable on reverse charge basis, or the amount payable under section 10 any
amount payable towards interest, penalty, fee or any other amount under the Act shall be paid
by debiting the electronic cash ledger maintained as per rule 3 and the electronic liability
register shall be credited accordingly.
(5) Any amount of demand debited in the electronic liability register shall stand reduced
to the extent of relief given by the appellate authority or Appellate Tribunal or court and the
electronic tax liability register shall be credited accordingly.
(6) The amount of penalty imposed or liable to be imposed shall stand reduced partly or
fully, as the case may be, if the taxable person makes the payment of tax, interest and penalty
specified in the show cause notice or demand order and the electronic liability register shall
be credited accordingly.
(7) A registered person shall, upon noticing any discrepancy in his electronic liability ledger,
communicate the same to the officer exercising jurisdiction in the matter, through the
Common Portal in FORM GST PMT-04.
2. Electronic Credit Ledger

(1) The electronic credit ledger shall be maintained in FORM GST PMT-02 for each
registered person eligible for input tax credit under the Act on the Common Portal and every
claim of input tax credit under the Act shall be credited to the said Ledger.

(2) The electronic credit ledger shall be debited to the extent of discharge of any liability
in accordance with section 49.
(3) Where a registered person has claimed refund of any unutilized amount from the
electronic credit ledger in accordance with the provisions of section 54, the amount to the
extent of the claim shall be debited in the said ledger.
(4) If the refund so filed is rejected, either fully or partly, the amount debited under sub-
rule (3), to the extent of rejection, shall be re-credited to the electronic credit ledger by the
proper officer by an order made in FORM GST PMT-03.
(5) Save as provided in these rules, no entry shall be made directly in the electronic credit
ledger under any circumstance.
(6) A registered person shall, upon noticing any discrepancy in his electronic credit ledger,
Explanation. For the purpose of this rule, a refund shall be deemed to be rejected, if the
appeal is finally rejected or if the claimant gives an undertaking to the proper officer that he
shall not file an appeal.
3. Electronic Cash Ledger

(1) The electronic cash ledger under sub-section (1) of section 49 shall be maintained in
FORM GST PMT-05 for each person, liable to pay tax, interest, penalty, late fee or any
other amount, on the Common Portal for crediting the amount deposited and debiting the
payment therefrom towards tax, interest, penalty, fee or any other amount.
(2) Any person, or a person on his behalf, shall generate a challan in FORM GST PMT-
06 on the Common Portal and enter the details of the amount to be deposited by him towards
tax, interest, penalty, fees or any other amount.
(3) The deposit under sub-rule (2) shall be made through any of the following modes:
(i) Internet Banking through authorized banks;
(ii) Credit card or Debit card through the authorised bank;
(iii) National Electronic Fund Transfer (NeFT) or Real Time Gross Settlement
(RTGS) from any bank;
(iv) Over the Counter payment (OTC) through authorized banks for deposits up to
ten thousand rupees per challan per tax period, by cash, cheque or demand draft:
Provided that the restriction for deposit up to ten thousand rupees per challan in case of an
Over the Counter (OTC) payment shall not apply to deposit to be made by
(a) Government Departments or any other deposit to be made by persons as may
be notified by the Commissioner in this behalf;
(b) Proper officer or any other officer authorised to recover outstanding dues from
any person, whether registered or not, including recovery made through attachment or
sale of movable or immovable properties;

(c) Proper officer or any other officer authorized for the amounts collected by way
of cash, cheque or demand draft during any investigation or enforcement activity or
any ad hoc deposit:
Provided further that the challan in FORM GST PMT-06 generated at the Common Portal
shall be valid for a period of fifteen days.
Explanation. For making payment of any amount indicated in the challan, the commission,
if any, payable in respect of such payment shall be borne by the person making such
payment.
(4) Any payment required to be made by a person who is not registered under the Act,
shall be made on the basis of a temporary identification number generated through the
Common Portal.
(5) Where the payment is made by way of NeFT or RTGS mode from any bank, the
mandate form shall be generated along with the challan on the Common Portal and the same
shall be submitted to the bank from where the payment is to be made:
Provided that the mandate form shall be valid for a period of fifteen days from the date of
generation of challan.
(6) On successful credit of the amount to the concerned government account maintained
in the authorised bank, a Challan Identification Number (CIN) will be generated by the
collecting Bank and the same shall be indicated in the challan.
(7) On receipt of CIN from the collecting Bank, the said amount shall be credited to the
electronic cash ledger of the person on whose behalf the deposit has been made and the
Common Portal shall make available a receipt to this effect.
(8) Where the bank account of the person concerned, or the person making the deposit on
his behalf, is debited but no Challan Identification Number (CIN) is generated or generated
but not communicated to the Common Portal, the said person may represent electronically in
FORM GST PMT-07 through the Common Portal to the Bank or electronic gateway
through which the deposit was initiated.
(9) Any amount deducted under section 51 or collected under section 52 and claimed in
FORM GSTR-02 by the registered taxable person from whom the said amount was deducted
or, as the case may be, collected shall be credited to his electronic cash ledger in accordance
with the provisions of rule 2.Return.
(10) Where a person has claimed refund of any amount from the electronic cash ledger, the
said amount shall be debited to the electronic cash ledger.
(11) If the refund so claimed is rejected, either fully or partly, the amount debited under
sub-rule (10), to the extent of rejection, shall be credited to the electronic cash ledger by the
proper officer by an order made in FORM GST PMT-03.

(12) A registered person shall, upon noticing any discrepancy in his electronic cash ledger,
Explanation.- For the purposes of this rule, a refund shall be deemed to be rejected if the
appeal is finally rejected or if the claimant gives an undertaking to the proper officer that he
shall not file an appeal.
4. Identification number for each transaction
(1) A unique identification number shall be generated at the Common Portal for each
debit or credit to the electronic cash or credit ledger, as the case may be.
(2) The unique identification number relating to discharge of any liability shall be
indicated in the corresponding entry in the electronic liability register.
(3) A unique identification number shall be generated at the Common Portal for each
credit in the electronic liability register for reasons other than those covered under sub-rule
(2).
*********

REFUND
1. Application for refund of tax, interest, penalty, fees or any other amount
(1) Any person, except the persons covered by notification issued under section 55, claiming refund
of any tax, interest, penalty, fees or any other amount paid by him, may file an application electronically
in FORM GST RFD-01 through the Common Portal, either directly or through a Facilitation Centre
notified by the Commissioner:
Provided that any claim for refund relating to balance in the electronic cash ledger in accordance
with the provisions of sub-section (6) of section 49 may also be made through the return furnished for the
relevant tax period in FORM GSTR-3 or FORM GSTR-4 or FORM GSTR-7, as the case may be:
Provided further that in case of export of goods, application for refund shall be filed only after the
export manifest or an export report, as the case may be, is delivered under section 41 of the Customs Act,
1962 in respect of such goods:
Provided also that in respect of supplies to a Special Economic Zone unit or a Special Economic
Zone developer, the application for refund shall be filed by the supplier of goods after such goods have
been admitted in full in the Special Economic Zone for authorized operations, as endorsed by the
specified officer of the Zone:
Provided also that in respect of supplies to a Special Economic Zone unit or a Special Economic
Zone developer, the application for refund shall be filed by the supplier of services along with such
evidence regarding receipt of services for authorized operations as endorsed by the specified officer of the
Zone:
Provided also that in respect of supplies regarded as deemed exports, the application shall be filed
by the recipient of deemed export supplies:
Provided also that refund of any amount, after adjusting the tax payable by the applicant out of
the advance tax deposited by him under section 27 at the time of registration, shall be claimed in the last
return required to be furnished by him.
(2) The application under sub-rule (1) shall be accompanied by any of the following documentary
evidences, as applicable, to establish that a refund is due to the applicant:
(a) the reference number of the order and a copy of the order passed by the proper officer or
an appellate authority or Appellate Tribunal or court resulting in such refund or reference number
of the payment of the amount specified in sub-section (6) of section 107 and sub-section (8) of
section 112 claimed as refund;
(b) a statement containing the number and date of shipping bills or bills of export and the
number and date of relevant export invoices, in a case where the refund is on account of export of
goods;
(c) a statement containing the number and date of invoices and the relevant Bank Realization
Certificates or Foreign Inward Remittance Certificates, as the case may be, in a case where the
refund is on account of export of services;
(d) a statement containing the number and date of invoices as prescribed in rule Invoice.1
along with the evidence regarding endorsement specified in the third proviso to sub-rule (1) in
case of supply of goods made to a Special Economic Zone unit or a Special Economic Zone
developer;

(e) a statement containing the number and date of invoices, the evidence regarding
endorsement specified in the fourth proviso to sub-rule (1) and the details of payment, along with
proof thereof, made by the recipient to the supplier for authorized operations as defined under the
Special Economic Zone Act, 2005, in a case where the refund is on account of supply of services
made to a Special Economic Zone unit or a Special Economic Zone developer
(f) a declaration to the effect that the Special Economic Zone unit or the Special Economic Zone
developer has not availed of the input tax credit of the tax paid by the supplier of goods or
services or both, in a case where the refund is on account of supply of goods or services made to a
Special Economic Zone unit or a Special Economic Zone developer;
(g) a statement containing the number and date of invoices along with such other evidence as
may be notified in this behalf, in a case where the refund is on account of deemed exports;
(h) a statement in Annex 1 of FORM GST RFD-01 containing the number and date of
invoices received and issued during a tax period in a case where the claim pertains to refund of
any unutilized input tax credit under sub-section (3) of section 54 where the credit has
accumulated on account of rate of tax on inputs being higher than the rate of tax on output
supplies, other than nil-rated or fully exempt supplies;
(i) the reference number of the final assessment order and a copy of the said order in a case
where the refund arises on account of finalisation of provisional assessment;
(j) a statement showing the details of transactions considered as intra-State supply but which
is subsequently held to be inter-State supply;
(k) a statement showing the details of the amount of claim on account of excess payment of
tax;
(l) a declaration to the effect that the incidence of tax, interest or any other amount claimed
as refund has not been passed on to any other person, in a case where the amount of refund
claimed does not exceed two lakh rupees:
Provided that a declaration is not required to be furnished in respect of cases covered under clause
(a) or clause (b) or clause (c) or clause (d) or clause (f) of sub-section (8) of section 54;
(m) a Certificate in Annex 2 of FORM GST RFD-01 issued by a chartered accountant or a
cost accountant to the effect that the incidence of tax, interest or any other amount claimed as
refund has not been passed on to any other person, in a case where the amount of refund claimed
exceeds two lakh rupees:
Provided that a certificate is not required to be furnished in respect of cases covered under clause
(a) or clause (b) or clause (c) or clause (d) or clause (f) of sub-section (8) of section 54;
Explanation. For the purposes of this rule,
(i) in case of refunds referred to in clause (c) of sub-section (8) of section 54, invoice
means invoice conforming to the provisions contained in section 31 ;
(ii) where the amount of tax has been recovered from the recipient, it shall be deemed that the
incidence of tax has been passed on to the ultimate consumer.
(3) Where the application relates to refund of input tax credit, the electronic credit ledger shall be
debited by the applicant in an amount equal to the refund so claimed.

(4) In case of zero-rated supply of goods or services or both without payment of tax under bond or letter
of undertaking in accordance with the provisions of sub-section (3) of section 16 of the Integrated Goods
and Services Tax Act, refund of input tax credit shall be granted as per the following formula:
Refund Amount = (Turnover of zero-rated supply of goods + Turnover of zero-rated supply of services) x
Net ITC Adjusted Total Turnover
Where,-
(A) "Refund amount" means the maximum refund that is admissible;
(B) "Net ITC" means input tax credit availed on inputs and input services during the relevant period;
(C) "Turnover of zero-rated supply of goods" means the value of zero-rated supply of goods made during
the relevant period without payment of tax under bond or letter of undertaking;
(D) "Turnover of zero-rated supply of services" means the value of zero-rated supply of services made
without payment of tax under bond or letter of undertaking, calculated in the following manner, namely:-
Zero-rated supply of services is the aggregate of the payments received during the relevant period for
zero-rated supply of services and zero-rated supply of services where supply has been completed for
which payment had been received in advance in any period prior to the relevant period reduced by
advances received for zero-rated supply of services for which the supply of services has not been
completed during the relevant period;
(E) "Adjusted Total turnover" means the turnover in a State or a Union territory, as defined under sub-
section (112) of section 2, excluding the value of exempt supplies other than zero-rated supplies, during
the relevant period;
(F) Relevant period means the period for which the claim has been filed.
(5) In case of refund on account of inverted duty structure, refund of input tax credit shall be granted
as per the following formula:
Maximum Refund Amount = {(Turnover of inverted rated supply of goods) x Net ITC Adjusted Total
Turnover} minus tax payable on such inverted rated supply of goods
Explanation: The meaning of the term Net ITC and Adjusted Total turnover shall have the same
meaning as assigned to them in sub-rule (4).
2. Acknowledgement
(1) Where the application relates to a claim for refund from the electronic cash ledger, an
acknowledgement in FORM GST RFD-02 shall be made available to the applicant through the Common
Portal electronically, clearly indicating the date of filing of the claim for refund and the time period
specified in sub-section (7) of section 54 shall be counted from such date of filing.
(2) The application for refund, other than claim for refund from electronic cash ledger, shall be
forwarded to the proper officer who shall, within fifteen days of filing of the said application, scrutinize
the application for its completeness and where the application is found to be complete in terms of sub-rule
(2), (3) and (4) of rule 1, an acknowledgement in FORM GST RFD-02 shall be made available to the
applicant through the Common Portal electronically, clearly indicating the date of filing of the claim for
refund and the time period specified in sub-section (7) of section 54 shall be counted from such date of
filing.

Provided that where the claim for refund of integrated tax is on account of export of goods, the
acknowledgment shall be issued within a period of three days of filing of such claim.
(3) Where any deficiencies are noticed, the proper officer shall communicate the deficiencies to the
applicant in FORM GST RFD-03 through the Common Portal electronically, requiring him to file a
fresh refund application after rectification of such deficiencies.
(4) Where deficiencies have been communicated in FORM GST RFD-03 under the GST Rules of
the State, the same shall also deemed to have been communicated under this Rule along with deficiencies
communicated under sub-rule (3).
[CGST Rules]
(4) Where deficiencies have been communicated in FORM GST RFD-03 under the CGST Rules,
the same shall also deemed to have been communicated under this Rule along with deficiencies
communicated under sub-rule (3).
[SGST Rules]
3. Grant of provisional refund
(1) The provisional refund in accordance with the provisions of sub-section (6) of section 54 shall be
granted subject to the condition that the person claiming refund has, during any period of five years
immediately preceding the tax period to which the claim for refund relates, not been prosecuted for any
offence under the Act or under an existing law where the amount of tax evaded exceeds two hundred and
fifty lakh rupees;
(2) The proper officer, after scrutiny of the claim and the evidence submitted in support thereof and
on being prima facie satisfied that the amount claimed as refund under sub-rule (1) is due to the applicant
in accordance with the provisions of sub-section (6) of section 54, shall make an order in FORM GST
RFD-04, sanctioning the amount of refund due to the said applicant on a provisional basis within a period
not exceeding seven days from the date of acknowledgement under sub-rule (1) or sub-rule (2) of rule 2.
(3) The proper officer shall issue a payment advice in FORM GST RFD-05 for the amount
sanctioned under sub-rule (2) and the same shall be electronically credited to any of the bank accounts of
the applicant mentioned in his registration particulars and as specified in the application for refund.
4. Order sanctioning refund
(1) Where, upon examination of the application, the proper officer is satisfied that a refund under
sub-section (5) of section 54 is due and payable to the applicant, he shall make an order in FORM GST
RFD-06, sanctioning the amount of refund to which the applicant is entitled, mentioning therein the
amount, if any, refunded to him on a provisional basis under sub-section (6) of section 54, amount
adjusted against any outstanding demand under the Act or under any existing law and the balance amount
refundable:
Provided that in cases where the amount of refund is completely adjusted against any outstanding
demand under the Act or under any existing law, an order giving details of the adjustment shall be issued
in Part A of FORM GST RFD-07.
(2) Where the proper officer or the Commissioner is of the opinion that the amount of refund is liable
to be withheld under the provisions of sub-section (10) or, as the case may be, sub-section (11) of section
54, he shall pass an order in Part B of FORM GST RFD-07 informing him the reasons for withholding
of such refund.

(3) Where the proper officer is satisfied, for reasons to be recorded in writing, that the whole or any
part of the amount claimed as refund is not admissible or is not payable to the applicant, he shall issue a
notice in FORM GST RFD-08 to the applicant, requiring him to furnish a reply in FORM GST RFD-09
within fifteen days of the receipt of such notice and after considering the reply, make an order in FORM
GST RFD-06, sanctioning the amount of refund in whole or part, or rejecting the said refund claim and
the said order shall be made available to the applicant electronically and the provision of sub-rule (1)
shall, mutatis mutandis, apply to the extent refund is allowed:
Provided that no application for refund shall be rejected without giving the applicant a reasonable
opportunity of being heard.
(4) Where the proper officer is satisfied that the amount refundable under sub-rule (1) or (2) is
payable to the applicant under sub-section (8) of section 54, he shall make an order in FORM GST RFD-
06 and issue a payment advice in FORM GST RFD-05, for the amount of refund and the same shall be
electronically credited to any of the bank accounts of the applicant mentioned in his registration
particulars and as specified in the application for refund.
(5) Where the proper officer is satisfied that the amount refundable under sub-rule (1) or sub-rule (2)
is not payable to the applicant under sub-section (8) of section 54, he shall make an order in FORM GST
RFD-06 and issue an advice in FORM GST RFD-05, for the amount of refund to be credited to the
Consumer Welfare Fund.
5. Credit of the amount of rejected refund claim
(1) Where any deficiencies have been communicated under sub-rule (3) of rule 2, the amount debited
under sub-rule (3) of rule 1 shall be re-credited to the electronic credit ledger.
(2) Where any amount claimed as refund is rejected under rule 4, either fully or partly, the amount
debited, to the extent of rejection, shall be re-credited to the electronic credit ledger by an order made in
FORM GST PMT-03.
Explanation. For the purposes of this rule, a refund shall be deemed to be rejected, if the appeal is finally
rejected or if the claimant gives an undertaking in writing to the proper officer that he shall not file an
appeal.
6. Order sanctioning interest on delayed refunds
Where any interest is due and payable to the applicant under section 56, the proper officer shall make an
order along with a payment advice in FORM GST RFD-05, specifying therein the amount of refund
which is delayed, the period of delay for which interest is payable and the amount of interest payable, and
such amount of interest shall be electronically credited to any of the bank accounts of the applicant
mentioned in his registration particulars and as specified in the application for refund.
7. Refund of tax to certain persons
(1) Any person eligible to claim refund of tax paid by him on his inward supplies as per notification
issued section 55 shall apply for refund in FORM GST RFD-10 once in every quarter, electronically on
the Common Portal, either directly or from a Facilitation Centre notified by the Commissioner, along with
a statement of inward supplies of goods or services or both in FORM GSTR-11, prepared on the basis of
statement of outward supplies furnished by corresponding suppliers in FORM GSTR-1.
(2) An acknowledgement for receipt of the application for refund shall be issued in FORM GST
RFD-02.
(3) Refund of tax paid by the applicant shall be available if-

(a) the inward supplies of goods or services or both were received from a registered person
against a tax invoice and the price of the supply covered under a single tax invoice exceeds five
thousand rupees, excluding tax paid, if any;
(b) name and GSTIN or UIN of the applicant is mentioned on the tax invoice; and
(c) such other restrictions or conditions as may be specified in the notification are satisfied.
(4) The provisions of rule 4 shall, mutatis mutandis, apply for the sanction and payment of refund
under this rule.
(5) Where an express provision in a treaty or other international agreement, to which the President or
the Government of India is a party, is inconsistent with the provisions of these rules, such treaty or
international agreement shall prevail.
8. Consumer Welfare Fund
(1) All credits to the Consumer Welfare Fund shall be made under sub-rule (4) of rule 4.
(2) Any amount, having been credited to the Fund, ordered or directed as payable to any claimant by
orders of the proper officer, appellate authority or Appellate Tribunal or court, shall be paid from the
Fund.
(3) Any utilisation of amount from the Consumer Welfare Fund under sub-section (1) of section 58
shall be made by debiting the Consumer Welfare Fund account and crediting the account to which the
amount is transferred for utilisation.
(4) The [Central/State] Government shall, by an order, constitute a Standing Committee with a
Chairman, a Vice-Chairman, a Member Secretary and such other members as it may deem fit and the
Committee shall make recommendations for proper utilisation of the money credited to the Consumer
Welfare Fund for welfare of the consumers.
(5) The Committee shall meet as and when necessary, but not less than once in three months.
(6) Any agency or organisation engaged in consumer welfare activities for a period of three years
registered under the Companies Act, 2013 (18 of 2013) or under any other law for the time being in force,
including village or mandal or samiti level co-operatives of consumers especially Women, Scheduled
Castes and Scheduled Tribes, or any industry as defined in the Industrial Disputes Act, 1947 (14 of 1947)
recommended by the Bureau of Indian Standards to be engaged for a period of five years in viable and
useful research activity which has made, or is likely to make, significant contribution in formulation of
standard mark of the products of mass consumption, the Central Government or the State Government
may make an application for a grant from the Consumer Welfare Fund:
Provided that a consumer may make application for reimbursement of legal expenses incurred by him as a
complainant in a consumer dispute, after its final adjudication.
(7) All applications for grant from the Consumer Welfare Fund shall be made by the applicant
Member Secretary, but the Committee shall not consider an application, unless it has been inquired into in
material details and recommended for consideration accordingly, by the Member Secretary.
(8) The Committee shall have powers -
(a) to require any applicant to produce before it, or before a duly authorised Officer of the
Government such books, accounts, documents, instruments, or commodities in custody and
control of the applicant, as may be necessary for proper evaluation of the application;

(b) to require any applicant to allow entry and inspection of any premises, from which
activities claimed to be for the welfare of consumers are stated to be carried on, to a duly
authorised officer of the Central Government or, as the case may be, State Government;
(c) to get the accounts of the applicants audited, for ensuring proper utilisation of the grant;
(d) to require any applicant, in case of any default, or suppression of material information on
his part, to refund in lump-sum, the sanctioned grant to the Committee, and to be subject to
prosecution under the Act;
(e) to recover any sum due from any applicant in accordance with the provisions of the Act;
(f) to require any applicant, or class of applicants to submit a periodical report, indicating
proper utilisation of the grant;
(g) to reject an application placed before it on account of factual inconsistency, or inaccuracy
in material particulars;
(h) to recommend minimum financial assistance, by way of grant to an applicant, having
regard to his financial status, and importance and utility of nature of activity under pursuit, after
ensuring that the financial assistance provided shall not be misutilised;
(i) to identify beneficial and safe sectors, where investments out of Consumer Welfare Fund
may be made and make recommendations, accordingly.
(j) to relax the conditions required for the period of engagement in consumer welfare
activities of an applicant;
(k) to make guidelines for the management, administration and audit of the Consumer
Welfare Fund.
(9) The Central Consumer Protection Council and the Bureau of Indian Standards shall recommend
to the GST Council, the broad guidelines for considering the projects or proposals for the purpose of
incurring expenditure from the Consumer Welfare Fund.
*************


REGISTRATION
1. Application for registration
(1) Every person (other than a non-resident taxable person, a person required to deduct
tax at source under section 51, a person required to collect tax at source under section 52 and
a person supplying online information and data base access or retrieval services from a place
outside India to a non-taxable online recipient referred to in section 14 of the Integrated
Goods and Services Tax Act ) who is liable to be registered under sub-section (1) of section
25 and every person seeking registration under sub-section (3) of section 25 (hereinafter
referred to in this Chapter as the applicant) shall, before applying for registration, declare
his Permanent Account Number (PAN), mobile number, e-mail address, State or Union
territory in Part A of FORM GST REG-01 on the Common Portal, either directly or
through a Facilitation Centre notified by the Commissioner:
Provided that a person having a unit(s) in a Special Economic Zone or being a Special
Economic Zone developer shall make a separate application for registration as a business
vertical distinct from his other units located outside the Special Economic Zone:
Provided further that every person being an Input Service Distributor shall make a separate
application for registration as such Input Service Distributor.
(2) (a) The PAN shall be validated online by the Common Portal from the database
maintained by the Central Board of Direct Taxes constituted under the Central Boards
of Revenue Act, 1963 (54 of 1963);
(b) The mobile number declared under sub-rule (1) shall be verified through a
one-time password sent to the said mobile number; and
(c) The e-mail address declared under sub-rule (1) shall be verified through a
separate one-time password sent to the said e-mail address.
(3) On successful verification of the PAN, mobile number and e-mail address, a
temporary reference number shall be generated and communicated to the applicant on the
said mobile number and e-mail address.
(4) Using the reference number generated under sub-rule (3), the applicant shall
electronically submit an application in Part B of FORM GST REG-01, duly signed or
verified through electronic verification code (EVC), along with documents specified in the
said Form at the Common Portal, either directly or through a Facilitation Centre notified by
the Commissioner.
(5) On receipt of an application under sub-rule (4), an acknowledgement shall be issued
electronically to the applicant in FORM GST REG-02.
(6) A person applying for registration as a casual taxable person shall be given a
temporary reference number by the Common Portal for making advance deposit of tax in
accordance with the provisions of section 27 and the acknowledgement under sub-rule (5)
shall be issued electronically only after the said deposit.


2. Verification of the application and approval
(1) The application shall be forwarded to the proper officer who shall examine the
application and the accompanying documents and if the same are found to be in order,
approve the grant of registration to the applicant within three working days from the date of
submission of application.
(2) Where the application submitted under rule 1 is found to be deficient, either in terms
of any information or any document required to be furnished under the said rule, or where the
proper officer requires any clarification with regard to any information provided in the
application or documents furnished therewith, he may issue a notice to the applicant
electronically in FORM GST REG-03 within three working days from the date of
submission of application and the applicant shall furnish such clarification, information or
documents electronically, in FORM GST REG-04, within seven working days from the date
of receipt of such notice .
Explanation.- The clarification includes modification or correction of particulars declared in
the application for registration, other than PAN, State, mobile number and e-mail address
declared in Part A of FORM GST REG-01.
(3) Where the proper officer is satisfied with the clarification, information or documents
furnished by the applicant, he may approve the grant of registration to the applicant within
seven working days from the date of receipt of such clarification or information or
documents.
(4) Where no reply is furnished by the applicant in response to the notice issued under
sub-rule (2) within the prescribed period or where the proper officer is not satisfied with the
clarification, information or documents furnished, he shall, for reasons to be recorded in
writing, reject such application and inform the applicant electronically in FORM GST REG-
05.
(5) If the proper officer fails to take any action -
(a) within three working days from the date of submission of application, or
(b) within seven working days from the date of receipt of clarification,
information or documents furnished by the applicant under sub-rule (2),
the application for grant of registration shall be deemed to have been approved.
3. Issue of registration certificate

(1) Subject to the provisions of sub-section (12) of section 25, where the application for
grant of registration has been approved under rule 2, a certificate of registration in FORM
GST REG-06 showing the principal place of business and additional place(s) of business
shall be made available to the applicant on the Common Portal and a Goods and Services Tax
Identification Number (hereinafter in these rules referred to as GSTIN) shall be assigned to
him in the following format:
(a) two characters for the State code;
(b) ten characters for the PAN or the Tax Deduction and Collection Account Number;
(c) two characters for the entity code; and
(d) one checksum character.


(2) The registration shall be effective from the date on which the person becomes liable to
registration where the application for registration has been submitted within thirty days from
such date.
(3) Where an application for registration has been submitted by the applicant after thirty
days from the date of his becoming liable to registration, the effective date of registration
shall be the date of grant of registration under sub-rule (1) or sub-rule (3) or sub-rule (5) of
rule 2.
(4) Every certificate of registration shall be digitally signed by the proper officer under the
Act.
(5) Where the registration has been granted under sub-rule (5) of rule 2, the applicant shall be
communicated the registration number, and the certificate of registration under sub-rule (1),
duly signed, shall be made available to him on the Common Portal within three days after
expiry of the period specified in sub-rule (5) of rule 2.
4. Separate registration for multiple business verticals within a State or a Union

territory
(1) Any person having multiple business verticals within a State or a Union territory,
requiring a separate registration for any of its business verticals under sub-section (2) of
section 25 shall be granted separate registration in respect of each of the verticals subject to
the following conditions:
(a) Such person has more than one business vertical as defined in clause (18) of
section 2 ;
(b) No business vertical of a taxable person shall be granted registration to pay tax
under section 10 if any one of the other business verticals of the same person is
paying tax under section 9.
Explanation.- Where any business vertical of a registered person that has been granted
a separate registration becomes ineligible to pay tax under section 10, all other
business verticals of the said person shall become ineligible to pay tax under the said
section.
(c) All separately registered business verticals of such person shall pay tax under
the Act on supply of goods or services or both made to another registered business
vertical of such person and issue a tax invoice for such supply.
(2) A registered person eligible to obtain separate registration for business verticals may
submit a separate application in FORM GST REG-01 in respect of each such vertical.
(3) The provisions of rule 2 and rule 3 relating to verification and grant of registration
shall, mutatis mutandis, apply to an application submitted under this rule.
5. Grant of registration to persons required to deduct tax at source or to collect tax

at source
(1) Any person required to deduct tax in accordance with the provisions of section 51 or a
person required to collect tax at source in accordance with the provisions of section 52 shall
electronically submit an application, duly signed or verified through EVC, in FORM GST


REG-07 for grant of registration through the Common Portal, either directly or from a
(2) The proper officer may grant registration after due verification and issue a certificate
of registration in FORM GST REG-06 within three working days from the date of
submission of application.
(3) Where, upon an enquiry or pursuant to any other proceeding under the Act, the proper
officer is satisfied that a person to whom a certificate of registration in FORM GST REG-06
has been issued is no longer liable to deduct tax at source under section 51 or collect tax at
source under section 52, the said officer may cancel the registration issued under sub-rule (2)
and such cancellation shall be communicated to the said person electronically in FORM
GST REG-08:
Provided that the proper officer shall follow the procedure prescribed in rule 14 for
cancellation of registration.
6. Grant of registration to non-resident taxable person

(1) A non-resident taxable person shall electronically submit an application, along with a
self-attested copy of his valid passport, for registration, duly signed or verified through EVC,
in FORM GST REG-09, at least five days prior to the commencement of business at the
Common Portal either directly or through a Facilitation Centre notified by the Commissioner:
Provided that in the case of a business entity incorporated or established outside India, the
application for registration shall be submitted along with its tax identification number or
unique number on the basis of which the entity is identified by the Government of that
country or its PAN, if available.
(2) A person applying for registration as a non-resident taxable person shall be given a
temporary reference number by the Common Portal for making an advance deposit of tax in
accordance with the provisions of section 27 and the acknowledgement under sub-rule (5) of
rule 1 shall be issued electronically only after the said deposit in his electronic cash ledger.
(3) The provisions of rule 2 and rule 3 relating to verification and grant of registration shall,
mutatis mutandis, apply to an application submitted under this rule.
Explanation. The application for registration made by a non-resident taxable person shall be
signed by his authorized signatory who shall be a person resident in India having a valid
PAN.
7. Grant of registration to a person supplying online information and data base

access or retrieval services from a place outside India to a non-taxable online recipient
(1) Any person supplying online information and data base access or retrieval services
from a place outside India to a non-taxable online recipient shall electronically submit an
application for registration, duly signed or verified through EVC, in FORM GST REG-10,
at the Common Portal, either directly or through a Facilitation Centre notified by the
Commissioner.
(2) The applicant referred to in sub-rule (1) shall be granted registration, in FORM GST
REG-06, subject to such conditions and restrictions and by such officer as may be notified by
the Central Government on the recommendations of the Council.


8. Extension in period of operation by casual taxable person and non-resident taxable
person
(1) Where a registered casual taxable person or a non-resident taxable person intends to
extend the period of registration indicated in his application of registration, an application in
FORM GST REG-11 shall be submitted electronically through the Common Portal, either
directly or through a Facilitation Centre notified by the Commissioner, by such person before
the end of the validity of registration granted to him.
(2) The application under sub-rule (1) shall be acknowledged only on payment of the
amount specified in sub-section (2) of section 27.
9. Suo moto registration

(1) Where, pursuant to any survey, enquiry, inspection, search or any other proceedings
under the Act, the proper officer finds that a person liable to registration under the Act has
failed to apply for such registration, such officer may register the said person on a temporary
basis and issue an order in FORM GST REG- 12.
(2) The registration granted under sub-rule (1) shall be effective from the date of order
granting registration.
(3) Every person to whom a temporary registration has been granted under sub-rule (1)
shall, within thirty days from the date of the grant of such registration, submit an application
for registration in the form and manner provided in rule 1 or rule 5 unless the said person has
filed an appeal against the grant of temporary registration, in which case the application for
registration shall be submitted within thirty days from the date of issuance of order
upholding the liability to registration by the Appellate Authority.
(4) The provisions of rule 2 and rule 3 relating to verification and issue of certificate of
registration shall, mutatis mutandis, apply to an application submitted under sub-rule (3).
(5) The GSTIN assigned pursuant to verification under sub-rule (4) shall be effective
from the date of order granting registration under sub-rule (1).
10. Assignment of Unique Identity Number to certain special entities

(1) Every person required to be granted a Unique Identity Number (UIN) in accordance with
the provisions of sub-section (9) of section 25 may submit an application electronically in
FORM GST REG-13, duly signed or verified through EVC, in the manner specified in rule
1 at the Common Portal, either directly or through a Facilitation Centre notified by the Board
or Commissioner.
(2) The proper officer may, upon submission of an application in FORM GST REG-13 or
after filling up the said form, assign a Unique Identity Number to the said person and issue a
certificate in FORM GST REG-06 within three working days from the date of submission of
application.
11. Display of registration certificate and GSTIN on the name board

(1) Every registered person shall display his certificate of registration in a prominent
location at his principal place of business and at every additional place or places of business.
(2) Every registered person shall display his GSTIN on the name board exhibited at the
entry of his principal place of business and at every additional place or places of business.


12. Amendment of registration
(1) Where there is any change in any of the particulars furnished in the application for
registration in FORM GST REG-01 or FORM GST REG-07 or FORM GST REG-09 or
FORM GST REG-10 or for UIN in FORM GST-REG-13 either at the time of obtaining
registration or UIN or as amended from time to time, the registered person shall, within
fifteen days of such change, submit an application, duly signed or verified through EVC,
electronically in FORM GST REG-14, along with documents relating to such change at the
Common Portal either directly or through a Facilitation Centre notified by the Commissioner.
(2) (a) Where the change relates to-
(i) legal name of business;
(ii) address of the principal place of business or any additional place of business; or
(iii) addition, deletion or retirement of partners or directors, Karta, Managing
Committee, Board of Trustees, Chief Executive Officer or equivalent, responsible
for day to day affairs of the business,-
which does not warrant cancellation of registration under section 29, the proper officer shall,
after due verification, approve the amendment within fifteen working days from the date of
receipt of application in FORM GST REG-14 and issue an order in FORM GST REG-15
electronically and such amendment shall take effect from the date of occurrence of the event
warranting amendment.
(b) The change relating to sub-clause (i) and sub-clause (iii) of clause (a) in any State or
Union territory shall be applicable for all registrations of the registered person obtained under
these rules on the same PAN.
(c) Where the change relates to any particulars other than those specified in clause (a),
the certificate of registration shall stand amended upon submission of the application in
FORM GST REG- 14 on the Common Portal:
Provided that any change in the mobile number or e-mail address of the authorised signatory
submitted under rule 1, as amended from time to time, shall be carried out only after online
verification through the Common Portal in the manner provided under the said rule.
(d) Where a change in the constitution of any business results in change of PAN of a
registered person, the said person shall apply for fresh registration in FORM GST REG-01.
(3) Where the proper officer is of the opinion that the amendment sought under clause (a)
of sub-rule (2) is either not warranted or the documents furnished therewith are incomplete
or incorrect, he may, within fifteen working days from the date of receipt of the application in
FORM GST REG-14 , serve a notice in FORM GST REG-03, requiring the registered
person to show cause, within seven working days of the service of the said notice, as to why
the application submitted under sub-rule (1) shall not be rejected.
(4) The registered person shall furnish a reply to the notice to show cause, issued under sub-
rule 3, in FORM GST REG-04 within seven working days from the date of the service of
the said notice.
(5) Where the reply furnished under sub-rule (4) is found to be not satisfactory or where no
reply is furnished in response to the notice issued under sub-rule (3) within the period


prescribed in sub-rule (4), the proper officer shall reject the application submitted under sub-
rule (1) and pass an order in FORM GST REG -05.
(6) If the proper officer fails to take any action-
(a) within fifteen working days from the date of submission of application, or
(b) within seven working days from the date of receipt of reply to the notice to show
cause under sub-rule (4),
the certificate of registration shall stand amended to the extent applied for and the amended
certificate shall be made available to the registered person on the Common Portal.
13. Application for cancellation of registration

A registered person, other than a person to whom a registration has been granted under rule 5
or a person to whom a Unique Identity Number has been granted under rule 10 , seeking
cancellation of his registration under sub-section (1) of section 29 shall electronically submit
an application in FORM GST REG-16, including therein the details of inputs held in stock
or inputs contained in semi-finished or finished goods held in stock and of capital goods held
in stock on the date from which cancellation of registration is sought, liability thereon, details
of the payment, if any, made against such liability and may furnish, along with the
application, relevant documents in support thereof at the Common Portal within thirty days of
occurrence of the event warranting cancellation, either directly or through a Facilitation
Centre notified by the Commissioner:
Provided that no application for cancellation of registration shall be considered in case of a
taxable person, who has registered voluntarily, before the expiry of a period of one year from
the effective date of registration.
14. Registration to be cancelled in certain cases

The registration granted to a person is liable to be cancelled if the said person
(a) does not conduct any business from the declared place of business; or
(b) issues invoice or bill without supply of goods or services in violation of the provisions of
this Act, or the rules made thereunder.
15. Cancellation of registration

(1) Where the proper officer has reasons to believe that the registration of a person is liable to
be cancelled under section 29, he shall issue a notice to such person in FORM GST REG-
17, requiring him to show cause within seven working days from the date of service of such
notice as to why his registration should not be cancelled.
(2) The reply to the show cause notice issued under sub-rule (1) shall be furnished in FORM
REG18 within the period prescribed in the said sub-rule.
(3) Where a person who has submitted an application for cancellation of his registration is no
longer liable to be registered or his registration is liable to be cancelled, the proper officer
shall issue an order in FORM GST REG-19, within thirty days from the date of application
submitted under sub-rule (1) of rule 13 or, as the case may be, the date of reply to the show
cause issued under sub-rule (1), cancel the registration, with effect from a date to be


determined by him and notify the taxable person, directing to pay arrears of any tax, interest
or penalty including the amount liable to be paid under sub-section(5) of section 29.
(4) Where the reply furnished under sub-rule (2) is found to be satisfactory, the proper officer
shall drop the proceedings and pass an order in FORM GST REG 20.
(5) The provisions of sub-rule (3) shall, mutatis mutandis, apply to the legal heirs of a
deceased proprietor, as if the application had been submitted by the proprietor himself.
16. Revocation of cancellation of registration

(1) A registered person, whose registration is cancelled by the proper officer on his own
motion, may submit an application for revocation of cancellation of registration, in FORM
GST REG-21, to such proper officer, within thirty days from the date of service of the order
of cancellation of registration at the Common Portal, either directly or through a Facilitation
Centre notified by the Commissioner:
Provided that no application for revocation shall be filed if the registration has been cancelled
for the failure of the registered person to furnish returns, unless such returns are furnished and
any amount due as tax, in terms of such returns has been paid along with any amount payable
towards interest, penalty and late fee payable in respect of the said returns.
(2)(a) Where the proper officer is satisfied, for reasons to be recorded in writing, that there
are sufficient grounds for revocation of cancellation of registration, he shall revoke the
cancellation of registration by an order in FORM GST REG-22 within thirty days from the
date of receipt of the application and communicate the same to the applicant.
(b) The proper officer may, for reasons to be recorded in writing, under circumstances
other than those specified in clause (a), by an order in FORM GST REG-05, reject the
application for revocation of cancellation of registration and communicate the same to the
applicant.
(3) The proper officer shall, before passing the order referred to in clause (b) of sub-rule
(2), issue a notice in FORM GST REG23 requiring the applicant to show cause as to why
the application submitted for revocation under sub-rule (1) should not be rejected and the
applicant shall furnish the reply within seven working days from the date of the service of
notice in FORM GST REG-24.
(4) Upon receipt of the information or clarification in FORM GST REG-24, the proper
officer shall proceed to dispose of the application in the manner specified in sub-rule (2)
within thirty days from the date of receipt of such information or clarification from the
applicant.
17. Migration of persons registered under the existing law

(1) (a) Every person, other than a person deducting tax at source or an Input Service
Distributor, registered under an existing law and having a PAN issued under the Income-tax
Act, 1961 (Act 43 of 1961) shall enrol on the Common Portal by validating his e-mail
address and mobile number, either directly or through a Facilitation Centre notified by the
Commissioner.
(b) Upon enrolment under clause (a), the said person shall be granted registration on a
provisional basis and a certificate of registration in FORM GST REG-25, incorporating the
GSTIN therein, shall be made available to him on the Common Portal:


Provided that a taxable person who has been granted multiple registrations under the existing
law on the basis of a single PAN shall be granted only one provisional registration under the
Act:
Provided further that a person having centralized registration under Chapter V of the Finance
Act, 1994 shall be granted only one provisional registration in the State or Union territory in
which he is registered under the existing law. (CGST Rules only)
(2)(a) Every person who has been granted a provisional registration under sub-rule (1) shall
submit an application electronically in FORM GST REG26 , duly signed or verified
through EVC, along with the information and documents specified in the said application, on
the Common Portal either directly or through a Facilitation Centre notified by the
Commissioner.
(b) The information asked for in clause (a) shall be furnished within a period of three months
or within such further period as may be extended by in this behalf.
(c) If the information and the particulars furnished in the application are found, by the
proper officer, to be correct and complete, a certificate of registration in FORM GST REG-
06 shall be made available to the registered person electronically on the Common Portal.
(3) Where the particulars or information specified in sub-rule (2) have either not been
furnished or not found to be correct or complete, the proper officer shall, after serving a
notice to show cause in FORM GST REG-27 and after affording the person concerned a
reasonable opportunity of being heard, cancel the provisional registration granted under sub-
rule (1) and issue an order in FORM GST REG-28:
Provided that the show cause notice issued in FORM GST REG- 27 can be vacated by
issuing an order in FORM GST REG- 20 , if it is found, after affording the person an
opportunity of being heard, that no such cause exists for which the notice was issued.
(4) Every person registered under any of the existing laws, who is not liable to be
registered under the Act may, within thirty days from the appointed day, at his option, submit
an application electronically in FORM GST REG-29 at the Common Portal for cancellation
of the registration granted to him and the proper officer shall, after conducting such enquiry
as deemed fit, cancel the said registration.
18. Physical verification of business premises in certain cases
Where the proper officer is satisfied that the physical verification of the place of business of a
registered person is required after grant of registration, he may get such verification done and
the verification report along with other documents, including photographs, shall be uploaded
in FORM GST REG-30 on the Common Portal within fifteen working days following the
date of such verification.
19. Method of authentication

(1) All applications, including reply, if any, to the notices, returns including the details of
outward and inward supplies, appeals or any other document required to be submitted under
these rules shall be so submitted electronically with digital signature certificate or through e-
signature as specified under the Information Technology Act, 2000 (21 of 2000) or verified
through aadhaar based electronic verification code or through any other mode of signature or
verification notified by the Board in this behalf:


Provided that where the mode of authentication of any document is selected as through
aadhaar based electronic verification code, such verification shall be done within two days
of furnishing the said document:
Provided further that a registered person registered under the Companies Act, 2013 (18 of
2013) shall furnish the documents or application verified through digital signature certificate
only.
(2) Each document including the return furnished online shall be signed or verified
through EVC-
(a) in the case of an individual, by the individual himself or where he is absent from India
by some other person duly authorised by him in this behalf, and where the individual is
mentally incapacitated from attending to his affairs, by his guardian or by any other person
competent to act on his behalf;
(b) in the case of a Hindu Undivided Family, by a Karta and where the Karta is absent
from India or is mentally incapacitated from attending to his affairs, by any other adult
member of such family or by the authorised signatory of such Karta;
(c) in the case of a company, by the chief executive officer or authorised signatory thereof;
(d) in the case of a Government or any Governmental agency or local authority, by an
officer authorised in this behalf;
(e) in the case of a firm, by any partner thereof, not being a minor or authorised signatory;
(f) in the case of any other association, by any member of the association or persons or
authorised signatory;
(g) in the case of a trust, by the trustee or any trustee or authorised signatory; or
(h) in the case of any other person, by some person competent to act on his behalf,
or by a person authorised in accordance with the provisions of section 48.
(3) All notices, certificates and orders under these rules shall be issued electronically by
the proper officer or any other officer authorised to issue such notices or certificates or
orders, through digital signature certificate specified under the Information Technology Act,
2000 (21 of 2000).
*********

TAX INVOICE, CREDIT AND DEBIT NOTES
1. Tax invoice
Subject to rule 7, a tax invoice referred to in section 31 shall be issued by the registered person containing
the following particulars:-
(a) name, address and GSTIN of the supplier;
(b) a consecutive serial number not exceeding sixteen characters, in one or multiple series,
containing alphabets or numerals or special characters hyphen or dash and slash symbolised
as - and / respectively, and any combination thereof, unique for a financial year;
(c) date of its issue;
(d) name, address and GSTIN or UIN, if registered, of the recipient;
(e) name and address of the recipient and the address of delivery, along with the name of State
and its code, if such recipient is un-registered and where the value of taxable supply is fifty
thousand rupees or more;
(f) HSN code of goods or Accounting Code of services;
(g) description of goods or services;
(h) quantity in case of goods and unit or Unique Quantity Code thereof;
(i) total value of supply of goods or services or both;
(j) taxable value of supply of goods or services or both taking into account discount or
abatement, if any;
(k) rate of tax (central tax, State tax, integrated tax, Union territory tax or cess);
(l) amount of tax charged in respect of taxable goods or services (central tax, State tax,
integrated tax, Union territory tax or cess);
(m) place of supply along with the name of State, in case of a supply in the course of inter-State
trade or commerce;
(n) address of delivery where the same is different from the place of supply;
(o) whether the tax is payable on reverse charge basis; and
(p) signature or digital signature of the supplier or his authorized representative:
Provided that the Commissioner may, on the recommendations of the Council, by notification,
specify -
(i) the number of digits of HSN code for goods or the Accounting Code for services, that a
class of registered persons shall be required to mention, for such period as may be specified in the
said notification, and
(ii) the class of registered persons that would not be required to mention the HSN code for
goods or the Accounting Code for services, for such period as may be specified in the said
notification:
Provided further that where an invoice is required to be issued under clause (f) of sub-section (3) of
section 31, it shall bear the signature or digital signature of the recipient or his authorized
representative:

Provided also that in case of export of goods or services, the invoice shall carry an endorsement
SUPPLY MEANT FOR EXPORT ON PAYMENT OF INTEGRATED TAX or SUPPLY
MEANT FOR EXPORT UNDER BOND OR LETTER OF UNDERTAKING WITHOUT
PAYMENT OF INTEGRATED TAX, as the case may be, and shall, in lieu of the details specified
in clause (e), contain the following details:
(i) name and address of the recipient;
(ii) address of delivery; and
(iii) name of the country of destination:
Provided also that a registered person may not issue a tax invoice in accordance with the provisions of
clause
(b) of sub-section (3) of section 31 subject to the following conditions, namely:-
(a) the recipient is not a registered person; and
(b) the recipient does not require such invoice, and shall issue a consolidated tax invoice for
such supplies at the close of each day in respect of all such supplies.
2. Time limit for issuing tax invoice

The invoice referred to in rule 1, in case of taxable supply of services, shall be issued within a period of
thirty days from the date of supply of service:
Provided that where the supplier of services is an insurer or a banking company or a financial
institution, including a non-banking financial company, the period within which the invoice or any
document in lieu thereof is to be issued shall be forty five days from the date of supply of service:
Provided further that an insurer or a banking company or a financial institution, including a non-
banking financial company, or a telecom operator, or any other class of supplier of services as may be
notified by the Government on the recommendations of the Council, making taxable supplies of services
between distinct persons as specified in section 25, may issue the invoice before or at the time such supplier
records the same in his books of account or before the expiry of the quarter during which the supply was
made.
3. Manner of issuing invoice

(1) The invoice shall be prepared in triplicate, in case of supply of goods, in the following manner:
(a) the original copy being marked as ORIGINAL FOR RECIPIENT;
(b) the duplicate copy being marked as DUPLICATE FOR TRANSPORTER; and
(c) the triplicate copy being marked as TRIPLICATE FOR SUPPLIER.
(2) The invoice shall be prepared in duplicate, in case of supply of services, in the following manner:-
(a) the original copy being marked as ORIGINAL FOR RECIPIENT; and
(b) the duplicate copy being marked as DUPLICATE FOR SUPPLIER.
(3) The serial number of invoices issued during a tax period shall be furnished electronically through
the Common Portal in FORM GSTR-1.
4. Bill of supply
A bill of supply referred to in clause (c) of sub-section (3) of section 31 shall be issued by the supplier
containing the following details:-


(b) a consecutive serial number not exceeding sixteen characters, in one or more multiple
series, containing alphabets or numerals or special characters -hyphen or dash and slash
symbolised as - and /respectively, and any combination thereof, unique for a financial
year;
(e) HSN Code of goods or Accounting Code for services;
(f) description of goods or services or both;
(g) value of supply of goods or services or both taking into account discount or abatement, if
any; and
(h) signature or digital signature of the supplier or his authorized representative:
Provided that the provisos to rule 1 shall, mutatis mutandis, apply to the bill of supply issued under
this rule.
Provided further that any tax invoice or any other similar document issued under any other Act for
the time being in force in respect of any non-taxable supply shall be treated as bill of supply for the
purposes of the Act.
5. Receipt voucher
A receipt voucher referred to in clause (d) of sub-section (3) of section 31 shall contain the following
particulars:
containing alphabets or numerals or special characters -hyphen or dash and slash
year
(e) description of goods or services;
(f) amount of advance taken;
(g) rate of tax (central tax, State tax, integrated tax, Union territory tax or cess);
(h) amount of tax charged in respect of taxable goods or services (central tax, State tax,
(i) place of supply along with the name of State and its code, in case of a supply in the course
of inter-State trade or commerce;
(j) whether the tax is payable on reverse charge basis; and
(k) signature or digital signature of the supplier or his authorized representative:
Provided that where at the time of receipt of advance,
(i) the rate of tax is not determinable, the tax shall be paid at the rate of eighteen per
cent.;
(ii) the nature of supply is not determinable, the same shall be treated as inter-State supply.

6. Refund voucher
A refund voucher referred to in clause (e) of sub-section (3) of section 31 shall contain the following
particulars:
year
(e) number and date of receipt voucher issued in accordance with provisions of sub- rule 5;
(f) description of goods or services in respect of which refund is made;
(g) amount of refund made;
(h) rate of tax (central tax, State tax, integrated tax, Union territory tax or cess);
(i) amount of tax paid in respect of such goods or services (central tax, State tax, integrated
tax, Union territory tax or cess);
(j) whether the tax is payable on reverse charge basis; and
(k) signature or digital signature of the supplier or his authorized representative.
7. Payment voucher
A payment voucher referred to in clause (g) of sub-section (3) of section 31 shall contain the following
particulars:
(a) name, address and GSTIN of the supplier if registered;
year
(d) name, address and GSTIN of the recipient;
(e) description of goods or services;
(f) amount paid;
(g) rate of tax (central tax, State tax, integrated tax, Union territory tax or cess);
(h) amount of tax payable in respect of taxable goods or services (central tax, State tax,
(i) place of supply along with the name of State and its code, in case of a supply in the course
of inter-State trade or commerce; and
(j) signature or digital signature of the supplier or his authorized representative.

8. Revised tax invoice and credit or debit notes

(1) A revised tax invoice referred to in section 31 and credit or debit note referred to in section 34 shall
contain the following particulars -
(a) the word Revised Invoice, wherever applicable, indicated prominently;

(b) name, address and GSTIN of the supplier;
(c) nature of the document;
(d) a consecutive serial number not exceeding sixteen characters, in one or multiple series,
symbolised as - and /respectively,, and any combination thereof, unique for a financial
year;
(e) date of issue of the document;
(f) name, address and GSTIN or UIN, if registered, of the recipient;
(g) name and address of the recipient and the address of delivery, along with the name of State
and its code, if such recipient is un-registered;
(h) serial number and date of the corresponding tax invoice or, as the case may be, bill of
supply;
(i) value of taxable supply of goods or services, rate of tax and the amount of the tax credited
or, as the case may be, debited to the recipient; and
(j) signature or digital signature of the supplier or his authorized representative:
(2) Every registered person who has been granted registration with effect from a date earlier than the
date of issuance of certificate of registration to him, may issue revised tax invoices in respect of taxable
supplies effected during the period starting from the effective date of registration till the date of issuance of
certificate of registration:
Provided that the registered person may issue a consolidated revised tax invoice in respect of all
taxable supplies made to a recipient who is not registered under the Act during such period:
Provided further that in case of inter-State supplies, where the value of a supply does not exceed
two lakh and fifty thousand rupees, a consolidated revised invoice may be issued separately in respect of all
recipients located in a State, who are not registered under the Act.
(3) Any invoice or debit note issued in pursuance of any tax payable in accordance with the provisions
of section 74 or section 129 or section 130 shall prominently contain the words INPUT TAX CREDIT
NOT ADMISSIBLE.
9. Tax invoice in special cases

(1) An ISD invoice or, as the case may be, an ISD credit note issued by an Input Service Distributor
shall contain the following details:-
(a) name, address and GSTIN of the Input Service Distributor;
containing alphabets or numerals or special characters hyphen or dash and slash
symbolised as , -, /, respectively, and any combination thereof, unique for a financial
year;
(d) name, address and GSTIN of the recipient to whom the credit is distributed;
(e) amount of the credit distributed; and
(f) signature or digital signature of the Input Service Distributor or his authorized
representative:

Provided that where the Input Service Distributor is an office of a banking company or a financial
institution, including a non-banking financial company, a tax invoice shall include any document in lieu
thereof, by whatever name called, whether or not serially numbered but containing the information as
prescribed above.
(2) Where the supplier of taxable service is an insurer or a banking company or a financial institution,
including a non-banking financial company, the said supplier shall issue a tax invoice or any other
document in lieu thereof, by whatever name called, whether issued or made available, physically or
electronically whether or not serially numbered, and whether or not containing the address of the recipient
of taxable service but containing other information as prescribed under rule 1.
(3) Where the supplier of taxable service is a goods transport agency supplying services in relation to
transportation of goods by road in a goods carriage, the said supplier shall issue a tax invoice or any other
document in lieu thereof, by whatever name called, containing the gross weight of the consignment, name
of the consignor and the consignee, registration number of goods carriage in which the goods are
transported, details of goods transported, details of place of origin and destination, GSTIN of the person
liable for paying tax whether as consignor, consignee or goods transport agency, and also containing other
information as prescribed under rule 1.
(4) Where the supplier of taxable service is supplying passenger transportation service, a tax invoice
shall include ticket in any form, by whatever name called, whether or not serially numbered, and whether or
not containing the address of the recipient of service but containing other information as prescribed under
rule 1.
(5) The provisions of sub-rule (2) or sub-rule (4) shall apply, mutatis mutandis, to the documents issued
under rule 4 or rule 5 or rule 6 or rule 7 or rule 8.
10. Transportation of goods without issue of invoice

(1) For the purposes of
(a) supply of liquid gas where the quantity at the time of removal from the place of business of
the supplier is not known,
(b) transportation of goods for job work,
(c) transportation of goods for reasons other than by way of supply, or
(d) such other supplies as may be notified by the Board,
the consigner may issue a delivery challan, serially numbered not exceeding sixteen characters, in one or
multiple series, in lieu of invoice at the time of removal of goods for transportation, containing the
following details:
(i) date and number of the delivery challan,
(ii) name, address and GSTIN of the consigner, if registered,
(iii) name, address and GSTIN or UIN of the consignee, if registered,
(iv) HSN code and description of goods,
(v) quantity (provisional, where the exact quantity being supplied is not known),
(vi) taxable value,
(vii) tax rate and tax amount central tax, State tax, integrated tax, Union territory tax or cess,
where the transportation is for supply to the consignee,
(viii) place of supply, in case of inter-State movement, and
(ix) signature.
(2) The delivery challan shall be prepared in triplicate, in case of supply of goods, in the following
manner:

(a) the original copy being marked as ORIGINAL FOR CONSIGNEE;

(b) the duplicate copy being marked as DUPLICATE FOR TRANSPORTER; and
(c) the triplicate copy being marked as TRIPLICATE FOR CONSIGNOR.
(3) Where goods are being transported on a delivery challan in lieu of invoice, the same shall be
declared in FORM [WAYBILL].
(4) Where the goods being transported are for the purpose of supply to the recipient but the tax invoice
could not be issued at the time of removal of goods for the purpose of supply, the supplier shall
issue a tax invoice after delivery of goods.
(5) Where the goods are being transported in a semi knocked down or completely knocked down
condition,
(a) the supplier shall issue the complete invoice before dispatch of the first consignment;
(b) (b) the supplier shall issue a delivery challan for each of the subsequent consignments,
giving reference of the invoice;
(c) each consignment shall be accompanied by copies of the corresponding delivery challan
along with a duly certified copy of the invoice; and
(d) the original copy of the invoice shall be sent along with the last consignment.
******

GST RATE SCHEDULE FOR GOODS

[As per discussions in the GST Council Meeting held on 18th May, 2017]
The fitment of rates of goods were discussed today during the 14th GST Council meeting held at Srinagar, Jammu & Kashmir. The Council has
broadly approved the GST rates for goods at nil rate, 5%, 12%, 18% and 28% to be levied on certain goods. The information is being uploaded
immediately after the GST Councils decision and it will be subject to further vetting during which the list may undergo some changes.
GST rates for certain goods like textile, footwear, biris, precious metals, etc. are yet to be decided by the GST Council. The footnote below the
table gives the list of such goods.
S. Chapter Nil 5% 12% 18% 28%

No.
1. 1 All goods other - Live horses [01012100, - -
(Live animals) than live horses 010129]
[0101 Live asses,
mules and hinnies
0102 Live
bovine animals
0103 Live swine
0104 Live sheep
and goats
0105 Live
poultry, that is to
say, fowls of the
species Gallus
domesticus, ducks,
geese, turkeys and
guinea fowls.
0106 Other live
animal such as
Mammals, Birds,
Insects]

S. Chapter Nil 5% 12% 18% 28%

No.
2. 2 All goods other - 1. All goods in frozen - -
(Meat and edible than in frozen state state and put up in
meat offal) and put up in unit unit containers
containers. [0202, 0203, 0204,
0205, 0206, 0207,
[0201 Meat of 0208, 0209]
bovine animals, 2. Pig fat, free of lean
fresh and chilled. meat, and poultry fat,
0203 Meat of not rendered or
swine, fresh or otherwise extracted,
chilled. salted, in brine, dried
0204 Meat of or smoked put up in
sheep or goats, unit containers
fresh or chilled. [0209]
0205 Meat of 3. Meat and edible
horses, asses, meat offal, salted, in
mules or hinnies, brine, dried or
fresh or chilled. smoked; edible
0206 Edible flours and meals of
offal of bovine meat or meat offal
animals, swine, put up in unit
sheep, goats, containers [0210]
horses, asses,
mules or hinnies,
fresh or chilled.
0207 Meat and
edible offal, of the
poultry of heading

S. Chapter Nil 5% 12% 18% 28%

No.
0105, fresh or
chilled.
0208 Other meat
and edible meat
offal, fresh or
chilled.
0209 Pig fat, free
of lean meat, and
poultry fat, not
rendered or
otherwise
extracted, fresh,
chilled.
3. 3 1. Fish seeds, All goods (other than - - -

(Fish, prawn / shrimp fish seeds, prawn /
crustaceans, seeds whether shrimp seed) processed,
molluscs & other or not cured or in frozen state
aquatic processed,
invertebrates) cured or in 1. 0303 Fish,
frozen state frozen, excluding
2. All goods, fish fillets and other
other than fish meat of heading
processed, 0304
cured or in 2. 0304 Fish
frozen state fillets and other fish
meat (whether or not
1. 0301 minced), frozen.
Live fish.

S. Chapter Nil 5% 12% 18% 28%

No.
2. 0302 3. 0305 Fish,
Fish, fresh dried, salted or in
or chilled, brine; smoked fish,
excluding fish whether or not
fillets and cooked before or
other fish meat during the smoking
of heading process; flours,
0304 meals and pellets of
3. 0304 fish, fit for human
Fish fillets consumption
and other fish 4. 0306 Crustaceans,
meat (whether whether in shell or
or not minced), not, frozen, dried,
fresh or salted or in brine;
chilled. crustaceans, in shell,
4. 0306 cooked by steaming
Crustaceans, or by boiling in
whether in water, frozen, dried,
shell or not, salted or in brine;
live, fresh or flours, meals and
chilled; pellets of
crustaceans, in crustaceans, fit for
shell, cooked human consumption.
by steaming or 5. 0307 Molluscs,
by boiling in whether in shell or
water, chilled. not, frozen, dried,
5. 0307 Molluscs, salted or in brine;
whether in aquatic invertebrates
shell or not, other than

S. Chapter Nil 5% 12% 18% 28%

No.
live, fresh, crustaceans and
chilled; aquatic molluscs, frozen,
invertebrates dried, salted or in
other than brine; flours, meals
crustaceans and pellets of aquatic
and molluscs, invertebra other than
live, fresh, crustaceans, fit for
chilled. human consumption
6. 0308 Aquatic 6. 0308 Aquatic
invertebrates invertebrates other
other than than crustaceans and
crustaceans molluscs, frozen,
and molluscs, dried, salted or in
live, fresh or brine; smoked
chilled. aquatic invertebrates
other than
crustaceans and
molluscs, whether or
not cooked before or
during the smoking
process: flours,
meals and pellets of
aquatic invertebrates
other than
crustaceans and
molluscs, fit for
human
consumption.

S. Chapter Nil 5% 12% 18% 28%

No.
4. 4 1. Fresh milk and All goods not specified 1. Butter and other 1. Condensed milk -
(Dairy produce; pasteurised elsewhere. fats (ghee, butter oil, [04029110,
birds eggs; milk, including etc.) and oils derived 04029920]
natural honey; separated milk, 1. Ultra High from milk; dairy
edible products of milk and Temperature (UHT) spreads [0405]
animal origin, not cream, not milk [0401] 2. Cheese [0406]
elsewhere concentrated 2. 0402 Milk and
specified) nor containing cream, concentrated
added sugar or or containing added
other sugar or other
sweetening sweetening matter
matter, including skimmed
excluding milk powder, milk
Ultra High food for babies,
Temperature excluding
(UHT) milk condensed milk.
[0401] 3. 0403 Cream,
2. Eggs Birds' yogurt, kephir and
eggs, in shell, other fermented or
fresh, acidified milk and
preserved or cream, whether or
cooked [0407] not concentrated or
3. Curd [0403, containing added
0406], sugar or other
4. Lassi [0403], sweetening matter or
5. Butter milk flavoured or
[0403] containing added
6. Chena or fruit, nuts or cocoa.
paneer [0406],

S. Chapter Nil 5% 12% 18% 28%

No.
other than put 4. 0404 Whey,
up in unit whether or not
containers and concentrated or
bearing a containing added
registered sugar or other
brand name. sweetening matter;
7. 0409 Natural products consisting
honey, other of natural milk
than put up in constituents,
unit container whether or not
and bearing a containing added
registered sugar or other
brand name. sweetening matter,
not elsewhere
specified or
included.
5. Chena or paneer put
up in unit container
and bearing a
registered brand
name [0406].
6. 0408 Birds'
eggs, not in shell,
and egg yolks, fresh,
dried, cooked by
steaming or by
boiling in water,
moulded, frozen or
otherwise preserved,

S. Chapter Nil 5% 12% 18% 28%

No.
whether or not
containing added
sugar or other
sweetening matter.
7. 0409 Natural
honey, put up in unit
container and
bearing a registered
brand name.
8. 0410 Edible
products of animal
origin, not elsewhere
specified or
included.
5. 5 1. Human hair, All goods not specified - - -

(Products of unworked, elsewhere
animal origin, not whether or not
elsewhere washed or 1. 0502 Pigs',
specified or scoured; waste hogs' or boars'
included) of human hair bristles and hair;
[0501] badger hair and other
2. Semen brush making hair;
including waste of such
frozen semen bristles or hair.
[0511] 2. 0503 blank in tariff
3. 0504 Guts,
bladders and
stomachs of animals

S. Chapter Nil 5% 12% 18% 28%

No.
(other than fish),
whole and pieces
thereof, fresh,
chilled, frozen,
salted, in brine, dried
or smoked.
4. 0505 Skins
and other parts of
birds, with their
feathers or down,
feathers and parts of
feathers (whether or
not with trimmed
edges) and down,
not further worked
than cleaned,
disinfected or treated
for preservation;
powder and waste of
feathers or parts of
feathers
5. 0506 Bones
and horn-cores,
unworked, defatted,
simply prepared (but
not cut to shape),
treated with acid or
gelatinised; powder

S. Chapter Nil 5% 12% 18% 28%

No.
and waste of these
products.
6. 0507 Ivory,
tortoise-shell,
whalebone and
whalebone hair,
horns, antlers,
hooves, nails, claws
and beaks,
unworked or
simply prepared
but not cut to shape;
powder and waste of
these products.
7. 0508 Coral
and similar
materials,
unworked or simply
prepared but not
otherwise worked;
shells of molluscs,
crustaceans or
echinoderms and
cuttle-bone,
unworked or simply
prepared but not cut
to shape, powder and
waste thereof.
8. 0509 blank in tariff

S. Chapter Nil 5% 12% 18% 28%

No.
9. 0510 Ambergris,
castoreum, civet
and musk;
cantharides; bile,
whether or not dried;
glands and other
animal products
used in the
preparation of
pharmaceutical
products, fresh,
chilled, frozen or
otherwise
provisionally
preserved.
10. 0511 Animal
products not
elsewhere specified
or included; dead
animals of Chapter 1
or 3, unfit for human
consumption, other
than semen
including frozen
semen.
6. 6 1. All goods - - - -
(Live trees and
other plants;

S. Chapter Nil 5% 12% 18% 28%

No.
bulbs, roots and
the like; cut
flowers and
ornamental
foliage)
7. 7 Fresh vegetables, 1. Herb, bark, dry - - -
(Edible roots and tubers plant, dry root,
vegetables, roots other than those in commonly known as
and tubers) frozen or jari booti and dry
preserved state flower;
2. 0710 Vegetables
1. 0701 Potatoes, (uncooked or cooked
fresh or by steaming or
chilled. boiling in water),
2. 0702 frozen.
Tomatoes, 3. 0711 Vegetables
fresh or provisionally
chilled. preserved (for
3. 0703 Onions, example, by sulphur
shallots, garlic, dioxide gas, in brine,
leeks and other in sulphur water or
alliaceous in other preservative
vegetables, solutions), but
fresh or unsuitable in that
chilled. state for immediate
4. 0704 consumption.
Cabbages, 4. 0714 Manioc,
cauliflowers, arrowroot, salep,
kohlrabi, kale Jerusalem

S. Chapter Nil 5% 12% 18% 28%

No.
and similar artichokes, sweet
edible potatoes and similar
brassicas, fresh roots and tubers with
or chilled. high starch or inulin
5. 0705 Lettuce content, frozen or
(Lactuca dried, whether or
sativa) and not sliced or in the
chicory form of pellets.
(Cichorium
spp.), fresh or
chilled.
6. 0706 Carrots,
turnips, salad
beetroot,
salsify,
celeriac,
radishes and
similar edible
roots, fresh or
chilled.
7. 0707
Cucumbers
and gherkins,
fresh or
chilled.
8. 0708
Leguminous
vegetables,
shelled or

S. Chapter Nil 5% 12% 18% 28%

No.
unshelled,
fresh or
chilled.
9. 0709 Other
vegetables,
fresh or
chilled.
10. 0712
Dried
vegetables,
whole, cut,
sliced, broken
or in powder,
but not further
prepared.
11. 0713
Dried
leguminous
vegetables,
shelled,
whether or not
skinned or
split.
12. 0714 Manioc,
arrowroot,
salep,
Jerusalem
artichokes,
sweet potatoes

S. Chapter Nil 5% 12% 18% 28%

No.
and similar
roots and
tubers with
high starch or
inulin content,
fresh or
chilled; sago
pith.
8. 8 Fresh fruits other 1. 0802 Dried Dry fruits - -

(Edible fruit and than in frozen state areca nuts, whether
nuts; peel of or preserved or not shelled or 2. 0801 Brazil
citrus fruit or peeled,. nuts and cashew
melons) 1. 0801 nuts, fresh or dried,
Coconuts, All goods, other than dry whether or not
fresh or dried, fruits, in frozen state or shelled or peeled.
whether or not preserved. 3. 0802 Other
shelled or nuts, dried, whether
peeled. 1. 0811 Fruit and or not shelled or
2. 0802 Other nuts, uncooked or peeled, such as
nuts, fresh such cooked by steaming Almonds, Hazelnuts
as Almonds, or boiling in water, or filberts (Coryius
Hazelnuts or frozen, whether or spp.), walnuts,
filberts not containing added Chestnuts (Castanea
(Coryius spp.), sugar or other spp.), Pistachios,
walnuts, sweetening matter. Macadamia nuts,
Chestnuts 2. 0812 Fruit and Kola nuts (Cola
(Castanea nuts, provisionally spp.), other than
spp.), preserved (for areca nuts.

S. Chapter Nil 5% 12% 18% 28%

No.
Pistachios, example, by sulphur 4. 0804 Dates,
Macadamia dioxide gas, in brine, figs, pineapples,
nuts, Kola nuts in sulphur water or avocados, guavas,
(Cola spp.), in other preservative mangoes and
Areca nuts. solutions), but mangosteens, dried.
3. 0803 Bananas, unsuitable in that 5. 0806 Grapes,
including state for immediate dried, and raisins
plantains, consumption. 6. 0813 Fruit,
fresh or dried 3. 0814 Peel of dried, other than that
4. 0804 citrus fruit or melons of headings 0801 to
Dates, figs, (including 0806; mixtures of
pineapples, watermelons), nuts or dried fruits of
avocados, frozen, dried or Chapter 8.
guavas, provisionally
mangoes and preserved in brine, in
mangosteens, sulphur water or in
fresh. other preservative
5. 0805 Citrus solutions.
fruit, such as
Oranges,
Mandarins
(including
tangerines and
satsumas);
clementines,
wilkings and
similar citrus
hybrids,
Grapefruit,

S. Chapter Nil 5% 12% 18% 28%

No.
including
pomelos,
Lemons
(Citrus limon,
Citrus
limonum) and
limes (Citrus
aurantifolia,
Citrus
latifolia),
fresh.
6. 0806 Grapes,
fresh
7. 0807 Melons
(including
watermelons)
and papaws
(papayas),
fresh.
8. 0808 Apples,
pears and
quinces, fresh.
9. 0809Apricots,
cherries,
peaches
(including
nectarines),
plums and
sloes, fresh.

S. Chapter Nil 5% 12% 18% 28%

No.
10. 0810 Other
fruit such as
strawberries,
raspberries,
blackberries,
mulberries and
loganberries,
black, white or
red currants
and
gooseberries,
cranberries,
bilberries and
other fruits of
the genus
vaccinium,
Kiwi fruit,
Durians,
Persimmons,
Pomegranates,
Tamarind,
Sapota (chico),
Custard-apple
(ata), Bore,
Lichi, fresh.
11. 0814 Peel of
citrus fruit or
melons
(including

S. Chapter Nil 5% 12% 18% 28%

No.
watermelons),
fresh.
9. 9 1. All goods of All goods not specified - - -

(Coffee, tea, mate seed quality elsewhere
and spices) 2. 0901 Coffee
Mate a bitter beans, not 1. 0901 Coffee,
infusion of the roasted. whether or not
leaves of a South 3. Unprocessed roasted or
American shrub. green leaves of decaffeinated;
tea [0902], coffee husks and
4. Fresh ginger skins; coffee
[09101110] substitutes
and fresh containing coffee in
turmeric any proportion, other
[09103010] than coffee beans not
other than in roasted.
processed form 2. 0902 Tea,
whether or not
flavoured, other than
unprocessed green
leaves of tea.
3. 0903 Mat.
4. 0904 Pepper of
the genus Piper;
dried or crushed or
ground fruits of the
genus Capsicum or

S. Chapter Nil 5% 12% 18% 28%

No.
of the genus
Pimenta.
5. 0905 Vanilla.
6. 0906
Cinnamon and
cinnamon-tree
flowers.
7. 0907 Cloves
(whole fruit, cloves
and stems).
8. 0908 Nutmeg,
mace and
cardamoms.
9. 0909 Seeds of
anise, badian, fennel,
coriander, cumin or
caraway; juniper
berries, other than of
seed quality.
10. 0910 Ginger
other than fresh
ginger, saffron,
turmeric (curcuma)
other than fresh
turmeric, thyme, bay
leaves, curry and
other spices.

S. Chapter Nil 5% 12% 18% 28%

No.
10. 10 All goods [other - - - -
(Cereals) than those put up
in unit container
and bearing a
registered brand
name].
1. 1001
Wheat and
meslin
2. 1002 Rye
3. 1003 Barley
4. 1004 Oats
5. 1005
Maize
(corn)
6. 1006
Rice
7. 1007
Grain
sorghum
8. 1008
Buckwheat,
millet and
canary seed;
other cereals
such as Jawar,
Bajra, Ragi]

S. Chapter Nil 5% 12% 18% 28%

No.
11. 11 1. Flour [1101, All goods not specified 1. Starches; inulin 1. Malt, whether or not -
(Products of 1102, 1105, elsewhere. [1108] roasted [1107]
milling industry; 1106] Aata,
malt; starches; maida, besan 1. 1103 Cereal
inulin; wheat etc. [other than groats, meal and
gluten) those put up in pellets, put up in unit
unit container container and
and bearing a bearing a registered
registered brand name.
brand name]. 2. 1104 Cereal
grains otherwise
worked (for
2. 1101 Wheat or example, hulled,
meslin flour. rolled, flaked,
3. 1102 Cereal pearled, sliced or
flours other kibbled), except rice
than of wheat of heading 1006;
or meslin i.e. germ of cereals,
maize (corn) whole, rolled, flaked
flour, Rye or ground [i.e. of
flour, etc. oats, maize or other
4. 1103 Cereal cereals]
groats, meal 3. 1105 Meal,
and pellets, powder, flakes,
other than granules and pellets
those put up in of potatoes.
unit container 4. 1106 Meal and
and bearing a powder of the dried
leguminous

S. Chapter Nil 5% 12% 18% 28%

No.
registered vegetables of
brand name. heading 0713
5. 1105 Flour, of (pulses), of sago or
potatoes. of roots or tubers of
6. 1106 Flour, of heading 0714 or of
the dried the products of
leguminous Chapter 8 i.e. of
vegetables of tamarind, of
heading 0713 singoda, etc.
(pulses), of 5. 1109 00 00 Wheat
sago or of roots gluten, whether or
or tubers of not dried
heading 0714
or of the
products of
Chapter 8 i.e.
of tamarind, of
singoda,
mango flour,
etc.
12. 12 All goods of seed All goods other than of - - -
(Oil seeds and quality seed quality
oleaginous fruits,
miscellaneous 1. 1201 Soya 1. 1201 Soya
grains, seeds and beans, whether beans, whether or
fruit; industrial or or not broken. not broken.
medicinal plants; 2. 1202 Ground- 2. 1202 Ground-nuts,
straw and fodder nuts, not not roasted or
roasted or otherwise cooked,

S. Chapter Nil 5% 12% 18% 28%

No.
otherwise whether or not
cooked, shelled or broken.
whether or not 3. 1203 Copra
shelled or 4. 1204 Linseed,
broken. whether or not
3. 1204 Linseed, broken.
whether or not 5. 1205 Rape or
broken. colza seeds, whether
4. 1205 Rape or or not broken.
colza seeds, 6. 1206 Sunflower
whether or not seeds, whether or not
broken. broken.
5. 1206 7. 1207 Other oil
Sunflower seeds and oleaginous
seeds, whether fruits (i.e. Palm nuts
or not broken. and kernels, cotton
6. 1207 Other oil seeds, Castor oil
seeds and seeds, Sesamum
oleaginous seeds, Mustard
fruits (i.e. Palm seeds, Saffower
nuts and (Carthamus
kernels, cotton tinctorius) seeds,
seeds, Castor Melon seeds, Poppy
oil seeds, seeds, Ajams,
Sesamum Mango kernel, Niger
seeds, Mustard seed, Kokam)
seeds, whether or not
Saffower broken.
(Carthamus

S. Chapter Nil 5% 12% 18% 28%

No.
tinctorius) 8. Flour and meals of
seeds, Melon oil seeds or
seeds, Poppy oleaginous fruits,
seeds, Ajams, other than those of
Mango kernel, mustard [1208]
Niger seed, 9. Hop cones, dried,
Kokam) whether or not
whether or not ground, powdered or
broken. in the form of
7. 1209 pellets; lupulin
Seeds, fruit [1210].
and spores, of a 10. Plants and parts of
kind used for plants (including
sowing. seeds and fruits), of a
8. Hop cones, kind used primarily
fresh [1210]. in perfumery, in
9. Plants and pharmacy or for
parts of plants insecticidal,
(including fungicidal or similar
seeds and purpose, frozen or
fruits), of a dried, whether or not
kind used cut, crushed or
primarily in powdered [1211].
perfumery, in 11. Locust beans,
pharmacy or seaweeds and other
for algae, sugar beet and
insecticidal, sugar cane, frozen or
fungicidal or dried, whether or not
similar ground; fruit stones

S. Chapter Nil 5% 12% 18% 28%

No.
purpose, fresh and kernels and
or chilled other vegetable
[1211]. products (including
10. Locust beans, unroasted chicory
seaweeds and roots of the variety
other algae, Cichorium intybus
sugar beet and sativum) of a kind
sugar cane, used primarily for
fresh or chilled human consumption,
[1212]. not elsewhere
11. Cereal straw specified or included
and husks, [1212].
unprepared,
whether or not
chopped,
ground,
pressed or in
the form of
pellets [1213]
12. Swedes,
mangolds,
fodder roots,
hay, lucerne
(alfalfa),
clover,
sainfoin,
forage kale,
lupines,
vetches and

S. Chapter Nil 5% 12% 18% 28%

No.
similar forage
products,
whether or not
in the form of
pellets 1214].
13. 13 1. Lac and 1. 1301 Natural - All goods not specified -

(Lac; gums, Shellac [1301] gums, resins, gum- elsewhere
resins and other resins and oleoresins
vegetable saps (for example, 1. 1302 Vegetable
and extracts) balsams), other than saps and extracts;
lac and shellac. pectic substances,
2. Compounded pectinates and
asafoetida pectates; agar-agar
commonly known as and other mucilages
heeng [1301] and thickeners,
3. Guar meal or guar whether or not
gum refined split modified, derived
[1302] from vegetable
products; other than
Guar meal or guar
gum refined split.
14. 14 1. Betel leaves All goods not specified - 1. Indian katha -
(Vegetable [14049040] elsewhere [14049050]
plaiting
materials; 1. 1401 Vegetable
vegetable materials of a kind
products, not used primarily for
elsewhere plaiting (for

S. Chapter Nil 5% 12% 18% 28%

No.
specified or example, bamboos,
included) rattans, reeds,
rushes, osier, raffia,
cleaned, bleached or
dyed cereal straw,
and lime bark).
2. 1404 Vegetable
products not
elsewhere specified
or included such as
cotton linters,
Cotton linters, Soap
nuts, Hard seeds,
pips, hulls and nuts,
of a kind used
primarily for
carving, coconut
shell, unworked,
Rudraksha seeds;
other than Betel
leaves and Indian
katha.]
15. 15 - Vegetable fats and oils Animal fats and oils 1. Margarine, Linoxyn -
(Animal and [1507 to 1516] [1501 to 1506] [solidified linseed
vegetable fats and oil]; edible mixtures
oils and their 2. 1507 Soya- 1. 1501 Pig fat or preparations of
cleavage bean oil and its (including lard) and animal or vegetable
products; fractions, whether or poultry fat, other fats or oils or of

S. Chapter Nil 5% 12% 18% 28%

No.
prepared edible not refined, but not than that of heading fractions of different
fats; animal or chemically 0209 or 1503. fats or oils of this
vegetable waxes) modified. 2. 1502 Fats of Chapter, other than
3. 1508 Ground- bovine animals, edible fats or oils or
nut oil and its sheep or goats, other their fractions of
fractions, whether or than those of heading heading 1516 [1517]
not refined, but not 1503. 2. Glycerol, crude;
chemically 3. 1503 Lard stearin, glycerol waters and
modified. lard oil, oleo stearin, glycerol lyes [1520
4. 1509 Olive oil oleo-oil and tallow 00 00],
and its fractions, oil, not emulsified or 3. Vegetable waxes, etc.
whether or not mixed or otherwise [1521]
refined, but not prepared. 4. Degras, residues
chemically 4. 1504 Fats and resulting from the
modified. oils and their treatment of fatty
5. 1510 Other fractions, of fish or substances or animal
oils and their marine mammals, or vegetable waxes
fractions, obtained whether or not [1522]
solely from olives, refined, but not
whether or not chemically modified.
refined, but not 5. 1505 Wool
chemically grease and fatty
modified, including substances derived
blends of these oils therefrom (including
or fractions with oils lanolin).
or fractions of 6. 1506 Other
heading 1509 animal fats and oils
6. 1511 Palm oil and their fractions,
and its fractions, whether or not

S. Chapter Nil 5% 12% 18% 28%

No.
whether or not refined, but not
refined, but not chemically modified.
chemically 7. 1516 Animal
modified. fats and oils and their
7. 1512 Sunflower- fractions, partly or
seed, safflower or wholly
cotton-seed oil and hydrogenated, inter-
fractions thereof, esterified, re-
whether or not esterified or
refined, but not elaidinised, whether
chemically or not refined, but
modified. not further prepared.
8. 1513 Coconut 8. 1518 Animal
(copra), palm kernel fats and oils and their
or babassu oil and fractions, boiled,
fractions thereof, oxidised,
whether or not dehydrated,
refined, but not sulphurised, blown,
chemically polymerised by heat
modified. in vacuum or in inert
9. 1514 Rape, gas or otherwise
colza or mustard oil chemically modified,
and fractions excluding those of
thereof, whether or heading 1516;
not refined, but not inedible mixtures or
chemically preparations of
modified. Animal or vegetable
10. 1515 Other fats or oils or of
fixed vegetable fats fractions of different

S. Chapter Nil 5% 12% 18% 28%

No.
and oils (including fats of oils of this
jojoba oil) and their chapter, not
fractions, whether or elsewhere specified
not refined, but not of included.]
chemically
modified.
11. 1516 Vegetable fats
and oils and their
fractions, partly or
wholly
hydrogenated, inter-
esterified, re-
esterified or
elaidinised, whether
or not refined, but
not further prepared.
12. 1518 Vegetable fats
and oils and their
fractions, boiled,
oxidised,
dehydrated,
sulphurised, blown,
polymerised by heat
in vacuum or in inert
gas or otherwise
chemically
modified, excluding
those of heading
1516

S. Chapter Nil 5% 12% 18% 28%

No.
16. 16 - - All goods - -
(Preparations of
meat, of fish or of 1. 1601 Sausages and
crustaceans, similar products, of
molluscs or other meat, meat offal or
aquatic blood; food
vertebrates) preparations based on
these products.
2. 1602 Other
prepared or preserved
meat, meat offal or
blood.
3. 1603 Extracts
and juices of meat,
fish or crustaceans,
molluscs or other
aquatic invertebrates.
4. 1604 Prepared or
preserved fish; caviar
and caviar substitutes
prepared from fish
eggs.
5. 1605 Crustaceans,
molluscs and other
aquatic invertebrates
prepared or preserved.
17. 17 1. Cane jaggery 1. Beet sugar, cane - 1. Refined sugar 1. Molasses [1703]
(Sugar and sugar (gur) [1701] sugar, khandsari containing added 2. Chewing gum / bubble
confectionery) sugar [1701] flavouring or gum and white

S. Chapter Nil 5% 12% 18% 28%

No.
2. Palmyra sugar colouring matter, chocolate, not
[1702] sugar cubes [1701 91, containing cocoa
1701 99] [1704]
2. All goods falling
under 1702 [lactose,
maple syrup,
glucose, dextrose,
fructose, invert
sugar, artificial
honey, etc.], other
than palmyra sugar
3. Sugar confectionery
(excluding white
chocolate and bubble
/ chewing gum)
[1704]
18. 18 - 1. Cocoa beans whole - - 1. Cocoa butter, fat and

(Cocoa and cocoa or broken, raw or oil [1804]
preparations) roasted [1801] 2. Cocoa powder, not
2. Cocoa shells, husks, containing added
skins and other sugar or sweetening
cocoa waste [1802] matter [1805] and
and 3. Chocolates and other
3. Cocoa paste whether food preparations
or not de-fatted containing cocoa
[1803] [1806]

S. Chapter Nil 5% 12% 18% 28%

No.
19. 19 1. Puffed rice, 1. Mixes and doughs - 1. Preparations for 1. Malt extract; food
(Preparations of commonly for the preparation of infant use, put up for preparations of flour,
cereals, flour, known as bread, pastry and retail sale [1901] groats, meal, starch or
starch or milk; Muri, flattened other baker's wares 2. Pasta, whether or not malt extract, not
pastrycooks or beaten rice, [1901] cooked or stuffed containing cocoa or
products) commonly 2. Pizza bread [1905] (with meat or other containing less than
known as 3. Seviyan (vermicelli) substances) or 40% by weight of
Chira, parched [1902] otherwise prepared, cocoa calculated on a
rice, 4. Tapioca and such as spaghetti, totally defatted basis,
commonly substitutes therefor macaroni, noodles, not elsewhere
known as khoi, prepared from lasagne, gnocchi, specified or included;
parched paddy starch, in the form of ravioli, cannelloni; food preparations of
or rice coated flakes, grains, pearls, couscous, whether or goods of heading 0401
with sugar or siftings or in similar not prepared. [1902] to 0404, not
gur, commonly forms. (sabudana) 3. Corn flakes, bulgar containing cocoa or
known as [1903] wheat, prepared containing less than
Murki [1904] 5. Rusks, toasted bread foods obtained from 5% by weight of cocoa
2. Pappad, by and similar toasted cereal flakes [1904] calculated on a totally
whatever name products [1905 40 4. Waffles and wafers defatted basis not
it is known, 00]. other than coated elsewhere specified or
except when with chocolate or included, other than
served for containing chocolate preparations for infant
consumption [1905 32] use put up for retail
[1905] 5. Pastries and cakes sale and mixes and
3. Bread [1905 90 10] doughs for the
(branded or preparation of bakers
otherwise), wares.
except when 2. Waffles and wafers
served for coated with chocolate

S. Chapter Nil 5% 12% 18% 28%

No.
consumption or containing
and pizza chocolate [1905 32]
bread [1905]
20. 20 - - 1. All goods of 2009 All goods not specified -
(Preparations of i.e. fruit juices, elsewhere
vegetables, fruits, vegetable juices
nuts or other parts 1. 2001 Vegetables,
of plants) 2009 Fruit juices fruit, nuts and other
(including grape must) edible parts of plants,
and vegetable juices, prepared or preserved
unfermented and not by vinegar or acetic
containing added spirit, acid.
whether or not 2. 2002 Tomatoes
containing added sugar prepared or preserved
or other sweetening otherwise than by
matter.] vinegar or acetic acid.
3. 2003 Mushrooms and
truffles, prepared or
preserved otherwise
than by vinegar or
acetic acid.
4. 2004 Other
vegetables prepared
or preserved
otherwise than by
vinegar or acetic acid,
frozen, other than
products of heading
2006.

S. Chapter Nil 5% 12% 18% 28%

No.
5. 2005 Other
vegetables prepared
or preserved
otherwise than by
vinegar or acetic acid,
not frozen, other than
products of heading
2006.
6. 2006 Vegetables,
fruit, nuts, fruit-peel
and other parts of
plants, preserved by
sugar (drained, glac
or crystallised).
7. 2007 Jams,
fruit jellies,
marmalades, fruit
or nut pure and
fruit or nut pastes,
obtained by cooking,
whether or not
containing added
sugar or other
sweetening matter.
8. 2008 Fruit,
nuts and other
edible parts of
plants, otherwise
prepared or

S. Chapter Nil 5% 12% 18% 28%

No.
preserved, whether
or not containing
added sugar or other
sweetening matter or
spirit, not elsewhere
specified or included;
such as Ground-nuts,
Cashew nut, roasted,
salted or roasted and
salted, Other roasted
nuts and seeds,
squash of Mango,
Lemon, Orange,
Pineapple or other
fruits
21. 21 1. Prasadam 1. Sweetmeats [2106 1. Roasted chicory All goods not specified 1. Extracts, essences
(Miscellaneous [2106] 90] [2101 30] elsewhere and concentrates of
edible supplied by 2. Roasted coffee coffee, and
preparations) religious substitutes [2101 30] 1. 2101 20 Extracts, preparations with a
places like 3. Extracts and essences and basis of these
temples, essences thereof concentrates of tea extracts, essences or
mosques, [2101 30] or mate, and concentrates or with
churches, 4. Yeasts and prepared preparations with a a basis of coffee (i.e.
gurudwaras, baking powders basis of these instant coffee, coffee
dargahs, etc. [2102] extracts, essences or aroma, etc.) [2101]
5. Texturised vegetable concentrates or with a 2. Mixed condiments and
proteins (soya bari) basis of tea or mate mixed seasonings;
[2106]. (i.e. instant tea, quick mustard flour and

S. Chapter Nil 5% 12% 18% 28%

No.
6. 2106 90 Namkeens, brewing black tea, tea meal and prepared
bhujia, mixture, aroma, etc.) mustard, other sauces
chabena and similar 2. 2103 Sauces and prearations
edible preparations and preparations therefor [2103]
in ready for therefor. 3. Food preparations not
consumption form. 3. 2104 Soups elsewhere specified or
and broths and included i.e. Protein
preparations therefor; concentrates and
homogenised textured protein
composite food substances, Sugar-
preparations. syrups containing
4. 2105 Ice cream added flavouring or
and other edible ice, colouring matter, not
whether or not elsewhere specified or
containing cocoa. included; lactose
5. 2106 All kinds syrup; glucose syrup
of food mixes and malto dextrine
including instant syrup, Compound
food mixes, soft preparations for
drink concentrates, making non-alcoholic
Sharbat, Betel nut beverages, Food
product known as flavouring material,
"Supari", Sterilized Churna for pan,
or pasteurized Custard powder
millstone, ready to [2106].
eat packaged food 4. Pan masala [2106 90
and milk containing 20]
edible nuts with sugar
or other ingredients,

S. Chapter Nil 5% 12% 18% 28%

No.
Diabetic foods; other
than Namkeens,
bhujia, mixture,
chabena and similar
edible preparations in
ready for
consumption form.
22. 22 1. Water [other - 1. Ice and snow [2201 All goods not specified 1. Other non-alcoholic
(Beverages, spirit than aerated, 90 10] elsewhere beverages [2202 90
and vinegar) mineral, 2. Soya milk drinks 90]
purified, [2202 90 10] 1. 2201 Waters, 2. Aerated waters,
distilled, 3. Fruit pulp or fruit including natural or containing added
medicinal, juice based drinks artificial mineral sugar or other
ionic, battery, [2202 90 30] waters and aerated sweetening matter or
de-mineralized 4. Tender coconut waters, not flavoured [2202 10]
and water sold water put up in unit containing added
in sealed container and sugar or other
container] bearing a registered sweetening matter
[2201] brand name [2202 90 nor flavoured.
2. Non-alcoholic 90] 2. 2207 Ethyl alcohol
Toddy, Neera 5. Beverages and other spirits,
[2201] containing milk denatured, of any
3. Tender [2202 90 30] strength.
coconut water 3. 2209 Vinegar and
put up in unit substitutes for
container and vinegar obtained
bearing a from acetic acid.]
registered

S. Chapter Nil 5% 12% 18% 28%

No.
brand name
[2202 90 90]
23. 23 1. Aquatic feed, All goods not specified - - -
(Residues and poultry feed & elsewhere
waste from the cattle feed,
food industries; including 1. 2301 Flours,
prepared animal grass, hay & meals and pellets,
fodder) straw, of meat or meat
supplement & offal, of fish or of
husk of pulses, crustaceans,
concentrates & molluscs or other
additives, aquatic
wheat bran & invertebrates, unfit
de-oiled cake for human
[2302, 2304, consumption;
2305, 2306, , greaves.
2309] 2. 2303 Residues
of starch
manufacture and
similar residues,
beet-pulp, bagasse
and other waste of
sugar manufacture,
brewing or distilling
dregs and waste,
whether or not in the
form of pellets.
3. 2307 Wine
lees; argol. [Lees

S. Chapter Nil 5% 12% 18% 28%

No.
refers to deposits of
dead yeast or residual
yeast and other
particles that
precipitate, or are
carried by the action of
"fining", to the bottom
of a vat of wine after
fermentation and
aging. Argol tartar
obtained from wine
fermentation]
24. 24 - 1. Tobacco leaves - - 1. All goods not
(Tobacco and [under reverse specified elsewhere,
manufactured charge] other than biris.
tobacco
substitutes)
25, 25 1. Common salt, All goods not specified 1. Marble and 1. Sulphur recovered as 1. Marble and travertine,
(Salt; sulphur; by whatever elsewhere travertine blocks by-product in other than blocks
earths and stone; name it is [2515 12 10] refining of crude oil [2515 12 20, 2515 12
plastering known, 1. 2501 Salt other 2. Granite blocks [2503 00 10] 90]
materials, lime including than common salt. [2516]. 2. Granite, other than
and cement) iodized and 2. 2502 Unroasted iron blocks [2516]
other fortified pyrites. 3. Portland cement,
salts, sendha 3. 2503 Sulphur aluminous cement,
namak [rock of all kinds, other slag cement, super
salt], kala than sublimed sulphate cement and
namak [2501 sulphur, precipitated similar hydraulic
00 10] sulphur and colloidal cements, whether or
sulphur. not coloured or in the

S. Chapter Nil 5% 12% 18% 28%

No.
4. 2504 Natural form of clinkers
graphite. [2523]
5. 2505 Natural
sands of all kinds,
whether or not
coloured, other than
metal bearing sands
of Chapter 26.
6. 2506 Quartz
(other than natural
sands); quartzite,
whether or not
roughly trimmed or
merely cut, by
sawing or otherwise,
into blocks or slabs
of a rectangular
(including square)
shape.
7. 2507 Kaolin
and other kaolinic
clays, whether or not
calcined.
8. 2508 Other
clays (not including
expanded clays of
heading 6806),
andalusite, kyanite
and sillimanite,

S. Chapter Nil 5% 12% 18% 28%

No.
whether or not
calcined; mullite;
chamotte or dinas
earths.
9. 2509 Chalk.
10. 2510 Natural
calcium phosphates,
natural aluminium
calcium phosphates
and phosphatic
chalk.
11. 2511 Natural
barium sulphate
(barytes); natural
barium carbonate
(witherite), whether
or not calcined, other
than barium oxide of
heading 2816.
12. 2512 Siliceous
fossil meals (for
example, kieselguhr,
tripolite and
diatomite) and
similar siliceous
earths, whether or
not calcined, of an
apparent specific
gravity of 1 or less.

S. Chapter Nil 5% 12% 18% 28%

No.
13. 2513 Pumice
stone; emery; natural
corundum, natural
garnet and other
natural abrasives,
whether or not heat-
treated.
14. 2514 Slate,
whether or not
roughly trimmed or
merely cut, by
of a rectangular
(including square)
shape.
15. 2515 Ecaussine and
other calcareous
monumental or
building stone;
alabaster [other
than marble
Marble and
travertine]
16. 2516 Porphyry,
basalt, sandstone
and other
monumental or
building stone,
44

S. Chapter Nil 5% 12% 18% 28%

No.
whether or not
roughly trimmed or
merely cut, by
of a rectangular
(including square)
shape.
17. 2517 Pebbles,
gravel, broken or
crushed stone, of a
kind commonly used
for concrete
aggregates, for road
metalling or for
railway or other
ballast, shingle and
flint, whether or not
heat-treated;
macadam of slag,
dross or similar
industrial waste,
whether or not
incorporating the
materials cited in the
first part of the
heading; tarred
macadam; grenules
cheeping and

S. Chapter Nil 5% 12% 18% 28%

No.
powder of stones
heading 2515 or
2516 whether or not
it treated.
18. 2518 Dolomite,
whether or not
calcined or sintered,
including dolomite
roughly trimmed or
merely cut, by
of a rectangular
(including square)
shape; dolomite
ramming mix.
19. 2518 10 dolomite,
Not calcined or
sintered
20. 2519 Natural
magnesium
carbonate
(magnesite); fused
magnesia; dead-
burned (sintered)
magnesia, whether
or not containing
small quantities of
other oxides added

S. Chapter Nil 5% 12% 18% 28%

No.
before sintering;
other magnesium
oxide, whether or
not pure.
21. 2520 Gypsum;
anhydrite; plasters
(consisting of
calcined gypsum or
calcium sulphate)
whether or not
coloured, with or
without small
quantities of
accelerators or
retarders.
22. 2521 Limestone
flux; limestone and
other calcareous
stone, of a kind used
for the manufacture
of lime or cement.
23. 2522 Quicklime,
slaked lime and
hydraulic lime, other
than calcium oxide
and hydroxide of
heading 2825.
24. 2524 Asbestos.

S. Chapter Nil 5% 12% 18% 28%

No.
25. 2525 Mica,
including splitting;
mica waste.
26. 2526 Natural
steatite, whether or
not roughly trimmed
or merely cut, by
of a rectangular
(including square)
shape; talc.
27. 2528 Natural
borates and
concentrates thereof
(whether or not
calcined), but not
including borates
separated from
natural brine; natural
boric acid containing
not more than 85%
of H3BO3
28. 2529 Feldspar;
leucite, nepheline
and nepheline
syenite; fluorspar.
29. 2530 Mineral
substances not

S. Chapter Nil 5% 12% 18% 28%

No.
elsewhere specified
or included.
26. 26 - All ores and - All goods not specified -
(Ores, slag and concentrates [2601 to elsewhere, that is other
ash) 2617] slag, dross, ash and
1. 2601 Iron ores residues [2619, 2620,
and concentrates, 2621]
including roasted
iron pyrites 1. 2619 Slag, dross
2. 2602 Manganese (other than
ores and granulated slag),
concentrates, scalings and other
including waste from the
ferruginous manufacture of iron
manganese ores and or steel.
concentrates with a 2. 2620 Slag, ash and
manganese content residues (other than
of 20% or more, from the manufacture
calculated on the dry of iron or steel)
weight. containing metals,
3. 2603 Copper arsenic or their
ores and compounds.
concentrates. 3. 2621 Other slag and
4. 2604 Nickel ash, including
ores and seaweed ash (kelp);
concentrates. ash and residues from
5. 2605 Cobalt the incineration of
ores and municipal waste.
concentrates.

S. Chapter Nil 5% 12% 18% 28%

No.
6. 2606 Aluminium
ores and
concentrates.
7. 2607 Lead
ores and
concentrates.
8. 2608 Zinc ores
and concentrates.
9. 2609 Tin ores
and concentrates.
10. 2610 Chromium
ores and
concentrates.
11. 2611 Tungsten
ores and
concentrates.
12. 2612 Uranium
or thorium ores and
concentrates.
13. 2613 Molybdenum
ores and
concentrates.
14. 2614 Titanium
ores and
concentrates.
15. 2615 Niobium,
tantalum, vanadium
or zirconium ores
and concentrates.

S. Chapter Nil 5% 12% 18% 28%

No.
16. 2616 Precious
metal ores and
concentrates.
17. 2617 Other
ores and
concentrates
1. Granulated slag
(slag sand) from the
manufacture of iron
or steel [2618]
27. 27 - 1. Coal; briquettes, 1. Bio-gas All goods not specified 1. Avgas [2710]
(Mineral fuels, ovoids and similar elsewhere
mineral oils and solid fuels
products of their manufactured from 1. 2707 Oils and
distillation; coal [2701] other products of the
bituminous 2. Lignite, whether or distillation of high
substances; not agglomerated, temperature coal tar;
mineral waxes) excluding jet. [2702] similar products in
3. Peat (including peat which the weight of
litter), whether or the aromatic
not agglomerated constituents exceeds
[2703] that of the non-
4. Coke and semi coke aromatic
of coal, of lignite or constituents, such as
of peat, whether or Benzole (benzene),
not agglomerated; Toluole (toluene),
retort carbon [2704] Xylole (xylenes),
Naphthelene

S. Chapter Nil 5% 12% 18% 28%

No.
5. Tar distilled from 2. 2708 Pitch and
coal, from lignite or pitch coke, obtained
from peat [2706] from coal tar or from
6. Kerosene PDS other mineral tars.
7. Liquefied Propane 3. 2710 Petroleum
and Butane mixture, oils and oils obtained
Liquefied Propane, from bituminous
Liquefied Butane minerals, other than
and Liquefied crude; preparations
Petroleum Gases not elsewhere
(LPG) for supply to specified or included,
household domestic containing by weight
consumers or to 70% or more of
non-domestic petroleum oils or of
exempted category oils obtained from
(NDEC) customers bituminous minerals,
by the Indian Oil these oils being the
Corporation basic constituents of
Limited, Hindustan the preparations;
petroleum waste oils; [other
Corporation Limited than Avgas and
or Bharat Petroleum Kerosene PDS],
Corporation such as Superior
Limited. kerosene Oil (SKO),
8. Coal gas, water gas, Fuel oil, Base oil,
producer gas and Jute batching oil and
similar gases, other textile oil,
than petroleum gases Lubricating oil,
Waste oil [Other

S. Chapter Nil 5% 12% 18% 28%

No.
and other gaseous than petrol, Diesel
hydrocarbons [2705] and ATF, not in
GST]
9. 2711 Petroleum
gases and other
gaseous
hydrocarbons, such
as Propane, Butanes,
Ethylene, propylene,
butylene and
butadiene [Other than
Liquefied Propane
and Butane mixture,
Liquefied Propane,
Liquefied Butane and
Liquefied Petroleum
Gases (LPG) for
supply to household
domestic consumers
or to non-domestic
exempted category
(NDEC) customers
by the Indian Oil
Corporation Limited,
Hindustan petroleum
Corporation Limited
or Bharat Petroleum
Corporation
Limited,]

S. Chapter Nil 5% 12% 18% 28%

No.
4. 2712 Petroleum
jelly; paraffin wax,
micro-crystalline
petroleum wax, slack
wax, ozokerite,
lignite wax, peat wax,
other mineral waxes,
and similar products
obtained by synthesis
or by other processes,
whether or not
coloured.
5. 2713 Petroleum
coke, petroleum
bitumen and other
residues of petroleum
oils or of oils
obtained from
bituminous minerals.
6. 2714 Bitumen
and asphalt, natural;
bituminous or oil
shale and tar sands;
asphaltites and
asphaltic rocks.
7. 2715 Bituminous
mixtures based on
natural asphalt, on
natural bitumen, on

S. Chapter Nil 5% 12% 18% 28%

No.
petroleum bitumen,
on mineral tar or on
mineral tar pitch (for
example, bituminous
mastics, cut-backs).
28. 28 - 1. Thorium oxalate 1. Medicinal grade All goods not specified -
(Inorganic 2. Enriched KBF4 hydrogen peroxide elsewhere
chemicals) (enriched potassium [2847]
fluroborate) 2. Anaesthetics [28] 1. 2801 Fluorine,
3. Enriched elemental 3. Potassium Iodate chlorine, bromine
boron [28] and iodine.
4. Nuclear fuel 4. Iodine [2801 20] 2. 2802 Sulphur,
5. Nuclear grade 5. Micronutrients, sublimed or
sodium [2805 11] which are covered precipitated;
6. Heavy water and under serial number colloidal sulphur.
other nuclear fuels 1(f) of Schedule 1, 3. 2803 Carbon
[2845] Part (A) of the (carbon blacks and
7. Compressed air Fertilizer Control other forms of carbon
[2853] Order, 1985 and are not elsewhere
manufactured by the specified or
manufacturers which included).
are registered 4. 2804
under the Fertilizer Hydrogen, rare
Control Order, 1985 gases and other non-
6. Dicalcium phosphate metals.
(DCP) of animal 5. 2805 Alkali or
feed grade alkaline-earth metals;
conforming to IS rare-earth metals,
scandium and

S. Chapter Nil 5% 12% 18% 28%

No.
specification yttrium, whether or
No.5470 : 2002 not intermixed or
7. Steam interalloyed;
mercury.
6. 2806 Hydrogen
chloride
(hydrochloric acid);
chloro sulphuric acid.
7. 2807 Sulphuric
acid; oleum.
8. 2808 Nitric
acid; sulphonitric
acids.
9. 2809 Diphosphorus
pentaoxide;
phosphoric acid;
polyphosphoric
acids, whether or not
chemically defined.
10. 2810 Oxides of
boron; boric acids.
11. 2811 Other
inorganic acids and
other inorganic
oxygen compounds
of non-metals.
12. 2812 Halides
and halide oxides of
non-metals.

S. Chapter Nil 5% 12% 18% 28%

No.
13. 2813 Sulphides of
non-metals;
commercial
phosphorus
trisulphide.
14. 2814 Ammonia,
anhydrous or in
aqueous solution.
15. 2815 Sodium
hydroxide (caustic
soda); potassium
hydroxide (caustic
potash); peroxides of
sodium or potassium.
16. 2816 Hydroxide and
peroxide of
magnesium; oxides,
hydroxides and
peroxides, of
strontium or barium.
17. 2817 Zinc
oxide; zinc peroxide.
18. 2818 Artificial
corundum, whether
or not chemically
defined; aluminium
oxide; aluminium
hydroxide.

S. Chapter Nil 5% 12% 18% 28%

No.
19. 2819 Chromium
oxides and
hydroxides.
20. 2820 Manganese
oxides.
21. 2821 Iron
oxides and
hydroxides; earth
colours containing
70% or more by
weight of combined
iron evaluated as
Fe2O3.
22. 2822 Cobalt
oxides and
hydroxides;
commercial cobalt
oxides.
23. 2823 Titanium
oxides.
24. 2824 Lead
oxides; red lead and
orange lead.
25. 2825 Hydrazine and
hydroxylamine and
their inorganic salts;
other inorganic bases;
other metal oxides,

S. Chapter Nil 5% 12% 18% 28%

No.
hydroxides and
peroxides.
26. 2826 Fluorides;
fluorosilicates,
fluoroaluminates and
other complex
fluorine salts.
27. 2827 Chlorides,
chloride oxides and
chloride hydroxides;
bromides and
bromide oxides;
iodides and iodide
oxides.
28. 2828 Hypochlorites;
commercial calcium
hypochlorite;
chlorites;
hypobromites.
29. 2829 Chlorates
and perchlorates;
bromates and
perbromates; iodates
and periodates.
30. 2830 Sulphides;
polysulphides,
whether or not
chemically defined.

S. Chapter Nil 5% 12% 18% 28%

No.
31. 2831 Dithionites and
sulphoxylates.
32. 2832 Sulphites;
thiosulphates.
33. 2833 Sulphates;
alums;
peroxosulphates
(persulphates).
34. 2834 Nitrites;
nitrates.
35. 2835 Phosphinates
(hypophosphites),
phosphonates
(phosphites) and
phosphates;
polyphosphates,
whether or not
chemically defined.
36. 2836 Carbonates;
peroxocarbonates
(percarbonates);
commercial
ammonium carbonate
containing
ammonium
carbamate.
37. 2837 Cyanides,
cyanide oxides and
complex cyanides.

S. Chapter Nil 5% 12% 18% 28%

No.
38. 2839 Silicates;
commercial alkali
metal silicates.
39. 2840 Borates;
peroxoborates
(perborates).
40. 2841 Salts of
oxometallic or
peroxometallic acids.
41. 2842 Other
salts of inorganic
acids or peroxoacids
(including
aluminosilicates
whether or not
chemically defined),
other than azides.
42. 2843 Colloidal
precious metals;
inorganic or organic
compounds of
precious metals,
whether or not
chemically defined;
amalgams of precious
metals.
43. 2844 Radioactive
chemical elements
and radioactive

S. Chapter Nil 5% 12% 18% 28%

No.
isotopes (including
the fissile or fertile
chemical elements
and isotopes) and
their compounds;
mixtures and residues
containing these
products.
44. 2846 Compounds,
inorganic or organic,
of rare-earth metals,
of yttrium or of
scandium or of
mixtures of these
metals.
45. 2847 Hydrogen
peroxide, whether or
not solidified with
urea.
46. 2848 Phosphides,
whether or not
chemically defined,
excluding
ferrophosphorus.
47. 2849 Carbides,
whether or not
chemically defined.
48. 2850 Hydrides,
nitrides, azides,

S. Chapter Nil 5% 12% 18% 28%

No.
silicides and borides,
whether or not
chemically defined,
other than
compounds which are
also carbides of
heading 2849.
49. 2852 Inorganic
or organic
compounds of
mercury ,whether or
not chemically
defined, excluding
amalgams
29. 29 - - 1. Gibberellic acid All goods not specified -

(Organic elsewhere
chemicals)
2. 2901 Acyclic
hydrocarbons
3. 2902 Cyclic
hydrocarbons
4. 2903 Halogenated
derivatives of
hydrocarbons.
5. 2904 Sulphonated,
nitrated or nitrosated
derivatives of
hydrocarbons,

S. Chapter Nil 5% 12% 18% 28%

No.
whether or not
halogenated.
6. 2905 Acyclic
alcohols and their
halogenated,
sulphonated, nitrated
or nitrosated
derivatives.
7. 2906 Cyclic
alcohols and their
halogenated,
or nitrosated
derivatives.
8. 2907 Phenols;
phenolalcohols.
9. 2908 Halogenated,
or nitrosated
derivatives of
phenols or phenol-
alcohols.
10. 2909 Ethers,
etheralcohols, ether
phenols, ether-
alcohol-phenols,
alcohol peroxides,
ether peroxides,
ketone peroxides

S. Chapter Nil 5% 12% 18% 28%

No.
(whether or not
chemically defined),
and their
halogenated,
or nitrosated
derivatives.
11. 2910 Epoxides,
epoxyalcohols,
epoxyphenols and
epoxyethers, with a
three-membered ring,
and their
halogenated,
or nitrosated
derivatives.
12. 2911 Acetals
and hemiacetals,
whether or not with
other oxygen
function, and their
halogenated,
or nitrosated
derivatives.
13. 2912
Aldehydes,
whether or not with

S. Chapter Nil 5% 12% 18% 28%

No.
other oxygen
function; cyclic
polymers of
aldehydes;
paraformaldehyde.
14. 2913 Halogenated,
or nitrosated
derivatives of
products of heading
2912.
15. 2914 Ketones
and quinones,
whether or not with
other oxygen
function, and their
halogenated,
or nitrosated
derivatives.
16. 2915 Saturated
acyclic
monocarboxylic
acids and their
anhydrides, halides,
peroxides and
peroxyacids; their
halogenated,

S. Chapter Nil 5% 12% 18% 28%

No.
or nitrosated
derivatives.
17. 2916
Unsaturated
acyclic
monocarboxylic
acids, cyclic
monocarboxylic
acids, their
peroxides and
peroxyacids; their
halogenated,
or nitrosated
derivatives.
18. 2917 Polycarboxylic
acids, their
peroxides and
peroxyacids; their
halogenated,
or nitrosated
derivatives.
19. 2918
Carboxylic acids
with additional
oxygen function and

S. Chapter Nil 5% 12% 18% 28%

No.
their anhydrides,
halides, peroxides
and peroxyacids;
their halogenated,
or nitrosated
derivatives.
20. 2919
Phosphoric esters
and their salts,
including
lactophosphates;
their halogenated,
or nitrosated
derivatives.
21. 2920 Esters of
other inorganic acids
of non-metals
(excluding esters of
hydrogen halides)
and their salts; their
halogenated,
or nitrosated
derivatives.
22. 2921 Amine-
function compounds.

S. Chapter Nil 5% 12% 18% 28%

No.
23. 2922 Oxygen-
function amino-
compounds.
24. 2923
Quaternary
ammonium salts and
hydroxides; lecithins
and other
phosphoaminolipids,
whether or not
chemically defined.
25. 2924 Carboxyamide-
function compounds;
amide-function
compounds of
carbonic acid.
26. 2925 Carboxyimide-
function compounds
(including saccharin
and its salts) and
imine-function
compounds.
27. 2926 Nitrile-
function compounds.
28. 2927 Diazo-,
azo- or azoxy-
compounds.
29. 2928 Organic
derivatives of

S. Chapter Nil 5% 12% 18% 28%

No.
hydrazine or of
hydroxylamine.
30. 2929 Compounds
with other nitrogen
function.
31. 2930 Organo-
sulphur compounds.
32. 2931 Other
organo-inorganic
compounds.
33. 2932 Heterocyclic
compounds with
oxygen hetero-
atom(s) only.
34. 2933 Heterocyclic
compounds with
nitrogen hetero-
atom(s) only.
35. 2934 Nucleic
acids and their salts,
whether or not
chemically defined;
other heterocyclic
compounds.
36. 2935 Sulphonamides
37. 2936 Provitamins and
vitamins, natural or
reproduced by
synthesis (including

S. Chapter Nil 5% 12% 18% 28%

No.
natural concentrates),
derivatives thereof
used primarily as
vitamins, and
intermixtures of the
foregoing, whether or
not in any solvent.
38. 2937 Hormones,
prostaglandins,
thromboxanes and
leukotrienes, natural
or reproduced by
synthesis; derivatives
and structural
analogues thereof,
including chain
modified
polypeptides, used
primarily as
hormones.
39. 2938 Glycosides,
natural or reproduced
by synthesis, and
their salts, ethers,
esters and other
derivatives.
30. 30 1. Human Blood 1. Animal or Human All goods not specified 1. Nicotine polacrilex -
(Pharmaceutical and its Blood Vaccines elsewhere gum
products) [3002, 3006]

S. Chapter Nil 5% 12% 18% 28%

No.
components 2. Diagnostic kits for 1. 3001 Glands
[3002]. detection of all types and other organs for
2. All types of of hepatitis organo-therapeutic
contraceptives 3. Desferrioxamine uses, dried, whether
[3006] injection or or not powdered;
deferiprone extracts of glands or
4. Cyclosporin other organs or of
5. Medicaments their secretions for
(including organo-therapeutic
veterinary uses; heparin and its
medicaments) used salts; other human or
in bio-chemic animal substances
systems and not prepared for
bearing a brand therapeutic or
name prophylactic uses,
6. Oral re-hydration not elsewhere
salts specified or included
7. Drugs or medicines 2. 3002 Animal
including their salts blood prepared for
and esters and therapeutic,
diagnostic test kits, prophylactic or
specified in List 3 or diagnostic uses;
List 4 appended to antisera and other
the notification blood fractions and
No.12/2012- modified
Customs, dated the immunological
17th March, 2012, products, whether or
dated the 17th not obtained by
March, 2012. means of

S. Chapter Nil 5% 12% 18% 28%

No.
8. Formulations biotechnological
manufactured processes; toxins,
from the bulk cultures of micro-
drugs specified in organisms
List 1 of notification (excluding yeasts)
No.12/2012-Central and similar products
Excise, dated the 3. 3003 Medicaments
17th March, 2012, (excluding goods of
dated the 17th heading 30.02, 30.05
March, 2012. or 30.06) consisting
of two or more
constituents which
have been mixed
together for
therapeutic or
prophylactic uses,
not put up in
measured doses or in
forms or packings
for retail sale,
including
Ayurvaedic, Unani,
Siddha,
homoeopathic or
Bio-chemic systems
medicaments.
4. 3004 Medicaments
(excluding goods of
heading 30.02, 30.05

S. Chapter Nil 5% 12% 18% 28%

No.
or 30.06) consisting
of mixed or unmixed
products for
therapeutic or
prophylactic uses,
put up in measured
doses (including
those in the form of
transdermal
administration
systems) or in forms
or packings for retail
sale, including
Ayurvaedic, Unani,
homoeopathic
siddha or Bio-
chemic systems
medicaments, put
up for retail sale.
5. 3005 Wadding,
gauze, bandages and
similar articles (for
example, dressings,
adhesive plasters,
poultices),
impregnated or
coated with
pharmaceutical
substances or put up

S. Chapter Nil 5% 12% 18% 28%

No.
in forms or packings
for retail sale for
medical, surgical,
dental or veterinary
purposes.
6. 3006Pharmaceutical
goods specified in
Note 4 to this
Chapter such as
Sterile surgical
catgut, similar
sterile suture
materials
(including sterile
absorbable surgical
or dental yarns)
and sterile tissue
adhesives for
surgical wound
closure; sterile
laminaria and
sterile laminaria
tents; sterile
absorbable surgical
or dental
haemostatics; sterile
surgical or denatal
adhesion barriers,
whether or not

S. Chapter Nil 5% 12% 18% 28%

No.
absorbable, etc.,
Waste
pharmaceuticals
[other than
contraceptives].
31. 31 1. Organic - 1. Fertilisers, other than 1. All goods which are -

(Fertilisers) manure, other those which are clearly not to be used
than put up in clearly not to be used as fertilisers [31]
unit containers as fertilizers [31]
and bearing a
brand name.
32. 32 - 1. Wattle extract, 1. Fountain pen ink All goods not specified 11. Paints and varnishes
(Tanning or quebracho extract, [3215] elsewhere (including enamels
dyeing extracts; chestnut extract 2. Ball pen ink [3215] and lacquers) based on
tannins and their 2. Enzymatic 1. 3201 Tanning synthetic polymers or
derivatives; dyes, preparations for extracts of vegetable chemically modified
pigments and pretanning [3202] origin; tannins and natural polymers
other colouring their salts, ethers, [3208, 3209]
matter; paints and esters and other 12. Other paints and
varnishes; putty derivatives. varnishes (including
and other 2. 3202 Synthetic enamels, lacquers and
mastics; inks) organic tanning distempers); prepared
substances; water pigments of a
inorganic tanning kind used for finishing
substances; tanning leather [3210]
preparations, whether 13. Artists, students or
or not containing signboard painters
colours, modifying

S. Chapter Nil 5% 12% 18% 28%

No.
natural tanning tints, amusement
substances. colours and the like, in
3. 3203 tablets, tubes, jars,
Colouring bottles, pans or in
matter of vegetable similar forms or
or animal origin packings [3213]
(including dyeing 14. Glaziers putty,
extracts but grafting putty, resin
excluding animal cements, caulking
black), whether or not compounds and other
chemically defined; mastics; painters
preparations as fillings; non-
specified in Note 3 to refractory surfacing
this Chapter based on preparations for
colouring matter of facades, indoor walls,
vegetable or animal floors, ceilings or the
origin. like [3214]
4. 3204 Synthetic
organic colouring
matter, whether or
not chemically
defined; preparations
as specified in Note 3
to this Chapter based
on synthetic organic
colouring matter;
synthetic organic
products of a kind
used as fluorescent

S. Chapter Nil 5% 12% 18% 28%

No.
brightening agents or
as luminophores,
whether or not
cemically defined
5. 3205 Colour
lakes; preparations as
specified in Note 3 to
this Chapter based on
colour lakes.
6. 3206 Other
colouring matter;
preparations as
this Chapter, other
than those of heading
32.03, 32.04 or
32.05; inorganic
products of a kind
used as
luminophores,
whether or not
chemically defined.
7. Prepared pigments,
prepared opacifiers,
prepared colours,
vitrifiable enamels,
glazes, engobes
(slips), liquid lustres,
and other similar

S. Chapter Nil 5% 12% 18% 28%

No.
preparations of a kind
used in ceramic,
enamelling or glass
industry [3207]
8. 3211 Prepared
driers.
9. 3212 Pigments
(including metallic
powders and flakes)
dispersed in non-
aqueous media, in
liquid or paste form,
of a kind used in the
manufacture of paints
(including enamels);
stamping foils; dyes
and other colouring
matter put up in
forms or packings for
reta
10. 3215 Printing
ink, writing or
drawing ink and
other inks, whether or
not concentrated or
solid.
33. 33 1. Kumkum, - 1. Tooth powder [3306 1. 3301Essential oils All goods not specified
(Essential oils Bindi, Sindur, 10 10] (terpeneless or not), elsewhere
and resinoids, Alta [3304] including concretes

S. Chapter Nil 5% 12% 18% 28%

No.
perfumery, 2. Agarbatti and other and absolutes; 1. 3303 Perfumes and
cosmetic or toilet odoriferous resinoids; extracted toilet waters.
preparations) preparations which oleoresins; 2. 3304 Beauty or make-
operate by burning concentrates of up preparations and
[3307 41 00] essential oils in fats, preparations for the care
in fixed oils, in waxes of the skin (other than
or the like, obtained medicaments),
by enfleurage or including sunscreen or
maceration; terpenic sun tan preparations;
by-products of the manicure or pedicure
deterpenation of preparations.
essential oils; 3. 3305 Preparations for
aqueous distillates use on the hair such as
and aqueous Shampoos, Hair
solutions of essential lacquers, Hair cream,
oils; such as essential Hair dyes (natural,
oils of citrus fruit, herbal or synthetic)
essential oils other [except Hair oil -3305
than those of citrus 9011, 3305 90 19]
fruit such as 4. 3306 Preparations for
Eucalyptus oil, etc., oral or dental hygiene,
Flavouring essences including and powders;
all types (including yarn used to clean
those for liquors), between the teeth
Attars of all kinds in (dental floss), in
fixed oil bases. individual retail
2. 3302 Mixtures of packages [except
odoriferous dentifrices
substances and

S. Chapter Nil 5% 12% 18% 28%

No.
mixtures (including Toothpaste - 3306 10
alcoholic solutions) 20].
with a basis of one or 5. 3307 Pre-shave,
more of these shaving or after-shave
substances, of a kind preparations, personal
used as raw materials deodorants, bath
in industry; other preparations,
preparations based on depilatories and other
odoriferous perfumery, cosmetic or
substances, of a kind toilet preparations, not
used for the elsewhere specified or
manufacture of included; prepared
beverages; such as room deodorisers,
Synthetic perfumery whether or not
compounds perfumed or having
[including disinfectant properties;
Fractionated / de- such as Pre-shave,
terpenated mentha oil shaving or after-shave
(DTMO), De- Preparations, Shaving
mentholised oil cream, Personal
(DMO), Spearmint deodorants and
oil, Mentha piperita antiperspirants.
oil]
1. Hair oil [3305 9011,
3305 90 19]
2. Dentrifices -
Toothpaste [3306 10
20]

S. Chapter Nil 5% 12% 18% 28%

No.
34. 34 - 1. Sulphonated castor 3. Candles, tapers and 1. 3401 [except All goods not specified
(Soap, organic oil, fish oil or sperm the like [3406] 340130] Soap; elsewhere
surface-active oil [3402] organic surface-
agents, washing active products and 1. 340130 - Organic
preparations, preparations for use surface-active
lubricating as soap, in the form products and
preparations, of bars, cakes, preparations for
artificial waxes, moulded pieces or washing the skin, in
prepared waxes, shapes, whether or the form of liquid or
polishing or not containing soap; cream and put up for
scouring 2. 3404 - Artificial retail sale, whether or
preparations, waxes and prepared not containing soap;
candles and waxes [3404] paper, wadding, felt
similar articles, and nonwovens,
modelling pastes, impregnated, coated
dental waxes and or covered with soap
dental or detergent
preparations with 2. 3402 Organic surface-
a basis of plaster) active agents (other
than soap); surface-
active preparations,
washing preparations
(including auxiliary
washing preparations)
and cleaning
preparations, whether
or not containing
soap, other than those
of heading 3401.

S. Chapter Nil 5% 12% 18% 28%

No.
3. 3403 Lubricating
preparations
(including cutting-oil
preparations, bolt or
nut release
preparations, anti-rust
or anti-corrosion
preparations and
mould release
preparations, based on
lubricants) and
used for the oil or
grease treatment of
textile materials,
leather, furskins or
other materials, but
excluding
preparations
containing, as basic
constituents, 70% or
more by weight of
petroleum oils or of
oils obtained from
bituminous minerals
4. 3404 Artificial waxes
and prepared waxes.
5. 3405 Polishes and
creams, for footwear,

S. Chapter Nil 5% 12% 18% 28%

No.
furniture, floors,
coachwork, glass or
metal, scouring pastes
and powders and
similar preparations
(whether or not in the
form of paper,
wadding, felt,
nonwovens, cellular
plastics or cellular
rubber, impregnated,
coated or covered
with such
preparations),
excluding waxes of
heading 3404
6. 3407 Modelling
pastes, including
those put up for
children's amusement;
preparations known as
dental wax or as
dental impression
compounds, put up
in sets, in packings for
retail sale or in plates,
horseshoe shapes,
sticks or similar
forms; other

S. Chapter Nil 5% 12% 18% 28%

No.
preparations for use in
dentistry, with a basis
of plaster (of calcined
gypsum or calcium
sulphate)
35. 35 - - - All goods -

(Aluminoidal
substances; 1. Casein, caseinates
modified and other casein
starches; glues; derivatives; casein
enzymes) glues [3501]
2. Albumins (including
concentrates of two
or more whey
proteins, containing
by weight more than
80% whey proteins,
calculated on the dry
matter), albuminates
and other albumin
derivatives [3502].
3. Gelatin (including
gelatin in rectangular
(including square)
sheets, whether or not
surface-worked or
coloured) and gelatin
derivatives; isinglass;

S. Chapter Nil 5% 12% 18% 28%

No.
other glues of animal
origin, excluding
casein glues of
heading 3501 [3503]
4. Peptones and their
derivatives; other
protein substances
and their derivatives,
not elsewhere
hide powder, whether
or not chromed;
including Isolated
soya protein [3504]
5. Dextrins and other
modified starches
(for example,
pregelatinised or
esterified starches);
glues based on
starches, or on
dextrins or other
modified starches
[3505].
6. Prepared glues and
other prepared
adhesives, not
elsewhere specified
or included; products

S. Chapter Nil 5% 12% 18% 28%

No.
suitable for use as
glues or adhesives,
put up for retail sale
as glues or adhesives,
not exceeding a net
weight of 1 kg
[3506].
7. Enzymes, prepared
enzymes [3507]
36. 36 - 1. Handmade safety - 1. Propellant powders All goods not specified
(Explosives; matches [3605 00 [3601]. elsewhere
pyrotechnic 10] 2. Safety fuses; 1. 3602 Prepared
products; detonating fuses; explosives, other than
matches; percussion or propellant powders;
pyrophoric detonating caps; such as Industrial
alloys; certain igniters; electric explosives.
combustible detonators [3603]. 2. 3604 Fireworks,
preparations) 1. Matches [3605] signalling flares, rain
rockets, fog signals and
other pyrotechnic
articles.
3. 3606 Ferro-cerium and
other pyrophoric alloys
in all forms; articles of
combustible materials
as specified in Note 2 to
this Chapter; such as
liquid or liquefied-gas
fuels in containers of a

S. Chapter Nil 5% 12% 18% 28%

No.
kind used for filling or
refilling cigarette or
similar lighters.
37. 37. - - 1. 3701 Photographic All goods not specified
(Photographic or plates and film for elsewhere
cinematographic x-ray for medical
goods) use. 1. 3701 Photographic
2. Photographic plates plates and film in
and films including the flat, sensitised,
cinematographic unexposed, of any
film [3705, 3706]; material other than
such as Childrens paper, paperboard or
films certified by the textiles; instant print
Central Board of film in the flat,
Film Certification to sensitised,
be Childrens unexposed, whether
Film, Documentary or not in packs; such
Shorts, and Films as Instant print film,
certified as such by Cinematographic
the Central Board of film (other than for x-
Film Certification, ray for Medical use).
News Reels and 2. 3702 Photographic
clippings, film in rolls,
Advertisement sensitised,
Shorts, and Films, unexposed, of any
Teaching aids material other than
including film strips paper, paperboard or
of educational textiles; instant print
nature. film in rolls,

S. Chapter Nil 5% 12% 18% 28%

No.
sensitised,
unexposed.
3. 3703 Photographic
paper, paperboard
and textiles,
sensitised,
unexposed.
4. 3704 Photographic
plates, film, paper,
paperboard and
textiles, exposed but
not developed.
5. 3706
Cinematographic
film, exposed and
developed, whether
or not incorporating
sound track or
consisting only of
sound track.
6. 3707 Chemical
preparations for
photographic uses
(other than varnishes,
glues, adhesives and
similar preparations);
unmixed products for
photographic uses,
put up in measured

S. Chapter Nil 5% 12% 18% 28%

No.
portions or put up for
retail sale in a form
ready for use.
38. 38 1. Municipal - 1. Silicon wafers 1. Artificial graphite; All goods not specified
(Miscellaneous waste, sewage [3818] colloidal or semi- elsewhere
chemical sludge, clinical colloidal graphite; 1. 3811 Anti-knock
products) waste preparations based on preparations,
graphite or other oxidation inhibitors,
carbon in the form of gum inhibitors,
pastes, blocks, plates viscosity improvers,
or other semi- anti-corrosive
manufactures [3801] preparations and other
2. Activated carbon; prepared additives, for
activated natural mineral oils (including
mineral products; gasoline) or for other
animal black, liquids used for the
including spent same purposes as
animal black [3802] mineral oils.
3. Tall oil, whether or 2. 3813 Preparations and
not refined [3803]. charges for fire-
4. Residual lyes from extinguishers; charged
the manufacture of fire-extinguishing
wood pulp, whether grenades.
or not concentrated, 3. 3814 Organic
desugared or composite solvents
chemically treated, and thinners, not
including lignin elsewhere specified or
sulphonates [3804] included; prepared

S. Chapter Nil 5% 12% 18% 28%

No.
5. Gum, wood or paint or varnish
sulphate turpentine removers.
and other terpenic 4. 3819 Hydraulic brake
oils produced by the fluids and other
distillation or other prepared liquids for
treatment of hydraulic
coniferous woods; transmission, not
crude dipentene; containing or
sulphite turpentine containing less than
and other crude para- 70% by weight of
cymene; pine oil petroleum oils or oils
containing alpha- obtained from
terpineol as the main bituminous minerals.
constituent [3805]. 5. 3820 Anti-
6. Rosin and resin acids, freezing preparations
and derivatives and prepared de-icing
thereof; rosin spirit fluids.
and rosin oils; run
gums [3806]
7. Wood tar; wood tar
oils; wood creosote;
wood naphtha;
vegetable pitch;
brewers' pitch and
similar preparations
based on rosin, resin
acids or on vegetable
pitch [3807]

S. Chapter Nil 5% 12% 18% 28%

No.
8. Insecticides,
rodenticides,
fungicides,
herbicides, anti-
sprouting products
and plant-growth
regulators,
disinfectants and
similar products
[3808]
9. Finishing agents, dye
carriers to accelerate
the dyeing or fixing
of dyestuffs and other
products and
preparations (for
example, dressings
and mordants), of a
kind used in the
textile, paper, leather
or like industries, not
elsewhere specified
or included [3809]
10. Pickling preparations
for metal surfaces;
fluxes and other
auxiliary
preparations for
soldering, brazing or

S. Chapter Nil 5% 12% 18% 28%

No.
welding; soldering,
brazing or welding
powders and pastes
consisting of metal
and other materials;
used as cores or
coatings for welding
electrodes or rods
[3810]
11. Prepared rubber
accelerators;
compound
plasticisers for rubber
or plastics, not
elsewhere specified
or included; anti-
oxidising
preparations and
other compound
stabilisers for rubber
or plastics.; such as
Vulcanizing agents
for rubber [3812]
12. Reaction initiators,
reaction accelerators
and catalytic
preparations, not

S. Chapter Nil 5% 12% 18% 28%

No.
elsewhere specified
or included. [3815]
13. Refractory cements,
mortars, concretes
and similar
compositions, other
than products of
heading 3801 [3816]
14. Mixed alkylbenzenes
and mixed
alkylnaphthalenes,
etc. [3817]
15. Chemical elements
doped for use in
electronics, in the
form of discs, wafers
or similar forms;
chemical compounds
doped for use in
electronics [3818];
other than silicon
wafers.
16. Prepared culture
media for the
development or
maintenance of
micro-organisms
(including viruses
and the like) or of

S. Chapter Nil 5% 12% 18% 28%

No.
plant, human or
animal cells [3821].
17. Diagnostics or
laboratory reagents,
etc. [3822]
18. Industrial monobolic
fatty acids, acid oils
from refining;
industrial fatty
alcohols [3823]
19. Prepared binders for
foundry moulds or
cores; chemical
products and
preparations of the
chemical or allied
industries (including
those consisting of
mixtures of natural
products), not
elsewhere specified
or included;
including Ready mix
concrete (3824 50
10), retarders used in
printing industry
(3824 90), Salts for
curing or salting
(3824 90 16), Surface

S. Chapter Nil 5% 12% 18% 28%

No.
tension reducing
agents (3824 90 17),
Water treatment
chemicals (3824 90
22), Stencil
correction fluid (3824
90 24), Precipitated
Silica (3824 90 25)
[3824].
20. 3825 Residual
products of the
chemical or allied
industries, not
elsewhere specified
or included; [except
municipal waste;
sewage sludge; other
wastes specified in
Note 6 to this
Chapter.]
21. Biodiesel and
mixtures thereof, not
containing or
containing less than
70% by weight of
petroleum oils and
oils obtained from
bituminous minerals
[3826].

S. Chapter Nil 5% 12% 18% 28%

No.
39. 39 1. Plastic bangles - 1. Feeding bottles. All goods not specified 1. Floor coverings of
(Plastics and elsewhere plastics, whether or
articles thereof) not self-adhesive, in
1. Primary polymers [all rolls or in form of tiles;
goods falling under wall or ceiling
3901 to 3913] coverings of plastics
2. Ion exchangers based [3918]
on primary polymers 2. Baths, shower baths,
[3914] sinks, wash basins,
3. Waste, parings and bidets, lavatory pans,
scrap, of plastics seats and covers,
[3915] flushing cisterns and
4. All goods including similar sanitary ware
canes of plastics of plastics [3922]
[3916] 3. Other articles of
5. Tubes, pipes and plastics and articles of
hoses, and fittings other materials of
therefor, of plastics headings 3901 to 3914
[3917] [except bangles of
6. Self-adhesive plates, plastic (3926 40 11)
sheets, film, foil, etc. and PVC Belt
of plastics [3919] Conveyor (3926 90
7. Other plates, sheets, 10)] [3926]
film, foil, etc. of
plastics [3920, 3921]
8. Articles for
conveyance or
packing of goods, etc.
of plastics [3923]

S. Chapter Nil 5% 12% 18% 28%

No.
1. Tableware,
kitchenware, other
household articles
and Hygiene or toilet
articles, of plastics
[3924]
9. Builder's wares of
plastics, not
elsewhere specified
(like reservoirs, vats,
shutters, containers,
doors and windows
and their frames,
thresholds, blinds
etc.) [3925]
10. PVC Belt Conveyor
(3926 90 10)]
40. 40 1. Condoms and 1. Natural rubber, 1. Latex Rubber Thread All goods not specified 1. New pneumatic
(Rubber and contraceptives balata, gutta-percha, [4007] elsewhere tyres, of rubber used
articles thereof) [4014] guayule, chicle and 2. Surgical rubber in motor cars, buses or
similar natural gums, gloves or medical 1. 4002 Synthetic lorries, aircraft, motor
in primary forms or examination rubber rubber and factice cycles etc [4011]
in plates, sheets or gloves [4015] derived from oils, in [other than of a kind
strip [4001] 3. Nipples of feeding primary forms or in used on/in bicycles,
2. Toy balloons made bottles [4014] plates, sheets or strip; cycle -rickshaws and
of natural rubber mixtures of any three wheeled
latex [4016] product of heading powered cycle
3. Pneumatic tyres or 4001 with any rickshaws.]
inner tubes, of product of this

S. Chapter Nil 5% 12% 18% 28%

No.
rubber, of a kind heading, in primary 2. Retreaded or used
used on/in bicycles, forms or in plates, tyres and flaps [4012]
cycle -rickshaws sheets or strip; such 3. Inner tubes of rubber
and three wheeled as Latex, styrene [4013] [other than of
powered cycle butadiene rubber, a kind used on/in
rickshaws [4011, butadiene rubber bicycles, cycle -
4013] (BR), Isobutene- rickshaws and three
isoprene (butyl) wheeled powered
rubber (IIR), cycle rickshaws.]
Ethylene-propylene- 4. Other articles of
Non-conjugated vulcanised rubber
diene rubber (EPDM) including Floor
2. 4003 coverings and mats,
Reclaimed rubber boats or dock
rubber in primary fenders, air mattress,
forms or in plates, rubber cots for textile
sheets or strip. industry, cushions, of
3. 4004 Waste, vulcanised rubber
parings and scrap of (other than erasers)
rubber (other than [4016]
hard rubber) and 5. Hard rubber and
powders and granules articles of Hard
obtained therefrom. Rubber (including
4. 4005 Compounded printers rollers and
rubber, textile rollers and
unvulcanised, in cyclostyling rollers)
primary forms or in [4017]
plates, sheets or strip.

S. Chapter Nil 5% 12% 18% 28%

No.
5. 4006 Other
forms (for example,
rods, tubes and
profile shapes) and
articles (for example,
discs and rings), of
unvulcanised
rubber.
6. 4007 Vulcanised
rubber thread and
cord, other than latex
rubber thread.
7. 4008 Plates,
sheets, strip, rods
and profile shapes, of
vulcanised rubber
other than hard
rubber.
8. 4009 Tubes,
pipes and hoses, of
vulcanised rubber
other than hard
rubber, with or
without their fittings
(for example, joints,
elbows, flanges).
9. 4010
Conveyor or
transmission belts or

S. Chapter Nil 5% 12% 18% 28%

No.
belting, of vulcanised
rubber.
10. 4014 Hygienic
or pharmaceutical
articles (including
teats), of vulcanised
rubber other than
hard rubber, with or
without fittings of
hard rubber; such as
Hot water bottles,
Ice bags [other than
Sheath
contraceptives,
Rubber
contraceptives, male
(condoms), Rubber
contraceptives,
female (diaphragms),
such as cervical
caps].
11. 4015 Articles
of apparel and
clothing accessories
(including gloves,
mittens and mitts),
for all purposes, of
vulcanised rubber
other than hard

S. Chapter Nil 5% 12% 18% 28%

No.
rubber [other than
Surgical gloves].
12. Erasers [4016].
41. 41 - Raw hides, skins, tanned All goods, that is leather - -

[Raw Hides and or crust hides and skins, further prepared, etc.
Skins (other than not further prepared [4107 to 4115]
Fur skins) and [4101 to 4106] 1. 4107 Leather
Leather] further prepared after
1. 4101 Raw tanning or crusting,
hides and skins of including
bovine (including parchment-dressed
buffalo) or equine leather, of bovine
animals (fresh, or (including buffalo)
salted, dried, limed, or equine animals,
pickled or otherwise without hair on,
preserved, but not whether or not split,
tanned, parchment- other than leather of
dressed or further heading 4114.
prepared), whether 4107 to 4111 Blank in
or not dehaired or Tariff.
split. 2. 4112 Leather
2. 4102 Raw further prepared after
skins of sheep or tanning or crusting,
lambs (fresh, or including
salted, dried, limed, parchment-dressed
pickled or otherwise leather, of sheep or
preserved, but not lamb, without wool
tanned, parchment- on, whether or not

S. Chapter Nil 5% 12% 18% 28%

No.
dressed or further split, other than
prepared), whether leather of heading
or not with wool on 4114.
or split. 3. 4113 Leather
3. 4103 Other further prepared after
raw hides and skins tanning or crusting,
(fresh, or salted, including
dried, limed, pickled parchment-dressed
or otherwise leather, of other
preserved, but not animals, without
tanned, parchment- wool or hair on,
dressed or further whether or not split,
prepared), whether other than leather of
or not dehaired or heading 4114.
split. 4. 4114 Chamois
4. 4104 Tanned (including
or crust hides and combination
skins of bovine chamois) leather;
(including buffalo) patent leather and
or equine animals, patent laminated
without hair on, leather; metallised
whether or not split, leather.
but not further 5. 4115 Composition
prepared. leather with a basis
5. 4105 Tanned of leather or leather
or crust skins of fibre, in slabs, sheets
sheep or lambs, or strip, whether or
without wool on, not in rolls; parings
whether or not split, and other waste of

S. Chapter Nil 5% 12% 18% 28%

No.
but not further leather or of
prepared. composition leather,
6. 4106 Tanned not suitable for the
or crust hides and manufacture of
skins of other leather articles;
animals, without leather dust, powder
wool or hair on, and flour
whether or not split,
but not further
prepared.]
42. 42 - - 1. Gloves specially - All goods not specified
[Articles of designed for use in elsewhere
leather; saddlery sports [4203]
and harness; 1. 4201 Saddlery and
travel goods, harness for any animal
handbags and (including traces,
similar leads, knee pads,
containers; muzzles, saddle
articles of animal cloths, saddle bags,
gut (other than dog coats and the like),
silk-worm gut)] of any material.
2. 4202 Trunks, suit-
cases, vanity-cases,
executive-cases, brief-
cases, school satchels,
spectacle cases,
binocular cases,
camera cases, musical
instrument cases, gun

S. Chapter Nil 5% 12% 18% 28%

No.
cases, holsters and
similar containers;
travelling-bags,
insulated food or
beverages bags, toilet
bags, rucksacks,
handbags, shopping
bags, wallets, purses,
map-cases, cigarette-
cases, to-bacco-
pouches, tool bags,
sports bags, bottle-
cases, jewellery boxes,
powder-boxes, cutlery
cases and similar
containers, of leather,
of sheeting of plastics,
of textile materials, of
vulcanised fibre or of
paperboard, or wholly
or mainly covered
with such materials or
with paper
3. 4203 Articles of
apparel and clothing
accessories, of leather
or of composition
leather.
4204 Blank in Tariff.

S. Chapter Nil 5% 12% 18% 28%

No.
4. 4205 Other
articles of leather or of
composition leather.
5. 4206 Articles of gut
(other than silk-worm
gut), of goldbeater's
skin, of bladders or of
tendons.
43. 43 - - - 1. 4301 Raw All goods not specified

(Furskin and furskins, including elsewhere
artificial fur; heads, tails, paws and
manufacturers other pieces or 1. 4303 Articles of
thereof) cuttings, suitable for apparel, clothing
furriers' use), other accessories and other
than raw hides and articles of furskin.
skins of heading 2. 4304 Articles of
4101, 4102 or 4103; artificial fur.
of mink, of lamb, of
fox, etc.
2. 4302 Tanned or
dressed furskins
(including heads,
tails, paws and other
pieces or cuttings),
unassembled, or
assembled (without
the addition of other
materials) other than

S. Chapter Nil 5% 12% 18% 28%

No.
those of heading
4303; such as Calf
skins, with hair on,
tanned or dressed,
Hides or skins of
other bovine and
equine animals with
hair on, tanned or
dressed, etc.
3. 4304 Artificial fur;
Artificial fur as
trimmings and
embellishments for
garments, made ups,
knitwear, plastic and
leather goods.
44. 44 1. Firewood or 1. Wood in chips or All goods not specified 1. Wood in the rough
(Wood and fuel wood particles; sawdust elsewhere [4403] 1. Particle board,
articles of wood, [4401] and wood waste and 2. Wood sawn or Oriented Strand
wood charcoal) 2. Wood charcoal scrap, whether or not 1. 4404 Hoopwood; chipped [4407] Board (OSB) and
(including agglomerated in split poles; piles, 3. All goods [other similar board (for
shell or nut logs, briquettes, pickets and stakes of than for match example, wafer board)
charcoal), pellets or similar wood, pointed but splints] [4408] of wood or other
whether or not forms [4401] not sawn lengthwise; 4. Wood (including ligneous materials,
agglomerated wooden sticks, strips and friezes for whether or not
[4402] roughly trimmed but parquet flooring, not agglomerated with
not turned, bent or assembled) resins or other organic
otherwise worked, continuously shaped binding substances,

S. Chapter Nil 5% 12% 18% 28%

No.
suitable for the (tongued, grooved, other than specified
manufacture of rebated, chamfered, boards [4410]
walking-sticks, v-jointed, beaded, 2. Fibre board of wood
umbrellas, tool moulded, rounded or or other ligneous
handles or the like. the like) along any of materials, whether or
2. 4405 Wood its edges or faces, not bonded with resins
wool; wood flour. whether or not or other organic
3. 4406 Railway planed, sanded or substances, other
or tramway sleepers end-jointed [4409] than specified boards
(cross-ties) of wood. 5. Resin bonded [4411]
4. The following bamboo mat board, 3. Plywood, veneered
goods, namely: with or without panels and similar
a. Cement Bonded veneer in between laminated wood
Particle Board; 6. Bamboo flooring tiles [4412]
b. Jute Particle 7. Tableware and 4. Densified wood, in
Board; Kitchenware of wood blocks, plates, strips,
c. Rice Husk [4419] or profile shapes
Board; [4413]
d. Glass-fibre 5. Wooden frames for
Reinforced paintings,
Gypsum Board photographs, mirrors
(GRG) or similar objects
e. Sisal-fibre [4414]
Boards; 6. Builders joinery and
f. Bagasse Board; carpentry of wood,
and including cellular
g. Cotton Stalk wood panels,
Particle Board assembled flooring

S. Chapter Nil 5% 12% 18% 28%

No.
h. Particle/fibre panels, shingles and
board shakes [4418]
manufactured 7. Wood paving blocks,
from agricultural articles of densified
crop residues. wood not elsewhere
5. 4415 Packing included or specified,
cases, boxes, crates, Parts of domestic
drums and similar decorative articles
packings, of wood; used as tableware and
cable-drums of kitchenware.
wood; pallets, box
pallets and other load
boards, of wood;
pallet collars of
wood.
6. 4416 Casks,
barrels, vats, tubs
and other coopers'
products and parts
thereof, of wood,
including staves.
7. 4417 Tools,
tool bodies, tool
handles, broom or
brush bodies and
handles, of wood;
boot or shoe lasts and
trees, of wood.

S. Chapter Nil 5% 12% 18% 28%

No.
8. 4420 Wood
marquetry and inlaid
wood; caskets and
cases for jewellery or
cutlery, and similar
articles, of wood;
statuettes and other
ornaments, of wood;
wooden articles of
furniture not falling
in Chapter 94.
9. 4421 Other
articles of wood;
such as clothes
hangers, Spools,
cops, bobbins,
sewing thread reels
and the like of turned
wood for various
textile machinery,
Match splints, Pencil
slats, Parts of wood,
namely oars,
paddles and rudders
for ships, boats and
other similar floating
structures, Parts of
domestic decorative
articles used as

S. Chapter Nil 5% 12% 18% 28%

No.
tableware and
kitchenware [other
than Wood paving
blocks, articles of
densified wood not
elsewhere included
or specified, Parts of
domestic decorative
articles used as
tableware and
kitchenware]
45. 45 - - 1. 4501 Natural cork, All goods not specified -
(Cork and articles raw or simply elsewhere
of cork) prepared.
1. 4501 Waste
cork; crushed,
granulated or ground
cork.
2. 4502 Natural
cork, debacked or
roughly squared, or in
rectangular
(including square)
blocks, plates, sheets
or strip (including
sharp-edged blanks
for corks or stoppers).
3. 4503 Articles
of natural cork such

S. Chapter Nil 5% 12% 18% 28%

No.
as Corks and
Stoppers, Shuttlecock
cork bottom.
4. 4504 Agglomerated
cork (with or without
a binding substance)
and articles of
agglomerated cork.]
46. 46 - - All goods - -

(Manufactures of
straw, of esparto 1. 4601 Plaits and
or of other similar products of
plaiting plaiting materials,
materials; whether or not
Basket-ware and assembled into
wickerwork) strips; plaiting
materials, plaits and
similar products of
plaiting materials,
bound together in
parallel strands or
woven, in sheet
form, whether or not
being finished
articles (for example,
mats matting,
screens) of
vegetables materials

S. Chapter Nil 5% 12% 18% 28%

No.
such as of Bamboo,
of rattan, of Other
Vegetable materials.
2. 4602 Basketwork,
wickerwork and
other articles, made
directly to shape
from plaiting
materials or made up
from goods of
heading 4601;
articles of loofah.
47. 47 - - All goods - -

[Pulp of wood or
of other fibrous 1. 4701
cellulosic Mechanical
material; wood pulp.
recovered (waste 2. 4702 Chemical
and scrap) paper wood pulp,
or paperboard] dissolving grades.
3. 4703 Chemical
wood pulp, soda or
sulphate, other than
dissolving grades.
4. 4704 Chemical
wood pulp, sulphite,
other than dissolving
grades.

S. Chapter Nil 5% 12% 18% 28%

No.
5. 4705 Wood
pulp obtained by a
combination of
mechanical and
chemical pulping
processes.
6. 4706 Pulps of
fibres derived from
recovered (waste and
scrap) paper or
paperboard or of
other fibrous
cellulosic material.
7. 4707 Recovered
(waste and scrap)
paper or
paperboard.]
48. 48 1. Judicial, Non- 1. Newsprint, in rolls 1. Uncoated paper and All goods not specified 1. Wall paper and similar
(Paper and judicial stamp or sheets [4801] paperboard, uncoated elsewhere wall coverings [4814]
paperboard; papers, Court kraft paper,
articles of paper fee stamps greaseproof paper, 1. 4803 Toilet or
pulp, of paper or when sold by glassine paper, facial tissue stock,
of paperboard) the composite paper etc. towel or napkin
Government [4802, 4804, 4805, stock and similar
Treasuries or 4806 20 00, 4806 40 paper of a kind used
Vendors 10, 4807, 4808, 4810, for household or
authorized by 4817] sanitary purposes,
the 2. Aseptic packaging cellulose wadding
paper [4811]

S. Chapter Nil 5% 12% 18% 28%

No.
Government, 3. Boxes, pouches, and webs of cellulose
Postal items, wallets and writing fibres, whether or not
like envelope, compendiums, of creped, crinkled,
Post card etc., paper or paperboard, embossed,
sold by containing an perforated, surface-
Government, assortment of paper coloured, surface-
rupee notes stationery including decorated or printed,
when sold to writing blocks in rolls or sheets.
the Reserve [4817]. 2. 4806 Vegetable
Bank of India 4. Cartons, boxes and parchment, tracing
& Cheques, cases of corrugated papers and other
lose or in book paper or paper board glazed transparent or
form [4802, [4819] translucent papers, in
4817] 5. Exercise book, graph rolls or sheets.
book, & laboratory 3. 4809 Carbon
note book [4820] paper, self-copy
6. Kites [4823] paper and other
7. Paper pulp moulded copying or transfer
trays [4823] papers (including
8. Braille paper [4823 coated or
90 11] impregnated paper
9. Paper splints for for duplicator stencils
matches, whether or or offset plates),
not waxed, Asphaltic whether or not
roofing sheets printed, in rolls or
sheets.
4. 4811 Paper,
paperboard,
cellulose wadding

S. Chapter Nil 5% 12% 18% 28%

No.
and webs of
cellulose fibres,
coated, impregnated,
covered, surface-
coloured, surface-
decorated or printed,
in rolls or rectangular
(including square)
sheets, of any size,
other than goods of
the kind described in
heading 4803, 4809
or 4810 [Other
aseptic packaging
paper and
5. 4812 Filter
blocks, slabs and
plates, of paper pulp.
6. 4813 Cigarette
paper, whether or not
cut to size or in the
form of booklets or
tubes.
7. 4815 Blank in
Tariff
8. 4816 Carbon
paper, self-copy
paper and other
copying or transfer

S. Chapter Nil 5% 12% 18% 28%

No.
papers (other than
those of heading
4809), duplicator
stencils and offset
plates, of paper,
whether or not put up
in boxes.
9. 4817 Envelopes,
letter cards, plain
postcards and
correspondence
cards, of paper or
paperboard; [other
than boxes, pouches,
wallets and writing
compendiums, of
paper or paperboard,
containing an
assortment of paper
stationery including
writing blocks].
10. 4818 Toilet
paper and similar
paper, cellulose
wadding or webs of
cellulose fibres, of a
kind used for
household or sanitary
purposes, in rolls of a

S. Chapter Nil 5% 12% 18% 28%

No.
width not exceeding
36 cm, or cut to size
or shape;
handkerchiefs,
cleansing tissues,
towels, table cloths,
serviettes, napkins
for babies, tampons,
bed sheets and
similar household,
sanitary or hospital
articles, articles of
apparel and clothing
accessories, or paper
pulp, paper, cellulose
wadding or webs of
cellulose fibres.
11. 4820 Registers,
account books, note
books, order books,
receipt books, letter
pads, memorandum
pads, diaries and
similar articles,
exercise books,
blotting-pads, binders
(loose-leaf or other),
folders, file covers,
manifold business

S. Chapter Nil 5% 12% 18% 28%

No.
forms, interleaved
carbon sets and other
articles of stationary,
of paper or
paperboard; and
book covers, of paper
or paperboard
[including Albums
for samples or for
collections].
12. 4821 Paper or
paperboard labels
of all kinds, whether
or not printed.
13. 4822 Bobbins,
spools, cops and
similar supports of
paper pulp, paper or
paperboard (whether
or not perforated or
hardened).
14. 4823 Other
paper, paperboard,
cellulose wadding
and webs of
cellulose fibres, cut to
size or shape; other
articles of paper pulp,
paper, paperboard,

S. Chapter Nil 5% 12% 18% 28%

No.
cellulose wadding or
webs of cellulose
fibres [other than
paper pulp moulded
trays]
49. 49 1. Printed 4901 Brochures, All goods not specified - -

(Printed books, books, leaflets and similar elsewhere
newspapers, including printed matter, whether
pictures and other Braille books or not in single sheets 1. 4903 Children's
products of the [4901] and picture, drawing or
printing industry, newspaper, colouring books.
manuscripts, periodicals & 2. 4904 Music,
typescripts and journals printed or in
plans) [4902], maps, manuscript,
atlas, chart & whether or not bound
globe [4905] or illustrated.
3. 4906 Plans
[4902 and drawings for
Newspapers, architectural,
journals and engineering,
periodicals, industrial,
whether or not commercial,
illustrated or topographical or
containing similar purposes,
advertising being originals
material. drawn by hand;
4905 Maps and hand-written texts;
hydrographic or photographic

S. Chapter Nil 5% 12% 18% 28%

No.
similar charts of all reproductions on
kinds, including sensitised paper and
atlases, wall maps, carbon copies of the
topographical foregoing.
plans and globes, 4. 4907 Unused
printed.] postage, revenue or
similar stamps of
current or new issue
in the country in
which they have, or
will have, a
recognised face
value; stamp-
impressed paper;
banknotes; cheque
forms; stock, share
or bond certificates
and similar
documents of title.
5. Transfers
(decalcomanias)
[4908]
6. 4909 Printed or
illustrated
postcards; printed
cards bearing
personal greetings,
messages or
announcements,

S. Chapter Nil 5% 12% 18% 28%

No.
whether or not
illustrated, with or
without envelopes or
trimmings.
7. 4910 Calendars of
any kind, printed,
including calendar
blocks.
8. 4911 Other
printed matter,
including printed
pictures and
photographs; such as
Trade advertising
material,
Commercial
catalogues and the
like, printed Posters,
Commercial
catalogues, Printed
inlay cards, Pictures,
designs and
photographs, Plan
and drawings for
architectural
engineering,
industrial,
commercial,
topographical or

S. Chapter Nil 5% 12% 18% 28%

No.
similar purposes
reproduced with the
aid of computer or
any other devices.
65. 65 - - - 1. Safety headgear such All goods not specified

(Headgear and as helmets [6506 10] elsewhere [other than
parts thereof) 1. 6504 Hats and helmets, textile head
other headgear, gears]
plaited or made by
assembling strips of 2. 6501 Hat-forms,
any material, whether hat bodies and hoods
or not lined or of felt, neither blocked
trimmed. to shape nor with
2. 6505 Hats and made brims; plateaux
other headgear, and manchons
knitted or crocheted, (including slit
or made up from lace, manchons), of felt.
felt or other textile 3. 6502 Hat-
fabric, in the piece shapes, plaited or
(but not in strips), made by assembling
whether or not lined strips of any material,
or trimmed; hair-nets neither blocked to
of any material, shape, nor with made
whether or not lined brims, nor lined, nor
or trimmed. trimmed.
4. 6503 Blank in Tariff.

S. Chapter Nil 5% 12% 18% 28%

No.
5. 6506 Other
headgear, whether or
not lined or trimmed.
6. 6507 Head-
bands, linings, covers,
hat foundations, hat
frames, peaks and
chinstraps, for
headgear.
66. 66 - - All goods - -
(Umbrellas, sun
umbrellas, 1. 6601 Umbrellas and
walking-sticks, sun umbrellas
seat-sticks, (including walking-
whips, riding- stick umbrellas,
crops and parts garden umbrellas
thereof) and similar
umbrellas).
2. 6602 Walking-
sticks, seat-sticks,
whips, riding-crops
and the like.
3. 6603 Parts,
trimmings and
accessories of
articles of heading
6601 or 6602.]

S. Chapter Nil 5% 12% 18% 28%

No.
67. 67 - - 1. Skins and other parts - All goods not specified
(Prepared of birds with their elsewhere
feathers and feathers or down,
down and articles feathers, parts of 1. 6702 Artificial
made of feather feathers, down and flowers, foliage and
or of down - articles thereof [6701 fruit and parts thereof;
artificial flowers; all goods] articles made of
articles of human artificial flowers,
hair) foliage or fruit.
2. 6703 Human
hair, dressed, thinned,
bleached or otherwise
worked; wool or other
animal hair or other
textile materials,
prepared for use in
making wigs or the
like.
3. 6704 Wigs, false
beards, eyebrows
and eyelashes,
switches and the like,
of human or animal
hair or of textile
materials; articles of
human hair not
elsewhere specified or
included.

S. Chapter Nil 5% 12% 18% 28%

No.
68. 68 - - 1. Sand lime bricks 1. 6804 Millstones, All goods not specified
(Articles of stone, 2. Fly ash bricks. grindstones, grinding elsewhere
plaster, cement, wheels and the like,
asbestos, mica or without frameworks, 1. 6801 Setts,
similar material) for grinding, curbstones and
sharpening, flagstones, of natural
polishing, trueing or stone (except slate).
cutting, hand 2. 6802 Worked
sharpening or monumental or
polishing stones, and building stone
parts thereof, of (except slate) and
natural stone, of articles thereof, other
agglomerated natural than goods of heading
or artificial abrasives, 6801; mosaic cubes
or of ceramics, with and the like, of natural
or without parts of stone (including slate),
other materials whether or not on a
2. 6805 Natural or backing; artificially
artificial abrasive coloured granules,
powder or grain, on a chippings and powder,
base of textile of natural stone
material, of paper, of (including slate); of
paperboard or of marble, travertine
other materials, and alabaster, of
whether or not cut to Granite, of Other
shape or sewn or calcareous stone.
otherwise made up; 3. 6803 Worked slate
such as Abrasive and articles of slate or
cloths, Emery or of agglomerated slate.

S. Chapter Nil 5% 12% 18% 28%

No.
corundum coated 4. 6807 Articles of
paper, Flint coated asphalt or of similar
paper, Glass or sand material (for example,
coated paper. petroleum bitumen or
3. 6806 Slag coal tar pitch).
wool, rock wool and 5. 6808 Panels,
similar mineral boards, tiles, blocks
wools; exfoliated and similar articles
vermiculite, of vegetable fibre, of
expanded clays, straw or of shavings,
foamed slag and chips, particles,
similar expanded sawdust or other
mineral materials; waste, of wood,
mixtures and articles agglomerated with
of heat-insulating, cement, plaster or
sound-insulating or other mineral binders.
sound-absorbing 6. 6809 Articles of
mineral materials, plaster or of
other than those of compositions based on
heading 6811 or 6812 plaster; such as
or chapter 69. Boards, sheets, panels,
4. 6811 Articles of tiles and similar
asbestos-cement, of articles, not
cellulose fibre- ornamented.
cement or the like. 7. 6810 Articles of
cement, of concrete or
of artificial stone,
whether or not
reinforced; such as

S. Chapter Nil 5% 12% 18% 28%

No.
Tiles, flagstones,
bricks and similar
articles, Building
blocks and bricks,
Cement bricks,
Prefabricated
structural components
for Building or civil
engineering,
Prefabricated
structural components
for building or civil
engineering.
8. 6812 Fabricated
asbestos fibres;
mixtures with a basis
of asbestos or with a
basis of asbestos and
magnesium carbonate;
articles of such
mixtures or of
asbestos (for example,
thread, woven fabric,
clothing, headgear,
footwear, gaskets),
whether or not
reinforced, other than
goods of heading 6811
or 6813

S. Chapter Nil 5% 12% 18% 28%

No.
9. 6813 Friction material
and articles thereof
(for example, sheets,
rolls, strips, segments,
discs, washers, pads),
not mounted, for
brakes, for clutches or
the like, with a basis of
asbestos, of other
mineral substances or
of cellulose, whether
or not combined with
textiles or other
materials.
10. 6814 Worked mica
and articles of mica,
including
agglomerated or
reconstituted mica,
whether or not on a
support of paper,
paperboard or other
materials.
11. 6815 Articles of stone
or of other mineral
substances (including
carbon fibres, articles
of carbon fibres and
articles of peat), not

S. Chapter Nil 5% 12% 18% 28%

No.
included.
69. 69 1. Earthen pot 1. Building bricks - 1. Refractory bricks, All goods not specified
(Ceramic and clay lamps [6904 10 00] blocks, tiles and elsewhere
products) [6912 00 40] 2. Bricks of fossil similar refractory
meals or similar ceramic 2. 6901 Blocks,
siliceous earths constructional goods, tiles and other ceramic
[6901 00 10] other than those of goods of siliceous
3. Earthen or roofing siliceous fossil meals fossil meals (for
tiles [6905 10 00] or similar siliceous example, kieselguhr,
earths. [all goods of tripolite or diatomite)
6902, 6903] or of similar siliceous
1. 6911 Tableware, earths.
kitchenware, other 3. 6903 Other
household articles refractory ceramic
and toilet articles, of goods (for example,
porcelain or china. retorts, crucibles,
2. 6912 Ceramic muffles, nozzles,
tableware, plugs, supports,
kitchenware, other cupels, tubes, pipes,
household articles sheaths and rods),
and toilet articles, other than those of
other than of siliceous fossil meals
porcelain or china or of similar siliceous
[other than Earthen earths.
pot and clay lamps]. 4. 6904 Ceramic flooring
blocks, support or
filler tiles and the like.

S. Chapter Nil 5% 12% 18% 28%

No.
5. 6905 Chimney-pots,
cowls, chimney liners,
architectural
ornaments and other
ceramic constructional
goods.
6. 6906 Ceramic pipes,
conduits, guttering
and pipe fittings.
7. 6907 Ceramic flags
and paving, hearth or
wall tiles; ceramic
mosaic cubes and the
like, whether or not on
a backing; finishing
ceramics
8. 6908 Glazed
ceramic flags and
paving, hearth or wall
tiles; glazed ceramic
mosaic cubes and the
like, whether or not on
a backing.
9. 6909 Ceramic wares
for laboratory,
chemical or other
technical uses;
ceramic troughs, tubs
and similar receptacles

S. Chapter Nil 5% 12% 18% 28%

No.
of a kind used in
agriculture; ceramic
pots, jars and similar
articles of a kind used
for the conveyance or
packing of goods.
10. 6910 Ceramic sinks,
wash basins, wash
basin pedestals, baths,
bidets, water closet
pans, flushing cisterns,
urinals and similar
sanitary fixtures.
11. 6913 Statuettes and
other ornamental
ceramic articles.
12. 6914 Other
ceramic articles.
70. 70 1. Bangles - 1. Globes for lamps and 1. Glasses for corrective All goods not specified
(Glass and (except those lanterns, Founts for spectacles [7015 10] elsewhere
glassware) made from kerosene wick 2. 7001 Cullet and
precious lamps, Glass other waste and scrap 1. 7003 Cast glass
metals) [7018] chimneys for lamps of glass; glass in the and rolled glass, in
and lanterns [7020] mass. sheets or profiles,
3. 7002 Glass in whether or not having
balls (other than an absorbent,
microspheres of reflecting or non-
heading 70.18), rods reflecting layer, but
or tubes, unworked. not otherwise worked.

S. Chapter Nil 5% 12% 18% 28%

No.
4. 7010 Carboys, 2. 7004 Drawn
bottles, flasks, jars, glass and blown glass,
pots, phials, in sheets, whether or
ampoules and other not having an
containers, of glass, absorbent, reflecting
of a kind used for the or non-reflecting
conveyance or layer, but not
packing of goods; otherwise worked.
preserving jars of 3. 7005 Float glass
glass; stoppers, lids and surface ground or
and other closures, of polished glass, in
glass. sheets, whether or not
5. 7013 Glassware of a having an absorbent,
kind used for table, reflecting or non-
kitchen, toilet, office, reflecting layer, but
indoor decoration or not otherwise worked.
similar purposes 4. 7006 Glass of
(other than that of heading 70.03, 70.04
heading 7010 or or 70.05, bent, edge-
7018). worked, engraved,
6. 7015 Clock or drilled, enamelled or
watch glasses and otherwise worked, but
similar glasses, not framed or fitted
glasses for non- with other materials.
corrective spectacles, 5. 7007 Safety
curved, bent, glass, consisting of
hollowed or the like, toughened (tempered)
not optically worked; or laminated glass.
hollow glass spheres

S. Chapter Nil 5% 12% 18% 28%

No.
and their segments, 6. 7008 Multiple-walled
for the manufacture insulating units of
of such glasses. glass.
7. 7017 Laboratory, 7. 7009 Glass
hygienic or mirrors, whether or
pharmaceutical not framed, including
glassware, whether or rear-view mirrors.
not graduated or 8. 7011 Glass
calibrated. envelopes (including
8. 7018 Glass bulbs and tubes),
beads, imitation open, and glass parts
pearls, imitation thereof, without
precious or semi- fittings, for electric
precious stones and lamps, cathode-ray
similar glass tubes or the like.
smallwares, and 9. 7012 Blank in
articles thereof other Tariff.
than imitation 10. 7014 Signalling
jewellery; glass eyes glassware and optical
other than prosthetic elements of glass
articles; statuettes (other than those of
and other ornaments heading 7015), not
of lamp-worked optically worked.
glass, other than 11. 7016 Paving
imitaion jewelery; blocks, slabs, bricks,
glass microsphers not squares, tiles and other
exceeding 1 mm in articles of pressed or
diameter : moulded glass,
whether or not wired,

S. Chapter Nil 5% 12% 18% 28%

No.
9. 7019 Glass of a kind used for
fibres (including building or
glass wool) and construction purposes;
articles thereof (for glass cubes and other
example, yarn, glass smallwares,
woven fabrics) whether or not on a
backing, for mosaics
or similar decorative
purposes; leaded lights
and the like; multi-
cellular or foam glass
in blocks, panels,
plates, shells or similar
forms
12. 7020 Other
articles of glass [other
than Globes for lamps
and lanterns, Founts
for kerosene wick
lamps, Glass
chimneys for lamps
and lanterns].
72. 72 - - - All goods -

(Iron and steel)
1. 7201 Pig iron
and spiegeleisen in
pigs, blocks or other
primary forms.

S. Chapter Nil 5% 12% 18% 28%

No.
2. 7202 Ferro-
alloys.
3. 7203 Ferrous
products obtained by
direct reduction of
iron ore and other
spongy ferrous
products, in lumps,
pellets or similar
forms; iron having a
minimum purity by
weight of 99.94%, in
lumps, pellets or
similar forms
4. 7204 Ferrous
waste and scrap;
remelting scrap
ingots of iron or steel.
5. 7205 Granules
and powders, of pig
iron, spiegeleisen,
iron or steel.
6. 7206 Iron and
non-alloy steel in
ingots or other
primary forms
(excluding iron of
heading 7203).

S. Chapter Nil 5% 12% 18% 28%

No.
7. 7207 Semi-
finished products of
iron or non-alloy
steel.
8. 7208 Flat-
rolled products of
iron or non-alloy
steel, of a width of
600 mm or more,
hot-rolled, not clad,
plated or coated.
9. 7209 Flat-
rolled products of
iron or non-alloy
600 mm or more,
cold-rolled (cold-
reduced), not clad,
plated or coated.
10. 7210 Flat-
rolled products of
iron or non-alloy
600 mm or more,
clad, plated or coated.
11. 7211 Flat-
rolled products of
iron or non-alloy

S. Chapter Nil 5% 12% 18% 28%

No.
less than 600 mm, not
12. 7212 Flat-
rolled products of
iron or non-alloy
less than 600 mm,
13. 7213 Bars and
rods, hot-rolled, in
irregularly wound
coils, of iron or non-
alloy steel.
14. 7214 Other bars
and rods of iron or
non-alloy steel, not
further worked than
forged, hot-rolled,
hot-drawn or hot-
extruded, but
including those
twisted after rolling.
15. 7215 Other bars
and rods of iron or
non-alloy steel.
16. 7216 Angles,
shapes and sections
of iron or non-alloy
steel.

S. Chapter Nil 5% 12% 18% 28%

No.
17. 7217 Wire of
iron or non-alloy
steel.
18. 7218 Stainless
steel in ingots or
other primary forms;
semi-finished
products of stainless
steel.
19. 7219 Flat-
rolled products of
stainless steel, of a
width of 600 mm or
more.
20. 7220 Flat-
rolled products of
stainless steel, of a
width of less than 600
mm not further
worked than hot-
rolled
21. 7221 Bars and
irregularly wound
coils, of stainless
steel.
22. 7222 Other bars
and rods of stainless
steel; angles, shapes

S. Chapter Nil 5% 12% 18% 28%

No.
and sections of
stainless steel.
23. 7223 Wire of
stainless steel.
24. 7224 Other
alloy steel in ingots or
other primary forms;
semi-finished
products of other
alloy steel.
25. 7225 Flat-
rolled products of
other alloy steel, of a
width of 600 mm or
more of sillicon
electrical steel
26. 7226 Flat-
rolled products of
other alloy steel, of a
width of less than 600
mm.
27. 7227 Bars and
irregularly wound
coils, of other alloy
steel.
28. 7228 Other bars
and rods of other
alloy steel; angles,

S. Chapter Nil 5% 12% 18% 28%

No.
shapes and sections,
of other alloy steel;
hollow drill bars and
rods, of alloy or non-
alloy steel.
29. 7229 Wire of
other alloy steel.
73. 73 - - 1. Mathematical boxes, All goods not specified 1. Stoves [other than
(Articles of iron geometry boxes and elsewhere kerosene stove and
or steel) colour boxes, pencil LPG stoves], ranges,
sharpeners [7310 or 1. 7301 Sheet grates, cookers
7326] piling of iron or steel, (including those with
2. Animal shoe nails whether or not subsidiary boilers for
[7317] drilled, punched or central heating),
3. Utensils [7323] made from assembled barbecues, braziers,
4. Sewing needles elements; welded gas-rings, plate
[7319] angles, shapes and warmers and similar
5. Kerosene burners, sections, of iron or non-electric domestic
kerosene stoves and steel. appliances, and parts
wood burning stoves 2. 7302 Railway thereof, of iron or steel
of iron or steel or tramway track [7321]
[7321] construction material 2. Radiators for central
6. Table or kitchen or of iron or steel, the heating, not
other household following: rails, electrically heated,
articles of iron & check-rails and rack and parts thereof, of
steel [7323] rails, switch blades, iron or steel; air
crossing frogs, point heaters and hot air
rods and other distributors (including

S. Chapter Nil 5% 12% 18% 28%

No.
crossing pieces, distributors which can
sleepers (cross-ties), also distribute fresh or
fish-plates, chairs, conditioned air), not
chair wedges, sole electrically heated,
plates (base plates), incorporating a motor-
rail clips bedplates, driven fan or blower,
ties and other and parts thereof, of
material specialized iron or steel [7322]
for jointing or fixing 3. Sanitary ware and
rails parts thereof of iron
3. 7303 Tubes, and steel [7324]
pipes and hollow
profiles, of cast iron.
4. 7304 Tubes,
pipes and hollow
profiles, seamless, of
iron (other than cast
iron) or steel.
5. 7305 Other
tubes and pipes (for
example, welded,
riveted or similarly
closed), having
circular cross
sections, the external
diameter of which
exceeds 406.4 mm, of
iron or steel.

S. Chapter Nil 5% 12% 18% 28%

No.
6. 7306 Other
tubes, pipes and
hollow profiles (for
example, open seam
or welded, riveted or
similarly closed), of
iron or steel.
7. 7307 Tube or
pipe fittings (for
example, couplings,
elbows, sleeves), of
iron or steel.
8. Structures (excluding
prefabricated
buildings of heading
94.06) and parts of
structures (for
example, bridges and
bridgesections,
lockgates, towers,
lattice masts, roofs,
roofing frameworks,
doors and windows
and their frames and
thresholds for doors,
and shutters,
balustrades, pillars,
and columns), of iron
or steel; plates, rods,

S. Chapter Nil 5% 12% 18% 28%

No.
angles, shapes,
section, tubes and the
like, prepared for
using structures, of
iron or steel [other
than transmission
towers] [7308]
9. Reservoirs, tanks,
vats and similar
containers for any
material (other than
compressed or
liquefied gas), of iron
or steel, of a capacity
exceeding 300 l,
whether or not lined
or heat-insulated, but
not fitted with
mechanical or
thermal equipment
[7309]
10. Tanks, casks, drums,
cans, boxes and
similar containers,
for any material
(other than
compressed or
liquefied gas), of iron
or steel, of a capacity

S. Chapter Nil 5% 12% 18% 28%

No.
not exceeding 300 l,
whether or not lined
or heat-insulated, but
not fitted with
mechanical or
thermal equipment
[7310]
11. Chain and parts
thereof, of iron or
steel falling under
7315 20, 7315 81,
7315, 82, 7315 89,
7315 90 [7315].
12. 7311
Containers for
compressed or
liquefied gas, of iron
or steel.
13. 7312 Stranded
wire, ropes, cables,
plaited bands, slings
and the like, of iron or
steel, not electrically
insulated.
14. 7313 Barbed
wire of iron or steel;
twisted hoop or
single flat wire,
barbed or not, and

S. Chapter Nil 5% 12% 18% 28%

No.
loosely twisted
double wire, of a kind
used for fencing, of
iron or steel.
15. 7314 Cloth
(including endless
bands), grill, netting
and fencing, of iron
or steel wire;
expanded metal of
iron or steel.
16. Anchors, grapnels
and parts thereof, of
iron or steel [7316]
17. 7317 Nails,
tacks, drawing pins,
corrugated nails,
staples (other than
those of heading
8305) and similar
articles, of iron or
steel, whether or not
with heads of other
material, but
excluding such
articles with heads of
copper.
18. 7318 Screws,
bolts, nuts, coach

S. Chapter Nil 5% 12% 18% 28%

No.
screws, screw hooks,
rivets, cotters, cotter-
pins, washers
(including spring
washers) and similar
articles, of iron or
steel.
19. 7319 Sewing
needles, knitting
needles, bodkins,
crochet hooks,
embroidery stilettos
and similar articles,
for use in the hand, of
iron or steel; safety
pins and other pins of
iron or steel, not
elsewhere specified
or included.
20. Springs and leaves
for springs, of iron
and steel [7320]
21. LPG stoves [7321]
22. 7323 iron or
steel wool; pot
scourers and scouring
or polishing pads,
gloves and the like, of
iron or steel.

S. Chapter Nil 5% 12% 18% 28%

No.
23. Other cast articles of
iron or steel; such as
Grinding balls and
similar articles for
mills, Rudders for
ships or boats, Drain
covers, Plates and
frames for sewage
water or similar
system [7325]
24. Other articles of iron
and steel, forged or
stamped, but not
further worked; such
as Grinding balls and
similar articles for
mills, articles for
automobiles and
Earth moving
implements, articles
of iron or steel Wire,
Tyre bead wire rings
intended for use in
the manufacture of
tyres for cycles and
cycle-rickshaws, Belt
lacing of steel, Belt
fasteners for
machinery belts,

S. Chapter Nil 5% 12% 18% 28%

No.
Brain covers, plates,
and frames for
sewages, water or
similar system,
Enamelled iron ware
(excluding utensil &
sign board),
Manufactures of
stainless steel
(excluding utensils),
Articles of clad metal
[7326]
74. 74 - - 1. Utensils [7418] All goods not specified 1. All goods other than
(Copper and 2. Table or kitchen or elsewhere utensils i.e. sanitary
articles thereof) other household ware and parts thereof
articles of copper 1. 7401 Copper of copper [7418]
[7418] mattes; cement 2. Other articles of
copper (precipitated copper [including
copper). chain and parts thereof
2. 7402 Unrefined under 7419 10 and
copper; copper other articles under
anodes for 7419 99] but not
electrolytic refining. including metal
3. 7403 Refined castings under 7419
copper and copper 91 00 [7419]
alloys, unwrought.
4. 7404 Copper
waste and scrap.

S. Chapter Nil 5% 12% 18% 28%

No.
5. 7405 Master
alloys of copper.
6. 7406 Copper
powders and flakes.
7. 7407 Copper
bars, rods and
profiles.
8. 7408 Copper
wire
9. 7409 Copper
plates, sheets and
strip, of a thickness
exceeding 0.12.5
mm.
10. Copper foils [7410]
11. 7411 Copper
tubes and pipes.
12. 7412 Copper
tube or pipe fittings
(for example,
couplings, elbows,
sleeves).
13. Stranded wires and
cables [7413]
14. 7414 Blank in
Tariff.
15. 7415 Nails,
tacks, drawing pins,
staples (other than

S. Chapter Nil 5% 12% 18% 28%

No.
those of heading
83.05) and similar
articles, of copper or
of iron or steel with
heads of copper;
screws, bolts, nuts,
screw hooks, rivets,
cotters, cotter-pins,
washers (including
spring washers) and
similar articles, of
copper.
16. 7416, 7417 Blank in
Tariff]
75. 75 - - - All goods -

(Nickel and 1. 7501 Nickel
articles thereof) mattes, nickel oxide
sinters and other
intermediate products
of nickel metallurgy.
2. 7502 Unwrought
nickel.
3. 7503 Nickel
waste and scrap.
4. 7504 Nickel
powders and flakes.

S. Chapter Nil 5% 12% 18% 28%

No.
5. 7505 Nickel
bars, rods, profiles
and wire.
6. 7506 Nickel
plates, sheets, strip
and foil.
7. 7507 Nickel
tubes, pipes and tube
or pipe fittings (for
example, couplings,
elbows, sleeves).
8. Other articles of
nickel; such as cloth,
grill and netting, of
nickel Wire,
Electroplating anodes
of nickel, Blanks
ordinarily used for
manufacturing tubes
& pipes of nickel,
Nickel screen, Other
articles of nickel and
nickel alloy [7508]
76. 76 - - 1. Utensils [7615] All goods not specified 1. Aluminium foil

(Aluminium and 2. Table or kitchen or elsewhere (whether or not
articles thereof) other household printed or backed with
articles of aluminium 1. 7601 Aluminium paper, paperboard,
[7615] alloys; such as Ingots, plastics or similar

S. Chapter Nil 5% 12% 18% 28%

No.
Billets, Wire-bars, backing materials) of a
Wire-rods thickness (excluding
2. 7602 Aluminium any backing) not
waste and scrap. exceeding 0.2 mm.
3. 7603 Aluminium [7607]
powders and flakes. 2. Doors, windows and
4. 7604 Aluminium their frames and
bars, rods and thresholds for doors
profiles. under 7610 10 00
5. 7605 Aluminium [7610]
wire. 3. All goods other than
6. 7606 Aluminium utensils i.e. sanitary
plates, sheets and ware and parts thereof
strip, of a thickness [7615].
exceeding 0.2 mm.
7. 7608 Aluminium
tubes and pipes.
8. 7609 Aluminium
tube or pipe fittings
(for example,
couplings, elbows,
sleeves).
9. 7610 Aluminium
structures (excluding
prefabricated
buildings of heading
94.06) and parts of
structures (for
example, bridges and

S. Chapter Nil 5% 12% 18% 28%

No.
bridge-sections,
towers, lattice masts,
roofs, roofing
frameworks,
balustrades, pillars
and columns);
aluminium plates.
rods, profiles, tubes
and the like, prepared
for use in structures.
10. Aluminium
reservoirs, tanks, vats
and similar
containers, for any
material (other than
compressed or
liquefied gas), of a
capacity exceeding
300 l, whether or not
lined or heat-
insulated, but not
fitted with
mechanical or
thermal equipment
[7611]
11. Aluminium casks,
drums, cans, boxes,
etc. [7612]

S. Chapter Nil 5% 12% 18% 28%

No.
12. Aluminium
containers for
compressed or
liquefied gas [7613]
13. Stranded wires and
cables [7614]
14. 7616 Other articles of
aluminium; such as
nails, tacks, staples
(other than those of
heading 83.05),
screws, bolts, nuts,
screw hooks, rivets,
cotters, cotter-pins,
washers and similar
articles, cloth, grill,
netting and fencing,
of aluminium Wire.
77. 77 (blank in
tariff)
78. 78 - - - All goods -
(Lead and articles 1. 7801 Unwrought
thereof) lead.
2. 7802 Lead
waste and scrap.
3. 7803 Blank in
Tariff

S. Chapter Nil 5% 12% 18% 28%

No.
4. 7804 Lead
and foil; lead
powders and flakes.
5. 7805 Blank in
Tariff.
6. Other articles of lead
(including sanitary
fixtures and Indian
lead seals) [7806]
79. 79 - - - All goods -

(Zinc and articles 1. 7901 Unwrought
thereof) zinc.
2. 7902 Zinc
waste and scrap.
3. 7903 Zinc dust,
powders and flakes.
4. 7904 Zinc bars,
rods, profiles and
wire.
5. 7905 Zinc
and foil.
6. Other articles of zinc
including sanitary
fixtures [7907]
80. 80 - - - All goods -


S. Chapter Nil 5% 12% 18% 28%

No.
(Tin and articles 1. 8001Unwrought tin.
thereof) 1. 8002 Tin waste
and scrap.
2. 8003 Tin bars,
rods, profiles and
wire]
3. Other articles of tin
[8007]
81. 81 - - - All goods -

(Other base 1. Other base metals,
metals; cermets; such as Tungsten,
articles thereof) Molybdenum,
Tantalum,
Magnesium, Cobalt
mattes, and other
intermediate products
of cobalt metallurgy,
Bismuth, Cadmium,
Titanium, Zirconium,
Antimony,
Manganese,
Beryllium,
chromium,
germanium,
vanadium, gallium,
hafnium, indium,
niobium
(columbium),

S. Chapter Nil 5% 12% 18% 28%

No.
rhenium and
thallium, and
cermets, including
their waste scrap
[other than Articles
of other base metals
and articles of
cermets] [8101 to
8113]
2. Articles of other base
metals and articles of
cermets (other than
waste and scrap)
[8110 to 8113]
82. 82 1. Agricultural - 1. Pencil sharpeners All goods not specified 1. Razors and razor
(Tools, implements and blades thereof elsewhere blades (including
implements, manually [8214] razor blade blanks in
cutlery, spoons operated or 2. Knives with cutting 1. 8203 Files, strips) [8212]
and forks of base animal driven blades, serrated or rasps, pliers 2. Other articles of
metal; parts [8201] not (including (including cutting cutlery (for example,
thereof of base 2. Hand tools, pruning knives), pliers), pincers, hair clippers, butchers'
metal) such as spades, other than knives of tweezers, metal or kitchen cleavers,
shovels, heading 8208, and cutting shears, pipe- choppers and mincing
mattocks, blades therefor cutters, bolt croppers, knives,); manicure or
picks, hoes, [8211] perforating punches pedicure sets and
forks and 3. Paper knives [8114] and similar hand instruments (including
rakes; axes, bill tools. nail files); other than
hooks and paper knives, pencil

S. Chapter Nil 5% 12% 18% 28%

No.
similar hewing 2. 8204 Hand- sharpeners and blades
tools; secateurs operated spanners thereof [8214].
and pruners of and wrenches
any kind; (including torque
scythes, meter wrenches but
sickles, hay not including tap
knives, hedge wrenches);
shears, timber interchangeable
wedges and spanner sockets, with
other tools of a or without handles.
kind used in 3. 8205 Hand
agriculture, tools (including
horticulture or glaziers' diamonds),
forestry not elsewhere
[8201]. specified or included;
blow lamps; vices,
clamps and the like,
other than accessories
for and parts of,
machine-tools or
water-jet cutting
machines; anvils;
portable forges; hand
or pedal-operated
grinding wheels with
frameworks
4. 8206 Tools of
two or more of the
headings 8202 to

S. Chapter Nil 5% 12% 18% 28%

No.
8205, put up in sets
for retail sale.
5. 8207Interchangeable
tools for hand tools,
whether or not
power-operated, or
for machine-tools
(for example, for
pressing, stamping,
punching, tapping,
threading, drilling,
boring, broaching,
milling, turning or
screw driving),
including dies for
drawing or extruding
metal, and rock
drilling or earth
boring tools
6. 8208 Knives
and cutting blades,
for machines or for
mechanical
appliances.
7. 8209 Plates,
sticks, tips and the
like for tools,
unmounted, of
cermets.

S. Chapter Nil 5% 12% 18% 28%

No.
8. 8210 Hand-
operated mechanical
appliances, weighing
10 kg or less, used in
the preparation,
conditioning or
serving of food or
drink.
9. 8213 Scissors,
tailors' shears and
similar shears, and
blades therefor.
10. 8215 Spoons,
forks, ladles,
skimmers, cake-
servers, fish-knives,
butter-knives, sugar
tongs and similar
kitchen or tableware.
83. 83 - - - 1. 8301 Padlocks All goods not specified

(Miscellaneous and locks (key, elsewhere
articles of base combination or 1. 8302 Base metal
metal) electrically operated), mountings, fittings
of base metal; clasps and similar articles
and frames with suitable for furniture,
clasps, incorporating doors, staircases,
locks, of base metal; windows, blinds,
keys for any of the coachwork, saddlery,

S. Chapter Nil 5% 12% 18% 28%

No.
foregoing articles, of trunks, chests, caskets
base metal. or the like; base metal
2. Bells, gongs and the hat-racks, hat-pegs,
like [8306] brackets and similar
3. Flexible tubing of fixtures; castors with
base metal [8307] mountings of base
4. Stoppers, caps and metal; automatic door
lids (including crown closers of base metal
corks, screw caps and 2. 8303 Armoured
pouring stoppers), or reinforced safes,
capsules for bottles, strong-boxes and
threaded bungs, bung doors and safe deposit
covers, seals and lockers for strong-
other packing rooms, cash or deed
accessories, of base boxes and the like, of
metal [8309] base metal.
5. Wire, rods, tubes, 3. 8304 Filing
plates, electrodes and cabinets, card-index
similar products, of cabinets, paper trays,
base metal or of metal paper rests, pen trays,
carbides, coated or office-stamp stands
cored with flux and similar office or
material, of a kind desk equipment, of
used for soldering, base metal, other than
brazing, welding or office furniture of
deposition of metal or heading 9403.
of metal carbides; 4. 8305 Fittings for
wire and rods, of loose-leaf binders or
agglomerated base files, letter clips, letter

S. Chapter Nil 5% 12% 18% 28%

No.
metal powder, used corners, paper clips,
for metal spraying indexing tags and
[8311] similar office articles,
of base metal; staples
in strips (for example,
for offices, upholstery,
packaging), of base
metal.
5. 8308 Clasps,
frames with clasps,
buckles, buckle-
clasps, hooks, eyes,
eyelets and the like, of
base metal, of a kind
used for clothing or
clothing accessories,
footwear, jewellery,
wrist watches, books,
awnings, leather
goods, travel goods or
saddlery or for other
made up articles;
tubular or bifurcated
rivets, of base metal;
beads and spangles, of
base metal.
6. 8310 Sign-
plates, name-plates,
address-plates and

S. Chapter Nil 5% 12% 18% 28%

No.
similar plates,
numbers, letters and
other symbols, of base
metal, excluding those
of heading 9405.]
84. 84 1. Handloom 1. Hand pumps and 1. Nuclear fuel All goods not specified 1. Spark-ignition
(Nuclear reactors, parts thereof [8413, elements [8401] elsewhere. reciprocating or rotary
boilers, 8414 90] 2. Power driven pumps internal combustion
machinery and 2. Solar water heater primarily designed 1. Nuclear reactors; fuel piston engine [8407]
mechanical and system [8419 for handling water, elements (cartridges), 2. Compression-ignition
appliances; parts 19] namely, centrifugal non-irradiated, for internal combustion
thereof) 3. Renewable energy pumps (horizontal nuclear reactors; piston engines (diesel
devices & spare and vertical), deep machinery and or semi-diesel
parts for their tube-well turbine apparatus for isotopic engines) [8408]
manufacture pumps, submersible separation [8401] 3. Parts suitable for use
a) Bio-gas plant pumps, axial flow 2. Steam or other solely or principally
b) Solar power and mixed flow vapour generating with the engines of
based devices vertical pumps boilers (other than heading 8407 or 8408
c) Solar power [8413] central heating hot [8409]
generating 3. Bicycle pumps, hand water boilers capable 4. Pumps for dispensing
system pumps etc. [8414 20 also of producing low fuel or lubricants of
d) Wind mills 10, 8414 20 20 or pressure steam); the type used in filling
and wind 8414 90 12]. super-heated water stations or garages
operated 4. Milking machines boilers [8402] under 8413 11(except
electricity and dairy machinery 3. Central heating hand pumps under
generator [8434] boilers other than 8413 11 10), Fuel,
5. Sewing machines those of heading lubricating or cooling
[8452] 8402 [8403] medium pumps for

S. Chapter Nil 5% 12% 18% 28%

No.
e) Waste to 6. Composting 4. Auxiliary plant for internal combustion
energy Machines [8479] use with boilers of piston engines [under
plants/devices heading 8402 or 8403 8413 30], concrete
f) Solar (for example, pumps [8413 40 00],
lantern/solar economisers, super- other rotary positive
lamp heaters, soot displacement pumps
g) Ocean removers, gas [under 8413 60]
waves/tidal recoverers); [8413]
waves energy condensers for steam 5. Air or vacuum pumps,
devices/plants or other vapour air or other gas
power units [8404] compressors and fans;
5. Producer gas or water ventilating or
gas generators, with recycling hoods
or without their incorporating a fan,
purifiers; acetylene whether or not fitted
gas generators and with filters [8414]
similar water process 6. Air-conditioning
gas generators, with machines, comprising
or without their a motor-driven fan and
purifiers [8405] elements for changing
6. Steam turbines and the temperature and
other vapour turbines humidity, including
[8406] those machines in
7. Hydraulic turbines, which the humidity
water wheels, and cannot be separately
regulators therefor regulated [8415]
[8410] 7. Refrigerators, freezers
8. Turbo-jets, turbo- and other refrigerating
propellers and other or freezing equipment,

S. Chapter Nil 5% 12% 18% 28%

No.
gas turbines - turbo- electric or other; heat
jets [8411] pumps other than air
9. Other engines and conditioning machines
motors (Reaction of heading 8415
engines other than [8418]
turbo jets, Hydraulic 8. Storage water heaters,
power engines and non-electric under
motors, Pneumatic 8419 19 (except solar
power engines and water heater and
motors, other, parts) system), 8419 89 10
[other than wind [Pressure vessels,
turbine or engine] reactors, columns or
[8412] towers or chemical
10. 8416 Furnace storage tanks] , 8419
burners for liquid 89 20 [ Glass lined
fuel, for pulverised equipment], 8419 89
solid fuel or for gas; 30 [Auto claves other
mechanical stokers, than for cooking or
including their heating food, not
mechanical grates, elsewhere specified or
mechanical ash included], 8419 89 40
dischargers and [Cooling towers and
similar appliances. similar plants for
11. 8417 Industrial or direct cooling (without
laboratory furnaces a separating wall) by
and ovens, including means of recirculated
incinerators, non- water] , 8419 89 60 [
electric. Plant growth
chambers and rooms

S. Chapter Nil 5% 12% 18% 28%

No.
12. 8420 Calendering or and tissue culture
other rolling chambers and rooms
machines, other than having temperature,
for metals or glass, humidity or light
and cylinders therefor control], 8419 89 70 [
13. Centrifuges, Apparatus for rapid
including centrifugal heating of semi-
dryers; filtering or conductor devices ,
purifying machinery apparatus for chemical
and apparatus, for or physical vapour
liquids or gases deposition on
[8421] semiconductor wafers;
14. 8425 Pulley tackle apparatus for chemical
and hoists other than vapour deposition on
skip hoists; winches LCD substratus]
and capstans; jacks [8419]
15. Ships derricks; 9. Dish washing
cranes including machines, household
cable cranes; mobile [8422 11 00] and other
lifting frames, [8422 19 00] [8422]
straddle carriers and 10. Weighing machinery
works trucks fitted (excluding balances of
with a crane [8426] a sensitivity of 5
16. 8431 Parts suitable centigrams or better),
for use solely or including weight
principally with the operated counting or
machinery of checking machines;
headings 8425 to weighing machine
8430

S. Chapter Nil 5% 12% 18% 28%

No.
17. 8435 Presses, weights of all kinds
crushers and similar [8423]
machinery used in the 11. Fire extinguishers
manufacture of wine, [8424]
cider, fruit juices or 12. Fork-lift trucks; other
similar beverages. works trucks fitted
18. 8438 Machinery, not with lifting or
specified or included handling equipment
elsewhere in this [8427]
Chapter, for the 13. Other lifting,
industrial preparation handling, loading or
or manufacture of unloading machinery
food or drink, other (for example, lifts,
than machinery for escalators, conveyors,
the extraction or teleferics) [8428]
preparation of animal 14. Self-propelled
or fixed vegetable bulldozers,
fats or oils. angledozers, graders,
19. 8439 Machinery for levellers, scrapers,
making pulp of mechanical shovels,
fibrous cellulosic excavators, shovel
material or for loaders, tamping
making or finishing machines and road
paper or paperboard. rollers [8429]
20. 8440 Book- 15. Other moving,
binding machinery, grading, levelling,
including book- scraping, excavating,
sewing machines. tamping, compacting,
extracting or boring

S. Chapter Nil 5% 12% 18% 28%

No.
21. 8441 Other machinery, for earth,
machinery for minerals or ores; pile-
making up paper drivers and pile-
pulp, paper or extractors; snow-
paperboard, ploughs and snow-
including cutting blowers [8430]
machines of all kinds. 16. Printer, photo
22. 8442 Machinery, copying, fax
apparatus and machines, ink
equipment (other cartridges [8443]
than the machines of 17. Household or laundry-
headings 8456 to type washing
8465) for preparing machines, including
or making plates, machines which both
printing components; wash and dry [8450]
plates, cylinders and 18. Other office machines
lithographic stones, (for example,
prepared for printing hectograph or stencil
purposes (for duplicating machines,
example, planed, addressing machines,
grained or polished). automatic banknote
23. 8443 Printing dispensers, coin
machinery used for sorting machines, coin
printing by means of counting or wrapping
plates, cylinders and machines, pencil-
other printing sharpening machines,
components of perforating or stapling
heading 84.42; other machines) [other than
printers, copying Braille typewriters,

S. Chapter Nil 5% 12% 18% 28%

No.
machines and electric or non-
facsimile machines, electric] [8472]
whether or not 19. Automatic goods-
combined; parts and vending machines (for
accessories thereof. example, postage
24. 8444 Machines stamps, cigarette, food
for extruding, or beverage
drawing, texturing or machines), including
cutting man-made money changing
textile materials. machines [8476]
25. 8445 Machines 20. Machinery for
for preparing textile preparing or making
fibres; spinning, up tobacco, not
doubling or twisting specified or included
machines and other elsewhere in this
machinery for chapter [8478]
producing textile 21. Passenger boarding
yarns; textile reeling bridges of a kind used
or winding (including in airports [8479 71
weft-winding) 00] and other [8479 79
machines and 00].
machines for 22. Transmission shafts
preparing textile (including cam shafts
yarns for use on the and crank shafts) and
machines of heading cranks; bearing
8446 or 8447 housings and plain
26. 8446 Weaving shaft bearings; gears
machines (looms). and gearing; ball or
roller screws; gear

S. Chapter Nil 5% 12% 18% 28%

No.
27. 8447 Knitting boxes and other speed
machines, stitch- changers, including
bonding machines torque converters;
and machines for flywheels and pulleys,
making gimped yarn, including pulley
tulle, lace, blocks; clutches and
embroidery, shaft couplings
trimmings, braid or (including universal
net and machines for joints) [8483]
tufting. 23. Gaskets and similar
28. 8448 Auxiliary joints of metal
machinery for use sheeting combined
with machines of with other material or
heading 84.44, 84.45, of two or more layers
84.46 or 84.47 (for of metal; sets or
example, dobbies, assortments of gaskets
Jacquards, automatic and similar joints,
stop motions, shuttle dissimilar in
changing composition, put up in
mechanisms); parts pouches, envelopes or
and accessories similar packings;
suitable for use solely mechanical seals
or principally with [8484]
the machines of this
heading or of heading
8444, 8445,8446 or
8447 (for example,
spindles and spindles
flyers, card clothing,

S. Chapter Nil 5% 12% 18% 28%

No.
combs, extruding
nipples, shuttles,
healds and heald
frames, hosiery
needles)
29. 8449 Machinery for
the manufacture or
finishing of felt or
nonwovens in the
piece or in shapes,
including machinery
for making felt hats;
blocks for making
hats.
30. 8451 Machinery
(other than machines
of heading 8450) for
washing, cleaning,
wringing, drying,
ironing, pressing
(including fusing
presses), bleaching,
dyeing, dressing,
finishing, coating or
impregnating textile
yarns, fabrics or
made up textile
articles and machines
for applying the paste

S. Chapter Nil 5% 12% 18% 28%

No.
to the base fabric or
other support used in
the manufacture of
floor covering such
as linoleum;
machines for reeling,
unreeling, folding,
cutting or pinking
textile fabrics.
31. 8453 to 8471.
32. Braille typewriters,
electric or non-
electric [8472]
33. 8473 to 8475, 8477
all goods
34. 8479 Machines and
mechanical
appliances having
individual functions,
not specified or
included elsewhere in
this Chapter [other
than Passenger
boarding bridges of a
kind used in airports
(8479 71 00) and
other (8479 79 00)].
35. 8480 to 8482.

S. Chapter Nil 5% 12% 18% 28%

No.
36. 8485 Blank in
Tariff
37. 8486 Machines and
apparatus of a kind
used solely or
principally for the
manufacture of
semiconductor
boules or wafers,
semiconductor
devices, electronic
integrated circuits or
flat panel displays;
machines and
apparatus specified in
Note 9 (C) to this
Chapter; parts and
accessories.
38. Machinery parts, not
containing electrical
connectors,
insulators, coils,
contacts or other
electrical features not
specified or included
elsewhere in this
chapter [8487]

S. Chapter Nil 5% 12% 18% 28%

No.
85. 85 - 1. Renewable energy 1. Telephones for All goods not specified 1. Static converters (for
(Electrical devices & spare cellular networks or elsewhere. example, rectifiers)
machinery and parts for their for other wireless and inductors [8504]
equipment and manufacture networks [8517] and 1. Electric motors and 2. Primary cells and
parts thereof; a) Bio-gas plant parts for their generators (excluding primary batteries
sound recorders b) Solar power manufacture. generating sets) [8506]
and re-producers, based devices [8501] 3. Electric accumulators,
television image c) Solar power 2. Electric generating including separators
and sound generating sets and rotary therefor, whether or
recorders and system converters [8502] not rectangular
reproducers, and d) Wind mills 3. Parts suitable for use (including square)
parts and and wind solely or principally [8507]
accessories of operated with the machines of 4. Vacuum cleaners
such articles) electricity heading 8502 [8503] [8508]
generator 4. 8505 Electro- 5. Electro-mechanical
e) Waste to magnets; permanent domestic appliances,
energy magnets and articles with self-contained
plants/devices intended to become electric motor, other
f) Solar permanent magnets than vacuum cleaners
lantern/solar after magnetisation; of heading 8508
lamp electro-magnetic or [8509]
g) Ocean permanent magnet 6. Shavers, hair clippers
waves/tidal chucks, clamps and and hair-removing
waves energy similar holding appliances, with self-
devices/plants devices; electro- contained electric
magnetic couplings, motor [8510]
clutches and brakes; 7. Electrical ignition or
electro-magnetic starting equipment of
lifting heads. a kind used for spark-

S. Chapter Nil 5% 12% 18% 28%

No.
5. Industrial or ignition or
laboratory electric compression-ignition
furnaces and ovens internal combustion
(including those engines (for example,
functioning by ignition magnetos,
induction or magneto-dynamos,
dielectric loss); other ignition coils,
industrial or sparking plugs and
laboratory equipment glow plugs, starter
for the heat treatment motors); generators
of materials by (for example,
induction or dynamos, alternators)
dielectric loss [8514] and cut-outs of a kind
6. Electric (including used in conjunction
electrically heated with such engines
gas), laser or other [8511]
light or photo beam, 8. Electrical lighting or
ultrasonic, electron signalling equipment
beam, magnetic pulse (excluding articles of
or plasma arc heading 8539),
soldering, brazing or windscreen wipers,
welding machines defrosters and
and apparatus, demisters, of a kind
whether or not used for cycles or
capable of cutting; motor vehicles [8512]
electric machines and 9. Portable electric lamps
apparatus for hot designed to function
spraying of metals or by their own source of
cermets [8515] energy (for example,

S. Chapter Nil 5% 12% 18% 28%

No.
7. 8517 Telephone dry batteries,
sets; other apparatus accumulators,
for the transmission magnetos), other than
or reception of voice, lighting equipment of
images or other data, heading 8512 [8513]
including apparatus 10. Electric instantaneous
for communication in or storage water
a wired or wireless heaters and immersion
network (such as a heaters; electric space
local or wide area heating apparatus and
network), other than soil heating apparatus;
transmission or electrothermic hair-
reception apparatus dressing apparatus (for
of heading 8443, example, hair dryers,
8525, 8527 or 8528 . hair curlers, curling
8. 8518 Microphones tong heaters) and hand
and stands therefor. dryers; electric
9. 8523 Discs, tapes, smoothing irons; other
solid-state non- electro-thermic
volatile storage appliances of a kind
devices, "smart used for domestic
cards" and other purposes; electric
media for the heating resistors, other
recording of sound or than those of heading
of other phenomena, 8545 [8516]
whether or not 11. ISDN System[8517 69
recorded, including 10], ISDN Terminal
matrices and masters Adaptor [8517 69 20],
for the production of

S. Chapter Nil 5% 12% 18% 28%

No.
discs, but excluding X 25 Pads[8517 69 40]
products of Chapter [8517]
37. 12. Single loudspeakers,
10. 8524 Blank in mounted in their
Tariff enclosures [8518 21
11. 8532 Electrical 00], Audio-frequency
capacitors electric amplifiers
12. 8533 Electrical [8518 40 00], Electric
resistors. sound amplifier sets
13. 8534 Printed Circuits [8518 50 00], Parts
14. Electrical apparatus [8518 90 00] [8518]
for switching or 13. Sound recording or
protecting electrical reproducing apparatus
circuits, or for [8519]
making connections 14. Video recording or
to or in electrical reproducing
circuits (for example, apparatus, whether or
switches, fuses, not incorporating a
lightning arresters, video tuner [8521]
voltage limiters, 15. Parts and accessories
surge suppressors, suitable for use solely
plugs and other or principally with the
connectors, junction apparatus of headings
boxes), for a voltage 8519 or 8521 [8522]
exceeding 1,000 volts 16. Transmission
[8535] apparatus for radio-
15. 8538 Parts suitable broadcasting or
for use solely or television, whether or
principally with the not incorporating

S. Chapter Nil 5% 12% 18% 28%

No.
apparatus of heading reception apparatus or
8535, 8536 or 8537. sound recording or
16. 8540 Thermionic, reproducing
cold cathode or apparatus; television
photo-cathode valves cameras, digital
and tubes (for cameras and video
example, vacuum or cameras recorders
vapour or gas filled [8525]
valves and tubes, 17. Radar apparatus, radio
mercury arc navigational aid
rectifying valves and apparatus and radio
tubes, cathode-ray remote control
tubes, television apparatus [8526]
camera tubes). 18. Reception apparatus
17. 8541 Diodes, for radio-
transistors and broadcasting, whether
similar semi- or not combined, in the
conductor devices; same housing, with
photosensitive semi- sound recording or
conductor devices; reproducing apparatus
including photo or a clock [8527]
voltaic cells, whether 19. Monitors and
or not assembled in projectors, not
modules or made up incorporating
into panels; light- television reception
emitting diodes apparatus; reception
(led); mounted piezo- apparatus for
electric crystals; television, whether or
not incorporating

S. Chapter Nil 5% 12% 18% 28%

No.
18. 8542 Electronic radio-broadcast
integrated circuits. receiver or sound or
19. 8543 Electrical video recording or
machines and reproducing apparatus
apparatus, having [8528]
individual functions, 20. Parts suitable for use
not specified or solely or principally
included elsewhere in with the apparatus of
this Chapter. headings 8525 to 8528
20. 8546 Electrical [8529]
insulators of any 21. Electrical signalling,
material. safety or traffic
21. 8548 Waste and scrap control equipment for
of primary cells, railways, tramways,
primary batteries and roads, inland
electric waterways, parking
accumulators; spent facilities, port
primary cells, spent installations or
primary batteries and airfields (other than
spent electric those of heading 8608)
accumulators; [8530]
electrical parts of 22. Electric sound or
machinery or visual signalling
apparatus, not apparatus (for
specified or included example, bells, sirens,
elsewhere in this indicator panels,
Chapter. burglar or fire alarms),
other than those of

S. Chapter Nil 5% 12% 18% 28%

No.
heading 8512 or 8530
[8531]
23. Electrical apparatus
for switching or
protecting electrical
circuits, or for making
connections to or in
electrical circuits (for
example, switches,
relays, fuses, surge
suppressors, plugs,
sockets, lamp-holders,
and other connectors,
junction boxes), for a
voltage not exceeding
1,000 volts :
connectors for optical
fibres optical fibres,
bundles or cables
[8536]
24. Boards, panels,
consoles, desks,
cabinets and other
bases, equipped with
two or more apparatus
of heading 8535 or
8536, for electric
control or the
distribution of

S. Chapter Nil 5% 12% 18% 28%

No.
electricity, including
those incorporating
instruments or
apparatus of chapter
90, and numerical
control apparatus,
other than switching
apparatus of heading
8517 [8537]
25. Electric filament or
discharge lamps,
including sealed beam
lamp units and ultra-
violet or infra-red
lamps; arclamps
[8539]
26. Electrical machines
and apparatus having
individual functions,
not specified or
included elsewhere in
this chapter [8543]
27. Insulated wire, cable
All goods [8544]
28. Brushes under 8545
20 00 and goods under
8545 (including arc
lamp carbon and
battery carbon) [8545]

S. Chapter Nil 5% 12% 18% 28%

No.
29. Insulating fittings for
electrical machines,
appliances or
equipment, being
fittings wholly of
insulating material
apart from any minor
components of metal
(for example, threaded
sockets) incorporated
during moulding
solely for the purposes
of assembly, other
than insulators of
heading 8546;
electrical conduit
tubing and joints
therefor, of base metal
lined with insulating
material [8547]
86. 86 - All goods not specified - 1. Refrigerated -
[Railway or elsewhere, [5% with no containers [8609]
tramway refund of ITC 2. Containers (including
locomotives, accumulation] containers for the
rolling-stocks and transport of fluids)
parts thereof; 1. 8601 Rail specially designed
railway or locomotives and equipped for
tramway track powered from an carriage by one or
fixtures and external source of

S. Chapter Nil 5% 12% 18% 28%

No.
fittings and parts electricity or by more modes of
thereof; electric transport [8609]
mechanical accumulators.
(including 2. 8602 Other rail
electro- locomotives;
mechanical) locomotive tenders;
traffic signalling such as Diesel-
equipment of all electric locomotives,
kinds] Steam locomotives
and tenders thereof.
3. 8603 Self-
propelled railway or
tramway coaches,
vans and trucks,
other than those of
heading 8604.
4. 8604 Railway or
tramway
maintenance or
service vehicles,
whether or not self-
propelled (for
example,
workshops, cranes,
ballast tampers,
trackliners, testing
coaches and track
inspection vehicles).

S. Chapter Nil 5% 12% 18% 28%

No.
5. 8605 Railway or
tramway passenger
coaches, not self-
propelled; luggage
vans, post office
coaches and other
special purpose
railway or tramway
coaches, not self-
propelled (excluding
those of heading
8604).
6. 8606 Railway or
tramway goods vans
and wagons, not
self-propelled.
7. 8607 Parts of
railway or tramway
locomotives or
rolling-stock; such
as Bogies, bissel-
bogies, axles and
wheels, and parts
thereof.
8. 8608 Railway or
tramway track
fixtures and fittings;
mechanical
(including electro-

S. Chapter Nil 5% 12% 18% 28%

No.
mechanical)
signalling, safety or
traffic control
equipment for
railways, tramways,
roads, inland
waterways, parking
facilities, port
installations or
airfields; parts of the
foregoing.
87. 87 - 1. 8713 Carriages for 1. Tractors (except road 1. Cars for physically All goods not specified
(Vehicles other disabled persons, tractors for semi- handicapped persons elsewhere.
than railway or whether or not trailers of engine [8703]
tramway rolling- motorised or capacity more than 2. Refrigerated motor 1. 8702 Motor
stocks, and parts otherwise 1800 cc) [8701] vehicles [8704] vehicles for the
and accessories mechanically 2. Electrically operated transport of ten or
thereof) propelled. vehicles, including more persons,
two and three including the driver.
wheeled electric 2. 8703 Motor cars
motor vehicles. and other motor
3. Bicycles and other vehicles principally
cycles (including designed for the
delivery tricycles), transport of persons
not motorised (other than those of
[8712], heading 8702),
4. Parts and accessories including station
of bicycles and other wagons and racing

S. Chapter Nil 5% 12% 18% 28%

No.
cycles (including cars [other than Cars
delivery tricycles), for physically
not motorised, of handicapped persons].
8712 [8714] 3. 8704 Motor
5. Self-loading or self- vehicles for the
unloading trailers for transport of goods
agricultural purposes [other than
[87162000] Refrigerated motor
6. Hand propelled vehicles].
vehicles (e.g. hand 4. 8705 Special
carts, rickshaws and purpose motor
the like); animal vehicles, other than
drawn vehicles those principally
[8716 80] designed for the
transport of persons or
goods (for example,
breakdown lorries,
crane lorries, fire
fighting vehicles,
concrete-mixer lorries,
road sweeper lorries,
spraying lorries,
mobile workshops,
mobile radiological
unit)
5. 8706 Chassis fitted
with engines, for the
motor vehicles of

S. Chapter Nil 5% 12% 18% 28%

No.
headings 8701 to
8705.
6. 8707 Bodies
(including cabs), for
the motor vehicles of
headings 8701 to
8705.
7. 8708 Parts and
accessories of the
motor vehicles of
headings 8701 to
8705.
8. 8709 Works
trucks, self-propelled,
not fitted with lifting
or handling
equipment, of the type
used in factories,
warehouses, dock
areas or airports for
short distance
transport of goods;
tractors of the type
used on railway
station platforms;
parts of the foregoing
vehicles.
9. 8710 Tanks and
other armoured

S. Chapter Nil 5% 12% 18% 28%

No.
fighting vehicles,
motorised, whether or
not fitted with
weapons, and parts of
such vehicles.
10. 8711 Motorcycles
(including mopeds)
and cycles fitted with
an auxiliary motor,
with or without side-
cars; side-cars.
11. 8714 Parts and
accessories of vehicles
of headings 8711 and
8713.
12. 8715 Baby
carriages and parts
thereof.
13. 8716 Trailers and
semi-trailers; other
vehicles, not
mechanically
propelled; parts
thereof [other than
Self-loading or self-
unloading trailers for
agricultural purposes,
and Hand propelled
vehicles (e.g. hand

S. Chapter Nil 5% 12% 18% 28%

No.
carts, rickshaws and
the like); animal
drawn vehicles]
88. 88 1. Spacecraft 1. 8802 - Other aircraft - 1. Balloons and All goods not specified
(Aircraft; (including (for example, dirigibles, gliders and elsewhere.
spacecraft and satellites) and helicopters, other non-powered
parts thereof) suborbital and aeroplanes), other aircraft [8801]. 1. 8802 Aircrafts for
spacecraft than those for 2. Parachutes (including personal use
launch vehicles personal use dirigible parachutes
[8802 60 00] 2. 8803 Parts of and paragliders) and
2. 8803 Parts of goods of heading rotochutes; parts
goods of 8802 thereof and
heading 8801 accessories thereto
and parts thereof
[8804].
3. Aircraft launching
gear, deck arrestor or
similar gear; ground
flying trainers and
parts thereof [8805]
89. 89 - All goods not specified - 1. Vessels and other 1. Yachts and other
(Ships, boats and elsewhere. floating structures for vessels for pleasure or
floating breaking up sports; rowing boats
structures) 1. 8901 Cruise [89080000] and canoes [8903]
ships, excursion including floating
boats, ferry-boats, structure used for
cargo ships, barges casinos etc.

S. Chapter Nil 5% 12% 18% 28%

No.
and similar vessels
for the transport of
persons or goods.
2. 8902 Fishing
vessels; factory
ships and other
vessels for
processing or
preserving fishery
products.
3. 8904 Tugs and
pusher craft.
4. 8905 Light-
vessels, fire-floats,
dredgers, floating
cranes and other
vessels the
navigability of
which is subsidiary
to their main
function; floating
docks; floating or
submersible drilling
or production
platforms.
5. 8906 Other
vessels, including
warships and

S. Chapter Nil 5% 12% 18% 28%

No.
lifeboats other than
rowing boats.
6. 8907 Other
floating structures
(for example, rafts,
tanks, coffer-dams,
landing-stages,
buoys and beacons).
7. Any chapter parts
of goods of headings
8901, 8902, 8904,
8905, 8906, 8907
90. 90 1. Hearing aids 1. Coronary stents and 1. Spectacle lenses, 1. [9001] Optical 1. [9004] Goggles (other
(Optical, [9021]. coronary stent contact lens [9001] fibres and optical than corrective.
photographic, systems for use with 2. Blood glucose fibre bundles; 2. [9005] Binoculars,
cinematographic, cardiac catheters. monitoring system optical fibre cables monoculars, other
measuring, 2. Artificial kidney (Glucometer) and other than those of optical telescopes, and
checking, 3. Disposable sterilized test strips. heading 8544; sheets mountings therefor;
precision, dialyzer or 3. Patent Ductus and plates of other astronomical
medical or microbarrier of Arteriousus. polarising material; instruments and
surgical artificial kidney 4. Mathematical prisms, mirrors and mountings therefor,
instruments and 4. Parts of the calculating other optical but not including
apparatus; parts following goods, instruments and elements, of any instruments for radio-
and accessories namely:- (i) pantographs [9017]. material, unmounted, astronomy.
thereof) Crutches; (ii) Wheel 5. Drawing other than such 3. [9006] Photographic
chairs; (iii) Walking instruments, Other elements of glass not (other than
frames; (iv) drawing and marking optically worked cinematographic)
Tricycles; (v) cameras; photographic

S. Chapter Nil 5% 12% 18% 28%

No.
Braillers; and (vi) out instruments 2. [9002] Lenses, flashlight apparatus
Artificial limbs [9017]. prisms, mirrors and and flashbulbs other
5. Assistive devices, 6. Instruments and other optical than discharge lamps
rehabilitation aids appliances used in elements, of any of heading 8539.
and other goods for medical, surgical, material, mounted, 4. [9007]
disabled, specified in dental or veterinary being parts of or Cinematographic
List 32 appended to sciences, including fittings for cameras and
notification scintigraphic instruments or projectors, whether or
No.12/2012- apparatus, other apparatus, other than not incorporating
Customs, dated the electro-medical such elements of sound recording or
17th March, 2012 . apparatus and sight- glass not optically reproducing
testing instruments worked. apparatus.
[9018]. 3. [9003] Frames 5. [9008] Image
7. Mechano-therapy and mountings for projectors, other than
appliances; massage spectacles, goggles cinematographic;
apparatus; or the like, and parts photographic (other
psychological thereof. than cinematographic)
aptitude-testing 4. [9004] Spectacles, enlargers and
apparatus; ozone and the like, reducers.
therapy, oxygen corrective, protective 6. 9009 Blank in
therapy, aerosol or other and goggles, Tariff
therapy, artificial corrective. 7. [9010] Apparatus and
respiration or other 5. 9024 Machines equipment for
therapeutic and appliances for photographic
respiration apparatus testing the hardness, (including
[9019]. strength, cinematographic)
8. Other breathing compressibility, laboratories, not
appliances and gas elasticity or other specified or included
masks, excluding mechanical elsewhere in this

S. Chapter Nil 5% 12% 18% 28%

No.
protective masks properties of Chapter;
having neither materials (for negatoscopes;
mechanical parts nor example, metals, projection screens.
replaceable filters wood, textiles, paper, 8. [9011] Compound
[9020]. plastics). optical microscopes,
9. Orthopaedic 6. 9025 Hydrometers including those for
appliances, including and similar floating photomicrography
crutches, surgical instruments, cinephotomicrography
belts and trusses; thermometers, or microprojection.
splints and other pyrometers, 9. [9012] Microscopes
fracture appliances; barometers, other than optical
artificial parts of the hygrometers and microscopes;
body; hearing aids psychrometers, diffraction apparatus.
and other appliances recording or not, and 10. [9013] Liquid
which are worn or any combination of crystal devices not
carried, or implanted these instruments. constituting articles
in the body, to 7. 9026 provided for more
compensate for a Instruments and specifically in other
defect or disability apparatus for headings; lasers, other
[9021]. measuring or than laser diodes;
10. Apparatus based on checking the flow, other optical
the use of X-rays or level, pressure or appliances and
of alpha, beta or other variables of instruments, not
gamma radiations, liquids or gases (for specified or included
for medical, example, flow elsewhere in this
surgical, dental or meters, level gauges, Chapter.
veterinary uses, manometers, heat 11. [9014] Direction
including meters), excluding finding compasses;
radiography or instruments and other navigational

S. Chapter Nil 5% 12% 18% 28%

No.
radiotherapy apparatus of heading instruments and
apparatus, X-ray 9014, 9015, 9028 or appliances.
tubes and other X- 9032 12. [9015] Surveying
ray generators, high 8. 9027 (including
tension generators, Instruments and photogrammetrical
control panels and apparatus for surveying),
desks, screens, physical or chemical hydrographic,
examinations or analysis (for oceanographic,
treatment tables, example, hydrological,
chairs and the light polarimeters, meteorological or
[9022]. refractometers, geophysical
spectrometers, gas or instruments and
smoke analysis appliances, excluding
apparatus); compasses;
instruments and rangefinders.
apparatus for 13. [9016] Balances of a
measuring or sensitivity of 5 cg or
checking viscosity, better, with or without
porosity, expansion, weights.
surface tension or the 14. [9017] Instruments for
like; instruments and measuring length, for
appratus for use in the hand (for
measuring or example, measuring
checking quantities rods and tapes,
of heat, sound or light micrometers,
(including exposure callipers), not
meters); microtomes specified or included
9. 9028 Gas, elsewhere in the
liquid or electricity chapter.

S. Chapter Nil 5% 12% 18% 28%

No.
supply or production 15. 9022 Apparatus based
meters, including on the use of X-rays or
calibrating meters of alpha, beta or
therefor. gamma radiations, for
10. 9029 Revolution other than medical,
counters, production surgical, dental or
counters, taximeters, veterinary uses,
mileometers, including radiography
pedometers and the or radiotherapy
like; speed indicators apparatus, X-ray tubes
and tachometers, and other X-ray
other than those of generators, high
heading 9014 or tension generators,
9015; stroboscopes. control panels and
11. 9030 Oscilloscopes, desks, screens,
spectrum analysers examinations or
and other instruments treatment tables,
and apparatus for chairs and the light.
measuring or 16. 9023 Instruments,
checking electrical apparatus and models,
quantities, excluding designed for
meters of heading demonstrational
90.28; instruments purposes (for
and apparatus for example, in education
measuring or or exhibitions),
detecting alpha, beta, unsuitable for other
gamma, Xray, uses.
cosmic or other
ionising radiatioin

S. Chapter Nil 5% 12% 18% 28%

No.
12. 9031 Measuring or
checking
instruments,
appliances and
machines, not
elsewhere in this
Chapter; profile
projectors.
13. 9033 Parts and
accessories (not
elsewhere in this
Chapter) for
machines,
appliances,
instruments or
apparatus of Chapter
90.
91. 91 - - 1. Braille watches 1. 9103 Clocks All goods not specified
(Clocks and [9101, 9102] with watch elsewhere.
watches and parts movements,
thereof) excluding clocks of 1. 9101 Wrist-
heading 9104. watches, pocket-
2. 9105 Other watches and other
clocks watches, including
3. 9109 Clock stop-watches, with
movements, case of precious metal

S. Chapter Nil 5% 12% 18% 28%

No.
complete and or of metal clad with
assembled. precious metal
4. 9114 Other 2. 9102 Wrist-
clock parts]. watches, pocket-
watches and other
watches, including
stop watches, other
9101
3. 9104 Instrument panel
clocks and clocks of a
similar type for
vehicles, aircraft,
spacecraft or vessels
4. 9106 Time of
day recording
apparatus and
apparatus for
measuring, recording
or otherwise
indicating intervals of
time, with clock or
watch movement or
with synchronous
motor (for example,
timeregisters, time-
recorders)
5. 9107 Time
switches with clock or

S. Chapter Nil 5% 12% 18% 28%

No.
watch movement or
with synchronous
motor
6. 9108 Watch
movements, complete
and assembled
7. 9110 Complete
watch or clock
movements,
unassembled or partly
assembled (movement
sets); incomplete
watch or clock
movements,
assembled; rough
watch or clock
movements
8. 9111 Watch
cases and parts thereof
9. 9112 Clock
cases and cases of a
similar type for other
goods of this chapter,
and parts thereof
10. 9113 Watch
straps, watch bands
and watch bracelets,
and parts thereof

S. Chapter Nil 5% 12% 18% 28%

No.
11. 9114 Other
watch parts].
92. 92 1. Indigenous - - - Al goods not specified

(Musical handmade elsewhere.
instruments; parts musical
and accessories instruments 1. 9201 Pianos,
of such articles) including automatic
pianos; harpsi-chords
and other keyboard
stringed instruments
2. 9202 Other
string musical
instruments (for
example, guitars,
violins, harps).
3. 9203, 9204 Blank in
Tariff.
4. 9205 Wind
musical instruments
(for example,
keyboard pipe organs,
accordions, clarinets,
trumpets, bagpipes),
other than fairground
organs and mechanical
street organs
5. 9206 Percussion
musical instruments

S. Chapter Nil 5% 12% 18% 28%

No.
(for example, drums,
xylophones, cymbols,
castanets, maracas)
6. 9207 Musical
instruments, the sound
of which is produced,
or must be amplified,
electrically (for
example, organs,
guitars, accordions)
7. 9208 Musical boxes,
fairground organs,
mechanical street
organs, mechanical
singing birds, musical
saws and other
musical instruments
not falling within any
other heading of this
chapter; decoy calls of
all kinds; whistles, call
horns and other
mouth-blown sound
signalling instruments
8. 9209 Parts (for
example, mechanisms
for musical boxes) and
accessories (for
example, cards, discs

S. Chapter Nil 5% 12% 18% 28%

No.
and rolls for
mechanical
instruments) of
musical instruments;
metronomes, tuning
forks and pitch pipes
of all kinds.]
93. 93 - - - All goods not specified 1. 9302 Revolvers and

(Arms and elsewhere pistols, other than
ammunition; 1. Military weapons those of heading 9303
parts and other than or 9304.
accessories revolvers, pistols
thereof) [9301].
2. 9303 Other
firearms and similar
devices which
operate by the firing
of an explosive
charge (for example,
sporting shotguns and
rifles, muzzle-
loading firearms,
very pistols and other
devices designed to
project only signal
flares, pistols and
revolvers for firing
blank ammunition,

S. Chapter Nil 5% 12% 18% 28%

No.
captive-bolt humane
killers, line-throwing
guns)
3. 9304 Other
arms (for example,
spring, air or gas guns
and pistols,
truncheons),
excluding those of
heading 9307.
4. 9305 Parts and
accessories of articles
of headings 9301 to
9304.
5. 9306 Bombs,
grenades, torpedoes,
mines, missiles, and
similar munitions of
war and parts thereof;
cartridges and other
ammunition and
projectiles and parts
thereof, including
shot and cartridge
wads.
6. 9307 Swords, cut
lasses, bayonets,
lances and similar
arms and parts

S. Chapter Nil 5% 12% 18% 28%

No.
thereof and scabbards
and sheaths therefor.
94. 94 - 1. Kerosene pressure 1. Hurricane lanterns, 1. Medical, surgical, All goods not specified
(Furniture; lantern [9405 50 31] Kerosene lamp/ dental or veterinary elsewhere.
bedding, 2. Parts of kerosene lantern, petromax, furniture (for
mattresses, pressure lanterns glass chimney, example, operating 1. 9401 Seats
mattress including gas accessories & tables, examination (other than those of
supports, mantles [9405 91 00, components thereof tables, hospital beds heading 9402),
cushions and 9405 92 00 or 9405 [9405, 9405 50 31]. with mechanical whether or not
similar stuffed 99 00] 2. LED lights or fittings, dentists' convertible into beds,
furnishings; fixtures including chairs); barbers' and parts thereof.
lamps and LED lamps [9405]. chairs and similar 2. 9403 Other
lighting fittings, 3. LED (light emitting chairs, having furniture and parts
not elsewhere diode) driver and rotating as well as thereof
specified or MCPCB (Metal Core both reclining and 3. 9404 Mattress
included; Printed Circuit elevating supports; articles of
illuminated signs, Board) [9405]. movements; parts of bedding and similar
illuminated 4. Coir products the foregoing articles furnishing (for
name-plates and [except coir [9402]. example, mattresses,
the like; mattresses] [9404]. 2. Coir mattresses, quilts, eiderdowns,
prefabricated 5. Products wholly cotton pillows, cushions, pouffes and
buildings) made of quilted mattress and quilts pillows) fitted with
textile materials [9404]. springs or stuffed or
[9404]. 3. 9406 Prefabricated internally fitted with
buildings. any material or of
cellular rubber or
plastics, whether or
not covered.

S. Chapter Nil 5% 12% 18% 28%

No.
4. 9405 Lamps
and lighting fittings
including
searchlights and
spotlights and parts
thereof, not elsewhere
illuminated signs,
illuminated name-
plates and the like,
having a permanently
fixed light source, and
parts thereof not
included.
95. 95 - - 1. Sports goods other 1. Electronic Toys like All goods not specified
(Toys, games and than articles and tricycles, scooters, elsewhere.
sports requisites; equipments for pedal cars etc.
parts and general physical (including parts and 1. 9501, 9502 Balnk in
accessories exercise [9506] accessories thereof) Tariff.
thereof) 2. Toys like tricycles, [9503]. 2. 9504 Video
scooters, pedal cars games consoles and
etc. (including parts Machines
and accessories 3. 9505 Festive, carnival
thereof) [other than or other entertainment
electronic toys] articles, including
[9503].

S. Chapter Nil 5% 12% 18% 28%

No.
3. Fishing rods, fishing conjuring tricks and
hooks, and other line novelty jokes
fishing tackle; fish 4. 9506 Articles and
landing nets, etc. equipment for general
[9507 all goods]. physical exercise,
gymnastics, athletics,
other sports (including
table-tennis) or
outdoor games, not
elsewhere in this
chapter; swimming
pools and paddling
pools
5. 9508 Roundabouts,
swings, shooting
galleries and other
fairground
amusements; [other
than travelling
circuses and travelling
menageries].
96. 96 1. Slate pencils 1. Broomsticks and 1. Combs, hair pins 1. Buttons, of plastics All goods not specified
(Miscellaneous [9609] and Muddhas made of [9615 all goods] not covered with the elsewhere.
manufactured chalk sticks. sarkanda, phool 2. Pens [other than textile material, of
articles) 2. Slates [9610 00 bahari jhadoo (9603 Fountain pens, base metals, buttons 1. 9601 Worked ivory,
00] 10 00)] stylograph pens] of coconut shell, bone, tortoise-shell,
[9608]. button blanks [9606 horn, antlers, coral,

S. Chapter Nil 5% 12% 18% 28%

No.
3. Pencils, crayons, 21 00, 9606 22 00, mother-of-pearl and
pastels, drawing 9606 29, 9606 30]. other animal carving
charcoals, writing or 2. 9603 Brushes material, and articles
drawing chalks and (including brushes of these materials
tailors chalk [9609]. constituting parts of (including articles
4. Sanitary towels, machines, appliances obtained by moulding)
tampons, sanitary or vehicles), 2. 9602 Worked
napkins, clinical handoperated vegetable or mineral
diapers [9619 all mechanical floor carving material and
goods]. sweepers, not articles of these
motorised, mops and materials moulded or
feather dusters; carved articles of wax,
prepared knots and of stearin, of natural
tufts for broom or gums or natural resins
brush making; paint or of modelling pastes,
pads and rollers; and other moulded or
squeegees (other than carved articles, not
roller squeegees) elsewhere specified or
3. 9604 Hand included; worked,
sieves and hand unhardened gelatin
riddles (except gelatin of
4. 9605 Travel heading 3503) and
sets for personal articles of unhardened
toilet, sewing or shoe gelatin
or clothes cleaning 3. 9611 Date,
5. 9607 Slide fasteners sealing or numbering
and parts thereof. stamps, and the like
(including devices for
printing or embossing

S. Chapter Nil 5% 12% 18% 28%

No.
6. 9608 Fountain pens, labels), designed for
stylograph pens and operating in the hand;
other pens hand-operated
7. 9610 00 00 Boards, composing sticks and
with writing or hand printing sets
drawing surface, incorporating such
whether or not composing sticks
framed. 4. 9613 Cigarette lighters
8. 9612 Typewriter or and other lighters,
similar ribbons, inked whether or not
or otherwise prepared mechanical or
for giving electrical, and parts
impressions, whether thereof other than
or not on spools or in flints and wicks
cartridges; ink-pads, 5. 9614 Smoking pipes
whether or not inked, (including pipe bowls)
with or without and cigar or cigarette
boxes. holders, and parts
9. 9620 00 00 thereof
Monopods, bipods, 6. 9616 Scent
tripods and similar sprays and similar
articles. toilet sprays, and
mounts and heads
therefor; powder-puffs
and pads for the
application of
cosmetics or toilet
preparations

S. Chapter Nil 5% 12% 18% 28%

No.
7. 9617 Vacuum flasks
and other vacuum
vessels, complete with
cases; parts thereof
other than glass inners
8. 9618 Tailors'
dummies and other lay
figures; automata and
other animated
displays, used for shop
window dressing.
97. 97 - - All goods. - -

(Works of art,
collectors' piece 1. 9701
and antiques) Paintings,
drawings and
pastels, executed
entirely by hand,
other than drawings
of heading 4906 and
other than hand-
painted or hand-
decorated
manufactured
articles; collages and
similar decorative
plaques.

S. Chapter Nil 5% 12% 18% 28%

No.
2. 9702 Original
engravings, prints
and lithographs.
3. 9703 Original
sculptures and
statuary, in any
material.
4. 9704 Postage
or revenue stamps,
stamp-postmarks,
first-day covers,
postal stationery
(stamped paper), and
the like, used or
unused, other than
those of heading
4907.
5. 9705 Collections and
collectors' pieces of
zoological,
botanical,
mineralogical,
anatomical,
historical,
archaeological,
palaeontological,
ethnographic or
numismatic interest.

S. Chapter Nil 5% 12% 18% 28%

No.
6. 9706 Antiques
of an age exceeding
one hundred years.]
98. 98 9803 Passenger 1. 9804 Specified 1. 9804 Other Drugs All goods. 1. 9804 All dutiable
(Project imports, baggage Drugs and medicines and medicines articles intended for
laboratory [i.e. List, 1 of intended for personal 1. 9801 All items of personal use
chemicals, notification use. machinery including
passengers No.12/2012-Central prime movers,
baggage, Excise, dated instruments,
personal 17.03.2012 and List apparatus and
importation, ship 3, 4 of notification appliances, control
stores) No.12/2012- gear and transmission
Customs, dated equipment, auxiliary
17.03.2012] equipment (including
intended for those required for
personal use. research and
development
purposes, testing and
quality control), as
well as all
components (whether
finished or not) or
raw materials for the
manufacture of the
aforesaid items and
their components,
required for the initial
setting up of a unit, or

S. Chapter Nil 5% 12% 18% 28%

No.
the substantial
expansion of an
existing unit, of a
specified: industrial
plant, (2) irrigation
project, (3) power
project, (4) mining
project, (5) project
for the exploration
for oil or other
minerals, and (6)
such other projects as
the Central
Government may,
having regard to the
economic
development of the
country notify in the
Official Gazette in
this behalf; and spare
parts, other raw
materials (including
semi-finished
materials of
consumable stores)
not exceeding 10% of
the value of the ods
specified above,
provided that such

S. Chapter Nil 5% 12% 18% 28%

No.
spare parts, raw
materials or
consumable stores
are essential for the
maintenance of the
plant or project
mentioned in (1) to
(6) above.
2. 9802 Laboratory
chemicals
Note:
The rate structure for the following commodities is yet to be decided:

1. Biri wrapper leaves (tendu patta) Ch. 14
2. Biscuits Ch.19
3. Biris Ch. 24
4. Textiles Ch. 50 to 63
5. Footwear Ch. 64
6. Natural or cultured pearls, precious or semi-precious stones, precious metals, metals clad with precious metal, and articles thereof; imitation
jewellery; coin Ch. 71
7. Power driven Agricultural, horticultural, forestry, poultry keeping or bee-keeping machinery, Harvesting or threshing machinery, machines for
cleaning, sorting or grading, machinery used in milling industry and parts thereof [8432, 8433, 8436 and 8437]
GST Compensation Cess Rates for different supplies
The fitment of rates of goods were discussed today during the 14th GST Council meeting held at
Srinagar, Jammu & Kashmir. The Council has broadly approved the rates of GST Compensation Cess
to be levied on certain goods. The information is being uploaded immediately after the GST Councils
decision and it will be subject to further vetting during which the list may undergo some changes.
S. Description of supply Tariff item, Rate for GST

No. heading, sub- Compensation
heading, Chapter, Cess
of goods or service,
as the case may be
(1) (2) (3) (4)
1. Pan Masala 2106 90 20 60%
Aerated waters, containing added sugar or other 2202 10
sweetening matter or flavoured
2. Aerated waters 2202 10 10 12%
3. Lemonade 2202 10 20 12%
4. Others 2202 10 90 12%
Tobacco and Tobacco Products 24
5. Unmanufactured tobacco (without lime tube) 2401 71%
bearing a brand name
6. Unmanufactured tobacco (with lime tube) 2401 65%
7. Tobacco refuse, bearing a brand name 2401 30 00 61%
8. Chewing tobacco (without lime tube) 2403 99 10 160%
9. Chewing tobacco (with lime tube) 2403 99 10 142%
10. Filter khaini 2403 99 10 160%
11. Jarda scented tobacco 2403 99 30 160%
12. Pan masala containing tobacco Gutkha 2403 99 90 204%
Cigarettes
13. Non- filter
14. 2402 20 10 5% + Rs.1591 per
Not exceeding 65 mm
thousand
15. 2402 20 20 5% + Rs.2876 per
Exceeding 65 mm but not 70 mm
thousand
16. Filter
17. 2402 20 30 5% + Rs.1591 per
Not exceeding 65 mm
thousand
18. 2402 20 40 5% + Rs.2126 per
thousand

as the case may be
(1) (2) (3) (4)
19. 2402 20 50 5% + Rs.2876 per
thousand
20. 2402 20 90 5% + Rs.4170 per
Others
thousand
Other tobacco products
21. Cigar and cheroots 2402 10 10 21% or Rs. 4170
per thousand,
whichever is higher
22. Cigarillos 2402 10 20 21% or Rs. 4170
per thousand,
whichever is higher
23. Cigarettes of tobacco substitutes 2402 90 10 Rs.4006 per
thousand
24. Cigarillos of tobacco substitutes 2402 90 20 12.5% or Rs. 4,006
per thousand
whichever is higher
25. Other 2402 90 90 12.5% or Rs. 4,006
per thousand
whichever is higher
26. 'Hookah' or 'gudaku' tobacco tobacco bearing a 2403 11 00 72%
brand name
27. Tobacco used for smoking 'hookah'or 'chilam' 2403 11 00 17%
commonly known as 'hookah' tobacco or 'gudaku'
28. Other smoking tobacco not bearing a brand name. 2403 11 90 11%
29. Smoking mixtures for pipes and cigarettes 2403 19 10 290%
30. Other smoking tobacco bearing a brand name 2403 19 90 49%
31. Other smoking tobacco not bearing a brand name 2403 19 90 57%
32. Homogenised or reconstituted tobacco, 2403 91 00 72%
33. Preparations containing chewing tobacco 2403 99 20 72%
34. Snuff 2403 99 40 72%
35. Preparations containing snuff 2403 99 50 72%
36. Tobacco extracts and essence bearing a brand 2403 99 60 72%
name

as the case may be
(1) (2) (3) (4)
37. Tobacco extracts and essence not bearing a brand 2403 99 60 65%
name
38. Cut tobacco 2403 99 70 20%
39. All goods, other than pan masala containing 2403 99 90 96%
tobacco 'gutkha', bearing a brand name
40. All goods, other than pan masala containing 2403 99 90 89%
tobacco 'gutkha', not bearing a brand name
Others
41. Coal; briquettes, ovoids and similar solid fuels 2701 Rs.400 per tonne
manufactured from coal.
42. Lignite, whether or not agglomerated, excluding 2702 Rs.400 per tonne
jet
43. Peat (including peat litter), whether or not 2703 Rs.400 per tonne
agglomerated
Motor Vehicles
44. Motor vehicles (10<persons <13) 8702 15%
45. Small Cars (length < 4 m ; Petrol<1200 cc ) 8703 1%
46. Small Cars (length < 4 m ; Diesel < 1500 cc) 8703 3%
47. Mid Segment Cars (engine < 1500 cc) 8703 15%
48. Large Cars (engine > 1500 cc) 8703 15%
49. Sports Utility Vehicles (length > 4m ; engine > 8703 15%
1500 cc; ground clearance > 170 mm)
50. Mid Segment Hybrid Cars (engine < 1500 cc) 8703 15%
51. Hybrid motor vehicles > 1500 cc 8703 15%
52. Hydrogen vehicles based on fuel cell tech > 4m 8703 15%
53. Motorcycles (engine > 350 cc) 8711 3%
54. Aircrafts for personal use. 8802 3%
55. Yacht and other vessels for pleasure or sports 8903 3%
*****
ADDENDUM TO THE GST RATE SCHEDULE FOR GOODS
I. The following amendments / additions are required to be made to the aforesaid

document:
1. In S.No.22,-
(i) In the Nil rate column, the entry Tender coconut water put in unit container
and bearing a registered brand name [2202 90 90], may be read as:
Tender coconut water other than put in unit container and bearing a
registered brand name [2202 90 90].
(ii) In 12% rate column, in the entry Fruit pulp or fruit juice based drinks [2202
90 30], tariff item 2202 90 30 may be read as 2202 90 20.
2. In S.No.85, in the 28% rate column, the entry Electrical machines and apparatus
having individual functions, not specified or included elsewhere in this chapter
[8543] may be omitted. 8543 Electrical machines and apparatus having individual
functions, not specified or included elsewhere in this chapter is already covered in
the 18% rate column.
3. In the footnote below the Table which gives the list of goods for which the GST rates
are yet to be decided by the GST Council, the following entries may be added:
(i) Cereals and flour put up in unit container and bearing a registered brand
name.
(ii) Puja samagri including havan samagri will be under Nil category. However,
the exact formulation for the same is yet to be finalised.
*****
[As per discussions in the GST Council Meeting held on 3rd June, 2017]
The following amendments / additions are required to be made to the aforesaid document:
1. In Chapter 15, in the 18% rate column, the part entry from 1517 relating to edible
mixtures of vegetable fats or oils, that is edible mixtures or preparations of vegetable
fats or vegetable oils or of fractions of different vegetable fats or vegetable oils of this
Chapter, other than edible fats or oils or their fractions of heading 1516 [1517] may
be shifted to the 5% rate column [wherein all vegetable fats and vegetable oils at 5%].
[This will ensure that mixtures of two or more varieties of edible vegetable oils fall at
5%.]
2. In Chapter 29, in the 18% rate column, after the entry No 39 the following entries
shall be inserted,
(i) 40 - 2939 Alkaloids, natural or reproduced by synthesis, and their salts,
ethers, esters and other derivatives
(ii) 41 - 2940 Sugars, chemically pure, other than sucrose, lactose, maltose,
glucose and fructose; sugar ethers, sugar acetals and sugar esters, and their
salts, other than products of headings 2937, 2938 or 2939
(iii) 42 - 2941 Antibiotics
(iv) 43 - 2942 Other organic compounds
All goods falling under chapter 29 [organic chemicals, being intermediates] are at
18%
[These were omissions]
3. In Chapter 31, in the 5% rate column, the entries 3101 Organic manure put up in unit
containers and bearing a brand name may be added. [3101 Organic manure other
than put up in unit containers and bearing a brand name is at Nil]. [This was an
omission.]
4. In Chapter 34, in the 28% rate column, the entry 3404 Artificial waxes and prepared
waxes may be omitted. These goods [being in the nature of intermediates] are
covered in the 18% rate column. [By mistake it was appearing in 28% also.]
5. In Chapter 38, in the 18% rate column, for the entry No 18 the entry 3823 Industrial
monocarboxylic fatty acids; acid oils from refining; industrial fatty alcohols shall be
substituted. [There is typographical error in the description.]
6. In Chapter 40,
(i) in the 12% rate column, the entry 4 - Erasers [4016]. may be added.
(ii) in the 18% rate column, the entry No. 12 Erasers [4016]. may be omitted.
[Mathematical boxes, geometry boxes and colour boxes, pencil sharpeners
(7310 or 7326) and Pencils, crayons (9609) are at 12%].
7. In Chapter 48, in the 18% rate column, for the part entry in 4811 i.e. for the words
[Other aseptic packaging paper and, the words [other than aseptic packaging
paper] shall be substituted. [Aseptic packaging paper 4811 is covered in the 12%
rate column. There was a small mistake of missing word, than after other.]
8. In Chapter 69,-
(i) In the 28% rate column, the entry 6903 Other refractory ceramic goods (for
example, retorts, crucibles, muffles, nozzles, plugs, supports, cupels, tubes,
pipes, sheaths and rods), other than those of siliceous fossil meals or of similar
siliceous earths may be omitted [This entry is covered in the 18% rate
column as all goods of 6903].
(ii) In the 28% rate column, the entry 6908 Glazed ceramic flags and paving,
hearth or wall tiles; glazed ceramic mosaic cubes and the like, whether or not
on a backing may be omitted [This tariff heading has been omitted from the
Central Excise Tariff with effect from 01.01.2017. This entry is now covered
in the entry 6907, which is also in the 28% rate column].
9. In Chapter 70,
(i) In the 18% rate column, in the entry against 7018, Glass beads may be
omitted.
(ii) In the 5% rate column, the entry 7018 Glass beads may be inserted.
[Glass beads are covered as part of Embroidery or zari articles in the 5%
rate column under chapter 58.]
10. In Chapter 84,-

(i) In the Nil rate column, the entry 8445 Amber charkha may be added.
(ii) In the 5% rate column, the entry Hand pumps and parts thereof [8413, 8414
90] may be read as Hand pumps and parts thereof [8413, 8413 91].
(iii) In the 12% rate column the entry No 1 the words Nuclear fuel elements
may be substituted by the words fuel elements (cartridges), non-irradiated,
for nuclear reactors
(iv) In the 18% rate column, in entry No 1 the words fuel elements (cartridges),
non-irradiated, for nuclear reactors may be omitted.
11. In the 18% rate column, after entry No 13 the entry 13A - machinery for cleaning or
drying bottles or other containers; machinery for filling, closing, sealing or labelling
bottles, cans, boxes, bags or other containers; machinery for capsuling bottles, jars,
tubes and similar containers; other packing or wrapping machinery (including heat-
shrink wrapping machinery); machinery for aerating beverages [8422 20 00, 8422 30
00, 8422 40, 8522 90] shall be inserted. [These are capital goods and are not listed in
in the 18% rate column].
12. In Chapter 85,-

(i) In the 5% rate column, after entry (c), the entry (d) photo voltaic cells,
whether or not assembled in modules or made up into panels may be added
[these cells and modules are renewable energy devices].
(ii) Correspondingly, in the 18% rate column, the part entry from 8541, that is
including photo voltaic cells, whether or not assembled in modules or made
up into panels may be omitted.
(iii) In the 12% rate column, the entry 8539 LED lamps may be added [LED
lamps, falling under 9405, are already at 12% rate.]
13. In Chapter 90, in the 18% rate column, the entry 9032 Automatic regulating or
controlling instruments and apparatus may be inserted [this entry is not listed in the
18% rate column].
14. In Chapter 91,-

(i) In the 28% rate column, the entry 9110 Complete clock movements,
unassembled or partly assembled (movement sets); incomplete clock
movements, assembled; rough clock movements may be omitted;
(ii) In the 18% rate column, the entry 5 - 9110 Complete clock movements,
unassembled or partly assembled (movement sets); incomplete clock
movements, assembled; rough clock movements may be added In the 28%
rate column, the entry from 9112 relating to clock i.e. 9112 Clock cases, and
parts thereof may be omitted;
(iii) In the 28% rate column, the entry from 9112 relating to clock i.e. 6 - 9112
Clock cases, and parts thereof may be added;
[Clocks and their parts are at 18%].
15. In Chapter 95, in the 28% rate column the entry 9506 Articles and equipment for
general physical exercise, gymnastics, athletics, other sports (including table-tennis)
or outdoor games, not specified or included elsewhere in this chapter; swimming
pools and paddling pools may be substituted by the entry 9506 Articles and
equipment for general physical exercise, gymnastics, athletics. [Sports goods in
general are at 12%].
16. In Chapter 96, in the 12% rate column, the entry Pencils, crayons, pastels, drawing
charcoals, writing or drawing chalks and tailors chalk [9609] may be read as
Pencils, crayons, pastels, drawing charcoals and tailors chalk [9608, 9609]
[propelling or sliding pencils are covered under 9608. Chalk sticks are at Nil.].
*****
GST RATE SCHEDULE FOR CERTAIN GOODS

S. Chapter 0% 5% 12% 18% 28%

No.
1. 7 0713 Dried leguminous 0713 Dried leguminous - - -
(Edible vegetables, vegetables, shelled, vegetables, shelled,
roots and tubers) whether or not skinned or whether or not skinned or
split [other than put up in split, put up in unit
For GST rates on unit container and bearing container and bearing a
other goods falling a registered brand name]. registered brand name.
under this Chapter,
the Rate Schedule
put on website on
18.05.2017 may
please be seen.
2. 10 - All goods, put up in unit - - -
(Cereals) container and bearing a
registered brand name,
For GST rates on namely:
other goods falling
under this Chapter, 1. 1001 Wheat and
the Rate Schedule meslin
put on website on 2. 1002 Rye
18.05.2017 may 3. 1003 Barley
please be seen. 4. 1004 Oats
5. 1005 Maize
(corn)
6. 1006 Rice
7. 1007 Grain
sorghum
8. 1008 Buckwheat, millet
and canary seed; other

S. Chapter 0% 5% 12% 18% 28%

No.
cereals such as Jawar,
Bajra, Ragi]
3. 11 - 1. Flour [1101, 1102, - - -
(Products of milling 1105, 1106] Aata,
industry; malt; maida, besan, etc., put
starches; inulin; up in unit container and
wheat gluten) bearing a registered
brand name.
For GST rates on
other goods falling
under this Chapter,
the Rate Schedule
put on website on
18.05.2017 may
please be seen.
4. 14 - - - 1. 1404 Bidi wrapper -
(Vegetable plaiting leaves [under
materials; vegetable reverse charge].
products, not
elsewhere specified
or included)
For GST rates on

other goods falling
under this Chapter,
the Rate Schedule
put on website on
18.05.2017 may
please be seen.

S. Chapter 0% 5% 12% 18% 28%

No.
5. 19 - - - 1. Biscuits Sweet -
(Preparations of biscuits [1905 31
cereals, flour, starch 00] and other
or milk; pastrycooks biscuits [1905 90
products) 20]
For GST rates on

other goods falling
under this Chapter,
the Rate Schedule
put on website on
18.05.2017 may
please be seen.
6. 24 - - - - 1. Biris
(Tobacco and
manufactured
tobacco substitutes)
For GST rates on

other goods falling
under this Chapter,
the Rate Schedule
put on website on
18.05.2017 may
please be seen.
7. 36 - 1. Handmade safety - - -
(Explosives; matches [3605 00 10],
pyrotechnic handmade matches
products; matches; mean Matches, in or in

S. Chapter 0% 5% 12% 18% 28%

No.
pyrophoric alloys; relation to the
certain combustible manufacture of which,
preparations) none of the following
processes is ordinarily
For GST rates on carried on with the aid
other goods falling of power, namely: -
under this Chapter, (i) frame filling;
the Rate Schedule (ii) dipping of splints
put on website on in the
18.05.2017 may composition for
please be seen. match heads;
(iii) filling of boxes
with matches;
(iv) pasting of labels
on match boxes,
veneers or
cardboards;
(v) packaging.
8. 50 1. Silkworm laying, 1. Silk yarn [5004, 5005, - - -

(Silk) cocoon [5001] 5006]
2. Raw silk [5002] 2. Woven fabrics of silk or
3. Silk waste [5003] silk waste [5007] [With
no refund of ITC
accumulation]
9. 51 1. Wool, not carded or 1. Garnetted stock of wool - - -

(Wool, fine or coarse combed [5101] or of fine or coarse
animal hair; horse

S. Chapter 0% 5% 12% 18% 28%

No.
hair yarn and woven 2. Fine or coarse animal animal hair, shoddy
fabric) hair, not carded or wool [5104]
combed [5102] 2. Wool and fine or coarse
3. Waste of wool or of animal hair, carded or
fine or coarse animal combed [5105]
hair [5103] 3. Yarn of wool or of
animal hair [5106,
5107, 5108, 5109,
5110]
4. Fabrics of wool or of
animal hair [5111,
5112, 5113] [With no
refund of ITC
accumulation]
10. 52 1. Gandhi Topi, 1. Cotton [5201, 5203] - - -

(Cotton) 2. Khadi yarn 2. Cotton waste [5202]
3. Cotton sewing thread
[5204]
4. Cotton yarn, other than
khadi yarn [5205, 5206,
5207]
3. Cotton fabrics [5208,
5209, 5210, 5211,
5212] [With no refund
of ITC accumulation]

S. Chapter 0% 5% 12% 18% 28%

No.
11. 53 1. Coconut, coir fibre 1. All other vegetable - - -
(Other vegetable [5305] fibres and yarns such as
textile fibres; paper 2. Jute fibres, raw or flax, true hemp, paper
yarn, woven fabrics processed but not yarn, etc. [5301, 5302,
of paper yarns) spun [5303] 5303, 5305, 5306,
5307, 5308]
2. Fabrics of other
vegetable textile fibres,
paper yarn [5309, 5310,
5311] [With no refund
of ITC accumulation]
12. 54 - 1. Fabrics of manmade - 1. Synthetic filament -

(Man-made textile materials [5407, yarn such as nylon,
filaments; strip the 5408] [With no refund polyester, acrylic,
like of man-made of ITC accumulation] etc. [5402, 5404,
textile materials) 5406]
2. Artificial filament
yarn such as
viscose rayon,
Cuprammonium,
etc. [5403, 5405,
5406]
3. Sewing thread of
manmade filaments
[5401]
13. 55 - 1. Fabrics of manmade - 1. Synthetic or -
(Manmade staple staple fibres [5512, artificial filament
fibres) 5513, 5514, 5515, tow [5501, 5502]

S. Chapter 0% 5% 12% 18% 28%

No.
5516] [With no refund 2. Synthetic or
of ITC accumulation] artificial staple
fibres [5503, 5504,
5506, 5507]
3. Waste of manmade
fibres [5505]
4. Sewing thread of
manmade staple
fibres [5508]
5. Yarn of manmade
staple fibres [5509,
5510, 5511]
14. 56 - - All goods - -
(Wadding, felt and
nonwovens; special 1. 5601 Wadding of
yarns; twine, textile materials and
cordage, ropes and articles thereof; such as
cables and articles Absorbent cotton wool.
thereof) 2. 5602 Felt,
whether or not
impregnated, coated,
covered or laminated.
3. 5603 Nonwovens,
whether or not
covered or laminated.
4. 5604 Rubber thread
and cord, textile
covered; textile yarn,

S. Chapter 0% 5% 12% 18% 28%

No.
and strip and the like of
heading 5404 or 5405,
covered or sheathed
with rubber or plastics.
5. 5605 Metallised yarn,
whether or not gimped,
being textile yarn, or
strip or the like of
combined with metal in
the form of thread, strip
or powder or covered
with metal; such as
Real zari thread (gold)
and silver thread,
combined with textile
thread), Imitation zari
thread.
6. 5606 Gimped yarn,
and strip and the like
of heading 5404 or
5405, gimped (other
5605 and gimped
horsehair yarn);
chenille yarn
(including flock

S. Chapter 0% 5% 12% 18% 28%

No.
chenille yarn); loop
wale-yarn.
7. 5607 Twine,
cordage, ropes and
cables, whether or not
plaited or braided and
whether or not
covered or sheathed
with rubber or plastics.
8. 5608 Knotted netting
of twine, cordage or
rope; made up fishing
nets and other made up
nets, of textile
materials.
9. 5609 Articles of yarn,
strip or the like of
twine, cordage, rope or
cables, not elsewhere
specified or included.]
15. 57 - - All goods - -

(Carpets and other
textile floor 1. 5701 Carpets and other
coverings) textile floor coverings,
knotted, whether or
not made up.

S. Chapter 0% 5% 12% 18% 28%

No.
2. 5702 Carpets and other
textile floor coverings,
woven, not tufted or
flocked, whether or not
made up, including
Kelem,
Schumacks,
Karamanie and
similar hand-woven
rugs.
tufted, whether or not
made up.
of felt, not tufted or
flocked, whether or not
made up.
5. 5705 Other
carpets and other
whether or not made
up; such as Mats and
mattings including
Bath Mats, where
cotton predominates by
weight, of Handloom,

S. Chapter 0% 5% 12% 18% 28%

No.
Cotton Rugs of
handloom.]
16. 58 - 1. Embroidery or zari All goods not specified - -

(Special woven articles, that is to say,- elsewhere
fabrics; tufted textile imi, zari, kasab, saima,
fabrics; lace; dabka, chumki, gota 1. 5801 Woven pile
tapestries; sitara, naqsi, kora, glass fabrics and chenille
trimmings; beads, badla, glzal, fabrics, other than
embroidery) [5809, 5810] fabrics of heading 5802
or 5806.
2. 5802 Terry
towelling and similar
woven terry fabrics,
other than narrow
fabrics of heading
5806; tufted textile
fabrics, other than
products of heading
5703.
3. 5803 Gauze,
other than narrow
fabrics of heading
5806.
4. 5804 Tulles and
other net fabrics, not
including woven,
knitted or crocheted
fabrics; lace in the

S. Chapter 0% 5% 12% 18% 28%

No.
piece, in strips or in
motifs, other than
fabrics of headings
6002 to 6006.
5. 5805 Hand-
woven tapestries of
the type Gobelins,
Flanders, Aubusson,
Beauvais and the like,
and needle-worked
tapestries (for example,
petit point, cross
stitch), whether or not
made up.
6. 5806 Narrow woven
fabrics, other than
goods of heading 5807;
narrow fabrics
consisting of warp
without weft
assembled by means of
an adhesive (bolducs).
7. 5807 Labels, badges
and similar articles of
textile materials, in
the piece, in strips or
cut to shape or size, not
embroidered.

S. Chapter 0% 5% 12% 18% 28%

No.
8. 5808 Braids in
the piece; ornamental
trimmings in the
piece, without
embroidery, other than
knitted or crocheted;
tassels, pompons and
similar articles.
9. 5809 Woven
fabrics of metal
thread and woven
fabrics of metallised
yarn of heading 5605,
of a kind used in
apparel, as furnishing
fabrics or for similar
purposes, not
included; such as Zari
borders [other than
Embroidery or zari
articles, that is to say,-
imi, zari, kasab, saima,
dabka, chumki, gota
sitara, naqsi, kora,
glass beads, badla,
glzal].
10. 5810 Embroidery in
the piece, in strips or

S. Chapter 0% 5% 12% 18% 28%

No.
in motifs,
Embroidered badges,
motifs and the like
[other than Embroidery
or zari articles, that is to
say,- imi, zari, kasab,
saima, dabka, chumki,
gota sitara, naqsi, kora,
glass beads, badla,
glzal]
11. 5811 Quilted textile
products in the piece,
composed of one or
more layers of textile
materials assembled
with padding by
stitching or otherwise,
other than embroidery
of heading 5810.
17. 59 - - All goods - -

(Impregnated,
coated, covered or 1. 5901 Textile
laminated textile fabrics coated with
fabrics; textile gum or amylaceous
articles of a kind substances, of a kind
suitable for industrial used for the outer
use) covers of books or the
like; tracing cloth;

S. Chapter 0% 5% 12% 18% 28%

No.
prepared painting
canvas; buckram and
similar stiffened textile
fabrics of a kind used
for hat foundations.
2. 5902 Tyre cord
fabric of high tenacity
yarn of nylon or other
polyamides, polyesters
or viscose rayon.
3. 5903 Textile
fabrics impregnated,
coated, covered or
laminated with plastics,
other than those of
heading 5902.
4. 5904 Linoleum,
whether or not cut to
shape; floor coverings
consisting of a coating
or covering applied on
a textile backing,
whether or not cut to
shape.
5. 5905 Textile
wall coverings.
6. 5906 Rubberised
textile fabrics, other

S. Chapter 0% 5% 12% 18% 28%

No.
5902.
7. 5907 Textile
fabrics otherwise
impregnated, coated
or covered; painted
canvas being theatrical
scenery, studio back-
cloths or the like.
8. 5908 Textile
wicks, woven, plaited
or knitted , for lamps,
stoves, lighters,
candles or the like;
incandescent gas
mantles and tubular
knitted gas mantle
fabric therefor, whether
or not impregnated.
9. 5909 Textile hose
piping and similar
textile tubing, with or
without lining, armour
or accessories of other
materials.
10. 5910 Transmission or
conveyor belts or
belting, of textile
material, whether or

S. Chapter 0% 5% 12% 18% 28%

No.
not impregnated,
coated, covered or
laminated with plastics,
or reinforced with
metal or other material.
11. 5911 Textile
products and articles,
for technical uses,
this Chapter; such as
Textile fabrics, felt and
felt-lined woven
fabrics, coated,
covered or laminated
with rubber, leather or
other material, of a
kind used for card
clothing, and similar
fabrics of a kind used
for other technical
purposes, including
narrow fabrics made of
velvet impregnated
with rubber, for
covering weaving
spindles (weaving
beams); Bolting cloth,
whether or Not made
up; Felt for cotton

S. Chapter 0% 5% 12% 18% 28%

No.
textile industries,
woven; Woven textiles
felt, whether or not
impregnated or coated,
of a kind commonly
used in other machines,
Cotton fabrics and
articles used in
machinery and plant,
Jute fabrics and articles
used in machinery or
plant, Textile fabrics of
metalised yarn of a
kind commonly used in
paper making or other
machinery, Straining
cloth of a kind used in
oil presses or the like,
including that of
human hair, Paper
maker's felt, woven,
Gaskets, washers,
polishing discs and
other machinery parts
of textile articles.
18. 60 - 1. All goods [with no - - -

(Knitted or crocheted refund of ITC
fabrics) accumulation]

S. Chapter 0% 5% 12% 18% 28%

No.
19. 61 - 2. All goods of sale value 1. All goods of sale - -
(Articles of apparel not exceeding Rs. 1000 value exceeding Rs.
and clothing per piece 1000 per piece
accessories, knitted
or crocheted)
20. 62 - 3. All goods of sale value 2. All goods of sale - -
(Articles of apparel not exceeding Rs. 1000 value exceeding Rs.
and clothing per piece 1000 per piece
accessories, not
knitted or crocheted)
21. 63 1. Indian National Flag All goods of sale value not All goods of sale value - -
(Other made up exceeding Rs. 1000 per exceeding Rs. 1000 per
textile articles, sets, piece piece
worn clothing and 1. 6301 Blankets 1. 6301 Blankets
worn textile articles; and travelling rugs. and travelling rugs.
rags) 2. 6302.10 Bed linen, 2. 6302.10 Bed linen,
Knitted or crocheted, Knitted or crocheted,
Toilet linen and kitchen Toilet linen and kitchen
linen, of terry towelling linen, of terry towelling
or similar terry fabrics. or similar terry fabrics.
3. 6303 Curtains 3. 6303 Curtains
(including drapes) and (including drapes) and
interior blinds; curtain interior blinds; curtain
or bed valances. or bed valances.
4. 6304 Other 4. 6304 Other
furnishing articles, furnishing articles,
excluding those of excluding those of
heading 9404; such as heading 9404; such as
Bedspreads, Bedspreads,

S. Chapter 0% 5% 12% 18% 28%

No.
Counterpanes, Counterpanes,
Napkins, Pillow case Napkins, Pillow case
and pillow slip, Table and pillow slip, Table
cloth and table cover, cloth and table cover,
Towels, other than terry Towels, other than
towel, Mosquito nets, terry towel, Mosquito
Cushion covers nets, Cushion covers
5. 6305 Sacks and 5. 6305 Sacks and
bags, of a kind used for bags, of a kind used for
the packing of goods. the packing of goods.
6. 6306 Tarpaulins, 6. 6306 Tarpaulins,
awnings and sunblinds; awnings and
tents; sails for boats, sunblinds; tents; sails
sailboards or landcraft; for boats, sailboards or
camping goods. landcraft; camping
7. 6307 Other goods.
made up articles, 7. 6307 Other
including dress made up articles,
patterns; such as including dress
Floor-cloths, dish- patterns; such as
cloths, dusters and Floor-cloths, dish-
similar cleaning cloths, cloths, dusters and
Life-jackets and Life- similar cleaning cloths,
belts, Sets consisting of Life-jackets and Life-
woven fabric and yarn, belts, Sets consisting of
whether or not with woven fabric and yarn,
accessories, for making whether or not with
up into rugs, tapestries, accessories, for making
embroidered table up into rugs, tapestries,

S. Chapter 0% 5% 12% 18% 28%

No.
cloths or serviettes, or embroidered table
similar textile articles, cloths or serviettes, or
put up in packings for similar textile articles,
retail sale. put up in packings for
8. 6309 Worn retail sale.
clothing and other 8. 6309 Worn
worn articles. clothing and other
9. 6310 Used or worn articles.
new rags, scrap twine, 9. 6310 Used or
cordage, rope and new rags, scrap twine,
cables and worn out cordage, rope and
articles of twine, cables and worn out
cordage, rope or cables, articles of twine,
of textile materials. cordage, rope or cables,
of textile materials.
22. 64 - 1. Footwear having a - All goods not specified -

(Footwear gaiters retail sale price not elsewhere
and the like; parts of exceeding Rs.500 per 1. 6401 Waterproof
such articles) pair, provided that such footwear with outer
retail sale price is soles and uppers of
indelibly marked or rubber or of plastics,
embossed on the the uppers of which
footwear itself. are neither fixed to
the sole nor
assembled by
stitching, riveting,
nailing, screwing,

S. Chapter 0% 5% 12% 18% 28%

No.
plugging or similar
processes.
2. 6402 Other
footwear with outer
soles and uppers of
rubber or plastics.
3. 6403 Footwear with
outer soles of
rubber, plastics,
leather or
composition leather
and uppers of
leather.
4. 6404 Footwear with
outer soles of
rubber, plastics,
leather or
composition leather
and uppers of textile
materials.
5. 6405 Other
footwear.
6. 6406 Parts of
footwear (including
uppers whether or
not attached to soles
other than outer
soles); removable
in-soles, heel

S. Chapter 0% 5% 12% 18% 28%

No.
cushions and similar
articles; gaiters,
leggings and similar
articles, and parts
thereof.
23. 71 1. All goods of Chapter 71 [other than rough diamond (7102)] will attract 3%.
(Natural or cultured
pearls, precious or 7101 Pearls, natural or cultured, whether or not worked or graded but not strung, mounted or set; Pearls, natural or cultured,
semi-precious temporarily strung for convenience of transport.
stones, precious 7102 Diamonds, whether or not worked, but not mounted or set [other than rough diamonds].
metals, metals clad 7103 Precious stones (other than diamonds) and semi-precious stones, whether or not worked or graded but not strung,
with precious metal, mounted or set; ungraded precious stones (other than diamonds) and semi-precious stones, temporarily strung for convenience
and articles thereof; transport.
imitation jewellery; 7104 Synthetic or reconstructed precious or semi-precious stones, whether or not worked or graded but not strung, mounted
coin) or set; Ungraded synthetic or reconstructed precious stones, temporarily strung for convenience of transport.
7105 Dust and powder of natural or synthetic precious or semi - precious stones.
7106 Silver (including silver plated with gold or platinum), unwrought or in semi - manufactured forms, or in powder form.
7107 Base metals clad with silver, not further worked than semi manufactured.
7108 Gold (including gold plated with platinum) unwrought or in semi - manufactured forms, or in powder form.
7109 Base metals or silver, clad with gold, not further worked than semi manufactured.
7110 Platinum, unwrought or in semi - manufactured form, or in powder form.
7111 Base metals, silver or gold, clad with platinum, not further worked than semi-manufactured.
7112 Waste and scrap of precious metals, of metal clad with precious metal.
7113 Articles of jewellery and parts thereof, of precious metal or of metal clad with precious metal.
7114 Articles of goldsmiths' or silversmiths' wares and parts thereof, of precious metal or of metal clad with precious metal.
7115 Other articles of precious metal or of metal clad with precious metal.
7116 Articles of natural or cultured pearls, precious or semi-precious stones (natural, synthetic or re-constructed).
7117 Imitation jewellery.

S. Chapter 0% 5% 12% 18% 28%

No.
7118 Coins.
2. Rough diamond [7102] will attract 0.25%.
24. 84 - 1. Machines for cleaning, 1. Agricultural, - -

(Nuclear reactors, sorting or grading, seed, horticultural or forestry
boilers, machinery grain or dried machinery for soil
and mechanical leguminous vegetables; preparation or
appliances; parts machinery used in cultivation; lawn or
thereof) milling industry or for sports-ground rollers.
the working of cereals [8432]
For GST rates on or dried leguminous 2. Harvesting or threshing
other goods falling vegetables other than machinery, including
under this Chapter, farm type machinery straw or fodder balers;
the Rate Schedule and parts thereof [8437] grass or hay mowers;
put on website on machines for cleaning,
18.05.2017 may sorting or grading eggs,
please be seen. fruit or other
agricultural produce,
other than machinery
of heading 8437 [8433]
3. Other agricultural,
horticultural, forestry,
poultry-keeping or bee-
keeping machinery,
including germination
plant fitted with
mechanical or thermal
equipment; poultry

S. Chapter 0% 5% 12% 18% 28%

No.
incubators and
brooders [8436]
25. Any Chapter Puja samagri Puja samagri - - -

namely,- namely,-
(i) Rudraksha, (i) lobhan,
rudraksha (ii) mishri,
mala, tulsi (iii) batasha
kanthi mala, (iv) bura
panchgavya
(mixture of
cowdung,
desi ghee,
milk and
curd);
(ii) Sacred
thread
(commonly
known as
yagnopavit);
(iii) Wooden
khadau;
(iv) Panchamrit,
(v) Vibhuti sold
by religious
institutions,
(vi) Unbranded
honey

S. Chapter 0% 5% 12% 18% 28%

No.
[proposed
GST Nil]
(vii) Wick for
diya.
(viii) Roli
(ix) Kalava
(Raksha
sutra)
(x) Chandan tika
26. Any Chapter 1. 50% concession from applicable GST rate on supplies to Canteen Stores Department [with no concession from
[Supplies to Canteen Compensation Cess], which will be refunded to the CSD [under section 55 of the CGST/SGST Act].
Stores Department 2. Exemption from GST on supplies [sales] made by CSD to Unit Run Canteens and on supplies [sales] made by CSD or
(CSD)] Unit Run Canteens to final consumer.
IGST Exemptions/Concessions under GST
[As per discussions in the GST Council Meeting held on 18th/19th May, 2017]
I. Multilateral/Bilateral Commitments Imports by Privileges Persons,

Organizations, Authorities and Foreigners
S. Present Customs Gist of the notification

No Notification No. and
date
1 3/57-Customs, dated 1. Goods imported by Diplomatic missions in India and
08.01.1957 their families, their personal and household effects, etc
are exempted from import duties.
2 121/2003-Customs, All the equipments and consumable samples imported into
dated 01.08.2003 India, by the Inspection Team of the Organization of
Prohibition of Chemical Weapons, subject to the condition,
inter alia, that such equipments shall be exported within
six months of their import.
3 46/74-Customs, dated Exemption to Pedagogic materials imported by educational
25.05.1974 institutions, etc. in pursuance of the Customs Convention
on the temporary importation of pedagogic material, subject
to the condition that the goods are re-exported within 6
months from the date of importation.
4 84/71-Customs, dated Exemption to temporary import of Scientific equipments
11.09.1971 etc. by non-profit making scientific and educational
institutions in pursuance of the Customs Convention on
the temporary importation of scientific equipment, subject
to the condition that the goods are re-exported within 6
months from the date of importation.
5 157/90-Customs, Exemption to specified goods imported for display or use
dated 28.03.1990 at specified event such as meetings, exhibition, fairs or
similar show or display, etc. which is being held in public
interest and is sponsored or approved by the GoI or the
ITPO [Schedule II events] or events organised by other
organisations [Schedule III events] subject to the condition,
inter alia, that the goods are imported under ATA Carnet for
temporary admission and the said goods are re-exported
within a period of 6 months from the date of importation.
6 148/94-Customs, Exemption to:
dated 13.07.1994 (a) Foodstuffs, medicines, medical stores of perishable
nature, clothing and blankets, imported by a
charitable organization as free gift to it from abroad
and meant for free distribution to the poor and the
needy,
(b) Goods imported by the Red Cross Society for
purposes of relief to distressed persons,
(c) Drugs, medicines and medical equipments required for
the treatment of the victims of the Bhopal Gas Leak
Disaster,
(d) Goods imported by the Cooperative for Assistance and
Relief Everywhere Incorporated (CARE) under the
Agreement between the President of India and CARE.
Supplies and equipments imported shall be re-
exported when no longer required for the purposes and
cannot be sold to a third party,
(e) Goods imported into India for relief and
rehabilitation purposes, in accordance with the
terms of any agreement in force between the GoI
and any foreign Government. These goods cannot
be sold or otherwise disposed of in India except with
the prior approval or subject to conditions as may be
prescribed by the GoI.
(f) Articles of food and edible material supplied as free
gifts to the GoI by the agencies approved by the
UNO or the EEC,
(g) Articles donated to the GoI for use of defence
personnel or donated to the National Defence Fund
and dispatched by the Indian Mission in the
country where they were donated,
(h) Goods gifted or supplied free of cost under a bilateral
agreement between the GoI and a Foreign
Government.
dated 13.07.1994 (a) Samples in accordance with the International
Convention to facilitate the importation of
Commercial Samples and Advertising material
drawn up at Geneva and dated the 7th day of
November, 1952,
(b) Price lists supplied free of charge in accordance with the
Convention mentioned above,
(c) Commercial samples upto Rs.3 lakh in value in case
of gem and jewellery industry and Rs.1 lakh in case
of any other industry, and not exceeding 50 units in
number in a year, imported as personal baggage by
bona fide commercial travellers or businessmen or
imported by post or air,
(d) Prototypes of engineering goods imported as
samples for executing or for use in connection with
securing export orders subject to mutilation / re-export,
(e) Bonafide commercial samples and prototypes of
value upto Rs.10,000 and supplied free of charge.
8 104/94-Customs, Exemption to containers of durable nature subject to re-
dated 16.03.1994 export within 6 months from the date of their importation.

dated 04.02.2003 a) paper money; and
b) wool, woollen fabrics and woollen apparels
received as gifts by the Indian Red Cross.
dated 13.07.1994 (a) Fuel in the tanks of the aircrafts of an Indian Airline or
of the Indian Air Force subject to the condition, inter
alia, that the quantity of the said fuel is equal to the
quantity of the same type of fuel which was taken out
of India in the tanks of the aircrafts of the same
Indian Airline or of the Indian Air Force, and on
which the duty of Customs, or Central Excise had been
paid; and the rate of duty of customs (including the
additional duty leviable under the said section 3) or the
rate of duty of Central Excise, as the case may be,
leviable on such fuel is the same at the time of the
arrivals and departures of such aircrafts;
(b) Lubricating oil, imported in the engines of any aircraft
registered in India or of any aircraft of the Indian Air
Force;
(c) Specified goods imported by the United Arab
Airlines which will be carried on individual aircraft for
use in hangars and which are flown back on the same
aircraft;
(d) Aircraft equipment, engines and spare parts imported by
the Air India International or the Indian Airlines having
been borrowed by the aforesaid airlines for fitment
to their aircraft from foreign airlines outside India
or from the foreign manufacturers of the prime
equipment subject to the condition, that the said goods
are being imported for fitment and re-export; and the
said goods are re-exported within one month from the
date of their importation into India.
11 130/2010-Customs, Exemption to printed ticket stocks, airway bills, any printed
dated 23.12.2010 material which bears the insignia of the importing airline
printed thereon including baggage tags, publicity material
for distribution free of charge when imported into India by
a designated airline.
12 10/2014-Customs, Exemption to specified goods, when imported into India for
dated 12.05.2014 display or use at any specified event specified subject to
the condition, inter alia, that the specified event is being
held in public interest and is sponsored or approved by the
Government of India or the India Trade Promotion
Organization; and that the said goods are imported
under an FICCI/TAITRA Carnet issued in accordance
with the Agreement between the India-Taipei
Association in Taipei and the Taipei Economic and
Cultural Center in India on the FICCI/TAITRA Carnet
for the Temporary Admission of Goods signed on 20th
March, 2013 and the Carnet is guaranteed by the Federation
of Indian Chamber of Commerce and Industry in India
(hereinafter referred to as FICCI ).
13 106/58-Customs, Exemption to goods imported by the Vice President of
dated 29.03.1958 India on appointment or during his tenure of office.
a) Articles for personal use;
b) Food, drink, tobacco for consumption of Vice-
Presidents household
c) articles for furnishing
d) motor cars for Vice-Presidents use
14 207/89-Customs, Exemption to foodstuffs and provisions (excluding fruit
dated 17.07.1989 products, alcohol and tobacco) when imported into India
by a person residing in India, not being a citizen of India
subject to the condition, inter alia, that the CIF value of such
goods imported in a year does not exceed Rs.1 lakh.
15 39/96-Customs, dated Exemption to imports relating to defence and internal
23.07.1996 security forces.
a) Medals and decorations imported directly by the GoI
in the Ministry of Defence.
b) Personal effects of the persons on duty out of India with
the naval, military or air forces or with the Indian Navy
or Central Para Military Forces if imported for delivery
to the next of kin of such person if he dies or is
wounded, is missing or is taken prisoner of war.
c) Bona fide gifts from donors abroad when imported for
the maintenance of war graves by an institution
subject to certification by the Ministry of Defence.
d) Imported stores purchased out of bonded stocks
lying in a warehouse intended to be supplied free by the
Government for the use of the crew of a ship of the
Coast Guard Organization.
e) Goods imported for trial, demonstration or training
before any authority under the MoD or MHA in the GoI
subject to certification by MoD or MHA and subject to
the condition that the goods are re-exported within a
period of 2 years from the date of importation.
f) Goods imported by the National Technical Research
Organization (NTRO). This exemption is valid till
31.12.2018.
dated 13.07.1994 1. Articles of foreign origin for repairs and return,
2. Theatrical equipment including costumes for use by a
foreign theatrical company or dancing troupe and re-
exported thereafter,
3. Photographic, filming, sound-recording and radio
equipments, raw films, video tapes and sound
recording tapes imported in public interest and has
been sponsored by the GoI and subject to certification
by the Ministry of I&B and subsequent re-export,
4. Mountaineering equipments, materials, clothing,
foodstuffs and provisions (excluding alcoholic drinks,
cigarettes and tobacco), medical stores, imported by a
mountaineering expedition and subject to re-export,
17 51/96-Customs, dated Exemption to research equipments imported by:
23.07.1996 (a) Public funded research institutions or a university or
an Indian Institute of Technology or Indian Institute
of Science, Bangalore or Regional Engineering
College, other than a hospital,
(b) Research institutions, other than a hospital,
(c) Departments and laboratories of the Central
Government and State Government, other than a
hospital,
(d) Regional Cancer Center (Cancer Institute),
subject to, inter alia, registration with the DSIR.
18 8/2016-Custms, dated Exemption to goods imported for display or use at specified
05.02.2016 event [fair, exhibition] subject to re-export within 6
months from the date of clearance of the imported goods.
dated 23.12.1983 (a) Articles of gift received from any foreign government
by Union or State Ministers and specified public
servants and imported as baggage,
(b) Articles of gift imported into India by a foreign
dignitary, visiting India for any official purposes, as
part of his baggage and to be gifted to Union or State
Ministers and specified public servants.
dated 13.07.1994 (a) Challenge Cups and Trophies awarded to an Indian
team in connection with its participation in a
tournament outside India and brought by it into
India for being kept with an Official Sports
Association,
(b) Medals and trophies awarded to members of Indian
teams for their participation in international
tournaments or competitions outside India,
(c) Prizes won by any member of an Indian Team if the
team has participated in any international tournament or
competition in relation to any sport or game, with the
approval of the GoI in the Department of Youth Affairs
and Sports,
(d) Trophy when imported into India by the National
Sports Federation recognized by the Central
Government or any Sports Body for
being awarded to the winning team in the
international tournament including bilateral
tournament and World Cup event to be held in
India.
21 43/96-Customs, dated Exemption to specified goods on which a manufacturing
23.07.1996 process was undertaken in India and which were exported
out of India for carrying out further manufacturing process
of coating, electroplating or polishing or a combination of
one or more of these processes, as the case may be, when
re-imported into India after completion of the said
processes, from the customs duty leviable on the value of
goods which were exported i.e. customs duty is leviable on
the value of the fair cost of the said processes carried out
abroad (whether such cost is actually incurred or not) and
insurance and freight, both ways.
22 259/58-Customs, Exemption to Challenge cups and trophies:
dated 11.10.1958 (a) Which have been won by any unit of the Defence
Forces in India or by a particular member or members
of such unit in a competition; or
(b) Which are being re-imported and which before
being exported has been won by any such unit or
member or members of a unit in a competition; or
(c) Which have been sent by donors resident abroad for
presentation to or competition among such units or
members of such units.
23 271/58-Customs, Exemption to articles re-imported by or along with a unit
dated 25.10.1958 of the Army, the Navy or the Air force or a Central Para
Military Force on the occasion of its return to India after a
[Since superseded by tour of service abroad subject to satisfaction of the
Notification No. Commissioner of Customs that these articles were exported
17/2017-Cus dated 21-04-
2017] by or along with such unit on the occasion of its departure
from India on such tour.
24 174/66-Customs, Goods not produced or manufactured in India, which are
dated 24.09.1966 private personal property and which prior to their import
into India have been exported therefrom and re-imported
within three years from the date of export.
dated 14.11.1995 (a) Goods manufactured in India and parts of such goods
whether of Indian or foreign manufacture and re-
imported into India for repairs or for reconditioning.
(b) Goods manufactured in India and re-imported for
reprocessing or refining or remaking.
Subject to the condition, inter alia, that goods are re-
imported within one / three years from the date of export
[10 years in the case of Nepal and Bhutan]; that goods are
re-exported within 6 months of re-import, etc.
26 241/82-Customs, Exemption to goods [on their re-import] not produced or
dated 04.11.1982 manufactured in India and on which the duty of customs
leviable has been paid at the time of their importation into
India and which were exported out of India for the
execution of a contract approved by the Reserve Bank of
India in connection with any commercial and industrial
(including constructional) activities.
In the case of goods on which any alterations, renovations,
additions or repairs have been executed subsequent to their
export, IGST will be payable on the value equal to the
cost of such alterations, renovations, additions or
repairs while the goods were abroad.
27 94/96-Customs, dated Exemption to:
16.12.1996 a) re-import of goods exported under claim of any
export scheme [drawback, rebate, bond, DEEC or
EPCG, DEPB],
b) re-import of goods sent abroad for repairs etc.
c) re-import of cut and polished precious and semi-
precious stones sent abroad for some treatment [para
4A.20.1 of the FTP]
d) Import of parts components of aircrafts replaced or
removed during the course of maintenance in a SEZ.
For (a), for goods exported prior to 1st of July, the repayment will
go to Centre in CVD account.
For exports after 1st July, the IGST paid will be apportioned.
28 134/94-Customs, Exemption to specified goods, when imported into India for

dated 22.06.1994 carrying out repairs, reconditioning, reengineering,
testing, calibration or maintenance (including service),
subject to the condition, inter alia, that
a) the repairs, reconditioning, reengineering, testing,
calibration or maintenance (including service) as the
case may be, is undertaken in accordance with the
provisions of section 65 of the Customs Act, 1962
(52 of 1962), and
b) the goods repaired, reconditioned, reengineered,
tested, calibrated or maintained (including service)
as the case may be, are exported and are not
cleared outside the Unit.
dated 01.03.2011 (a) Works of art including statuary and pictures intended
for public exhibition in a museum or art gallery;
(b) Works of art namely memorials of a public character
intended to be put up in a public place including,
materials used or to be used in their construction,
whether worked or not;
(c) Antiques intended for public exhibition in a public
museum or national institution;
30 273/58-Cusoms, dated Exemption to re-import of unclaimed postal articles which
25.10.1958 were originally posted in India and re-imported as
unclaimed, refused or redirected.
31 117/61-Customs, Exemption to engines and parts of aircraft, when re-

dated 13.10.61 imported into India after having been exported, from the
customs duty leviable on the value of goods which were
exported [customs duty is leviable on the cost of repair],
which includes the charges paid for the materials as well
as for labour, insurance and freight) in the following
cases:-
(a) Engines and certain specified parts which fail abroad
and are re-imported.
(b) Engines or certain specified parts sent abroad as a stand-
by for replacement of a defective one and subsequently
brought back to India in the same condition without
being installed on an aircraft.
(c) Engines and certain specified parts lent by an Indian
company to a foreign Company.
32 26/62-Customs, dated Exemption to catering cabin equipments and food and drink
19.02.1962 on re-importation by the aircrafts of the Indian Airlines
Corporation from foreign flights subject to the condition

that the goods were not taken on board at any foreign port
or place.
33 26/62-Customs, dated Exemption to catering cabin equipments and food and drink
19.02.1962 on re-importation by the aircrafts of the Indian Airlines
II. Exemption for goods in transit to and from Nepal Bhutan [land locked
countries] Notification No 38/96 Customs.
S. Gist of the notification

No.
1 Goods imported;
a) from foreign country for the purpose of exports to Bhutan or Nepal;
b) from Bhutan or Nepal into India for exports to foreign Country.
III. Miscellaneous exemptions - Notification No. 12/2012-Customs.
S. No. Chapter/ Description of goods IGST Rate

Heading
/Subheading
/ tariff item
414. 85 or any Television equipment, cameras and other Nil

other equipment for taking films, imported by a
Chapter foreign film unit or television team
415. 85 or any Photographic, filming, sound recording and Nil
other radio equipment, raw films, video tapes and
Chapter sound recording tapes of foreign origin, if
imported into India after having been
exported therefrom
418. 85 or any Goods imported for being tested in specified Nil
other test centres
Chapter
448A 8802 All goods [aircrafts, helicopters etc.] Nil
(except
8802 60 00
that is space
craft)
449. 88 or any The following goods, namely :- Nil
other (a) Satellites and payloads;
Chapter (b) Scientific and technical instruments,
apparatus, equipments (including
computers and computer software),
accessories, parts, components, spares,
tools, mock ups and modules, raw
materials and consumables required for
launch vehicles and for satellites and
payloads
(c) Ground equipment brought for testing of
(a)
518. Any Used bona fide personal and household effects Nil
Chapter belonging to a deceased person
519. Any Goods imported through postal parcels, packets Nil
Chapter and letters, the CIF value of which is not more
than one thousand rupees per consignment
520. Any Archaeological specimens, photographs, Nil
Chapter plaster casts or antiquities, intended for
exhibition for public benefit in a museum
managed by the Archaeological Survey of
India or by a State Government
357A. 84 or any Goods specified in List 34 required in 5%
other connection with: This will apply
Chapter (a) petroleum operations undertaken under to domestic
petroleum exploration licenses or mining supplies also.
leases, granted by the Government of India
or any State Government to the Oil and
Natural Gas Corporation or Oil India
Limited on nomination basis,
(b) petroleum operations undertaken under
specified contracts
(c) petroleum operations undertaken under
specified contracts under the New
Exploration Licensing Policy
(d) petroleum operations undertaken under
specified contracts under the Marginal
Field Policy (MFP)
(e) coal bed methane operations undertaken
under specified contracts under the Coal
Bed Methane Policy.
IV. Exemption from IGST on imports by a SEZ unit or SEZ developer for authorized
operations
V. Exemption from IGST from bonafide passenger baggage and transfer of residence
S. Chapter/Headin Item covered

No g
1 9803 Exemption from IGST
1. on goods imported by a passenger or a member of a crew in his
baggage. [Does not apply to motor vehicles, alcoholic beverages,
tobacco and tobacco products]
2. on goods imported by a person of India origin on his return to India
[Transfer of Residence Notification No 26/2016-Customs ]
3. on one lap top imported by a passenger of 18 years or more age
[Notification No. 11/2004-Customs]
REVISED GST RATE FOR CERTAIN GOODS
[As per discussions in the 16th GST Council Meeting held on 11th June, 2017]
S. Chapter / Description of goods Earlier Revised

No. Heading / GST rate GST Rate
Sub- approved approved by
heading / by the GST the GST
Tariff item Council Council
1. 0506, 0507 Bones and horn cores, bone grist, bone meal, 5% 0%
90 etc.; hoof meal, horn meal, etc.
2. 0801 Cashew nut 12% 5%
3. 0801 Cashew nut in shell 12% 5%
[under reverse
charge]
4. 0806 Raisin 12% 5%
5. 1104 Cereal grains hulled 5% 0%
6. 1702 Palmyra jaggery 18% 0%
7. 20 Preparations of vegetables, fruits, nuts or 18%/12% 12%
[All goods] other parts of plants, including pickle,
murabba, chutney, jam, jelly
8. 2103, 2103 Ketchup & Sauces [other than curry paste; 18% 12%
00, 2103 90 mayonnaise and salad dressings; mixed
90 condiments and mixed seasonings], Mustard
sauces
9. 2103 90 10, Curry paste; mayonnaise and salad dressings; 28% 18%
2103 90 30, mixed condiments and mixed seasonings
2103 90 40
10. 2106 Bari made of pulses including mungodi 18% 12%
11. 2201 90 10 Ice and snow 12% 5%
12. 2501 Salt, all types 5% 0%
13. 27 Bio gas 12% 5%
14. 28 Dicalcium phosphate (DCP) of animal feed 12% 0%
grade conforming to IS specification
No.5470 : 2002
15. 30 Insulin 12% 5%
16. 29, 30, 3302 (i) Menthol and menthol crystals, 18% 12%
(ii) Peppermint (Mentha Oil),
(iii) Fractionated / de-terpenated mentha oil
(DTMO),
(iv) De-mentholised oil (DMO),
(v) Spearmint oil,
(vi) Mentha piperita oil

17. 3304 20 00 Kajal [other than kajal pencil sticks] 28% Nil
18. 3304 20 00 Kajal pencil sticks 28% 18%
19. 3307 Agarbatti 12% 5%
20. 3407 Dental wax 28% 18%
21. 3822 All diagnostic kits and reagents 18% 12%
22. 3926 Plastic beads 28% 12%
23. 3926 90 99 Plastic Tarpaulin 28% 18%
24. 4202 (i) School satchels and bags other than of 28% 18%
leather or composition leather;
(ii) Toilet cases [4202 12 10];
(iii) Hand bags and shopping bags of
artificial plastic material [4202 22 10],
of cotton [4202 22 20], of jute [4202 22
30], vanity bags [4202 22 40];
(iv) Handbags of other materials excluding
wicker work or basket work [4202 29
10].
25. 4820 Exercise books and note books 18% 12%
26. 4823 Kites 12% 5%
27. 4903 Childrens' picture, drawing or colouring 12% Nil
books
28. 57 Coir mats, matting and floor covering 12% 5%
29. 65 Headgear and parts thereof 28% 18%
[All goods]
30. 6703 Human hair, dressed, thinned, bleached or 28% 0%
otherwise worked
31. 68 Fly ash blocks 28% 12%
32. 6810 11 90 Pre cast Concrete Pipes 28% 18%
33. 6906 Salt Glazed Stone Ware Pipes 28% 18%
34. 7015 10 Glasses for corrective spectacles and flint 18% 12%
buttons
35. 71 Rough precious and semi-precious stones 3% 0.25%
36. 7607 Aluminium foil 28% 18%

37. 8215 Spoons, forks, ladles, skimmers, cake 18% 12%
servers, fish knives, tongs
38. 8308 All goods, including hooks and eyes 28% 18%
39. 84 Pawan Chakki that is Air Based Atta Chakki 28% 5%
40. 84 Fixed Speed Diesel Engines 28% 12%
41. 4011 Rear Tractor tyres and rear tractor tyre tubes 28% 18%
42. 8708 Rear Tractor wheel rim, tractor centre 28% 18%
housing, tractor housing transmission, tractor
support front axle
43. 8423 & Weighing Machinery [other than electric or 28% 18%
9016 electronic weighing machinery]
44. 8443 Printers [other than multifunction printers] 28% 18%
45. 8482 Ball bearing, Roller Bearings, Parts & related 28% 18%
accessories
46. 8504 Transformers Industrial Electronics 28% 18%
47. 8504 Electrical Transformer 28% 18%
48. 8504 Static Convertors (UPS) 28% 18%
49. 8521 Recorder 28% 18%
50. 8525 CCTV 28% 18%
51. 8525 60 Two-way radio (Walkie talkie) used by 28% 12%
defence, police and paramilitary forces etc.
52. 8528 Set top Box for TV 28% 18%
53. 8528 Computer monitors not exceeding 17 inches 28% 18%
54. 8539 Electrical Filaments or discharge lamps 28% 18%
55. 8544 Winding Wires 28% 18%
56. 8544 Coaxial cables 28% 18%
57. 8544 70 Optical Fiber 28% 18%
58. 8472 Perforating or stapling machines (staplers), 28% 18%
pencil sharpening machines
59. 8715 Baby carriages 28% 18%
60. 9002 Intraocular lens 18% 12%
61. 9004 Spectacles, corrective 18% 12%

62. 9017 Instruments for measuring length, for use in 28% 18%
the hand (for example, measuring rods and
tapes, micrometers, callipers)
63. 9403 Bamboo furniture 28% 18%
64. 9504 Playing cards, chess board, carom board and 28% 12%
other board games, like ludo, etc. [other than
Video game consoles and Machines]
65. 9506 Swimming pools and padding pools 28% 18%
66. 9603 10 00 Muddhas made of sarkanda and phool bahari 5% 0%
jhadoo
67. 9704 Postage or revenue stamps, stamp-post 12% 5%
marks, first-day covers, etc.
68. 9705 Numismatic coins 12% 5%
69. 4823 90 11, Braille paper, braille typewriters, braille - 5%
8472, 9101, watches, hearing aids and other appliances to
9102, 9021 compensate for a defect or disability
[These goods are covered in List 32 appended
to notification No.12/2012-Customs, dated
17.03.2012 and are already at 5% GST rate
(Chapter 90)]
******
IGST Exemption under GST

[As per discussions in the 16th GST Council Meeting held on 11th June, 2017
I. Bilateral Commitments Imports under Agreement between India and Pakistan /

Bangladesh for regulation of Bus Service
S. Notification Gist of the notification

No.
1. No.4/99-Customs, 1. Passenger bus; and
dated 08.01.1999 2. Spares, fuel and consumables for the passenger bus
imported under the Agreement between India and Pakistan for regulation of
Bus Service between New Delhi and Lahore or under the Agreement between
India and Bangladesh for regulation of Bus Service between Calcutta and
Dhaka.
These imports will be exempt from IGST.
II. Technical Exemptions for Temporary import/Re-Import

No.
1. No.40/2015- Import of Diamonds for Certification / Grading & Re-export in terms of
Customs, dated Para 4.42 of the FTP 2015-20, by the agencies mentioned in Para 4.42 of
21.07.2015 FTP, without payment of all Customs duties after executing bond with
Customs.
2. No.9/2012-Customs, An exporter (with annual export turnover of Rs 5 crore for each of the last
dated 09.03.2012 three years) may export cut & polished diamonds (each of 0.25 carat or
above) to specified testing agencies/laboratories abroad [as mentioned
under paragraph 4.74 of the Handbook of Procedures] for testing.
On their re-import [within 3 months from the date of export] such cut
and polished diamonds are exempt from customs duties [BCD, CVD
and SAD].
3. No exemption at Inter-state movement of any mode of conveyance between distinct persons
present as defined under section 25(4) of the Central Goods and Services Tax Act,
217, including
i. Trains
ii. Buses
iii. Trucks
iv. Tankers
v. Trailers
vi. Vessels
vii. Containers
a) Carrying goods or passengers or both; or
b) For repairs and maintenance,
[except in cases where such movement is is for further supply o fthe same
conveyance]
IGST Exemption under GST

[As per discussions in the 16th GST Council Meeting held on 11th June, 2017

No.
shall be treated neither as a supply of goods or supply of service and
therefore, not be leviable to IGST.
However, applicable CGST/SGST/IGST, as the case may be, shall be

leviable on repairs and maintenance done.
REVISED THRESHOLD LIMIT FOR COMPOSITION LEVY
Sub section (1) of section 10 read with sub-section (2) of the same section of the Central
Goods and Services Tax Act, 2017 [CGST Act] provides that an eligible registered person,
whose aggregate turnover in the preceding financial year did not exceed Rs.50 lakh, may opt
to pay, in lieu of the tax payable by him, an amount calculated at the rate of:
1. 1% of turnover in State or turnover in Union Territory in case of a manufacturer;
2. 2.5% of turnover in State or turnover in Union Territory in case of persons engaged in
making supplies referred to in Paragraph 6(b) of Schedule II to the CGST Act; and
3. 0.5% of turnover in State or turnover in Union Territory in case of other suppliers.
2. The said sub-section also provides that the said limit may be increased upto Rs.1 crore
on the recommendations of the GST Council.
3. The GST Council, in its meeting held on 11th June, 2017, has recommended increase in
the aforesaid turnover limit for Composition Levy for CGST and SGST purposes from Rs.50
lakh to Rs.75 lakh in respect of all eligible registered persons, referred to in the aforesaid sub-
section. However, whether the same increased turnover limit for Composition levy will apply
in case of Special Category States or not will be decided in the next GST Council meeting.
******
PROPOSED NEW SCHEME OF CLASSIFICATION OF SERVICES

Service Code
Heading & Group Service Description
(Tariff)
Section 5 : Construction Services
Heading No.9954 Construction services
Group 99541 Construction services of buildings
Construction services of single dwelling or multi dewlling or multi-storied residential
995411
buildings
Construction services of other residential buildings such as old age homes, homeless
995412
shelters, hostels etc
Construction services of industrial buildings such as buildings used for production
995413 activities (used for assembly line activities), workshops, storage buildings and other
similar industrial buildings
Construction services of commercial buildings such as office buildings, exhibition &
995414 marriage halls, malls, hotels, restaurants, airports, rail or road terminals, parking
garages, petrol and service stations, theatres and other similar buildings.
Construction services of other non-residential buildings such as educational
995415 institutions, hospitals, clinics including vertinary clinics, religious establishments,
courts, prisons, museums and other similar buildings
995416 Construction Services of other buildings n.e.c
Services involving Repair, alterations, additions, replacements, renovation,
995419
maintenance or remodelling of the buildings covered above.
Group 99542 General construction services of civil engineering works

General construction services of highways, streets, roads, railways and airfield
995421
runways, bridges and tunnels
General construction services of harbours, waterways, dams, water mains and lines,
995422
irrigation and other waterworks
General construction services of long-distance underground/overland/submarine
995423 pipelines, communication and electric power lines (cables); pumping stations and
related works; transformer stations and related works.
General construction services of local water & sewage pipelines, electricity and
995424
communication cables & related works
995425 General construction services of mines and industrial plants
995426 General Construction services of Power Plants and its related infrastructure
995427 General construction services of outdoor sport and recreation facilities
995428 General construction services of other civil engineering works n.e.c.
Services involving Repair, alterations, additions, replacements, renovation,
995429
maintenance or remodelling of the constructions covered above.
Group 99543 Site preparation services

995431 Demolition services
Site formation and clearance services including preparation services to make sites
995432 ready for subsequent construction work, test drilling & boring & core extraction,
digging of trenches.
995433 Excavating and earthmoving services
995434 Water well drilling services and septic system installation services
995435 Other site preparation services n.e.c

Service Code
(Tariff)
Services involving Repair, alterations, additions, replacements, maintenance of the
995439
constructions covered above.
Group 99544 Assembly and erection of prefabricated constructions

995441 Installation, assembly and erection services of prefabricated buildings
Installation, assembly and erection services of other prefabricated structures and
995442
constructions
Installation services of all types of street furniture (e.g., bus shelters, benches,
995443
telephone booths, public toilets, etc.)
995444 Other assembly and erection services n.e.c.
995449
Group 99545 Special trade construction services

995451 Pile driving and foundation services
995452 Building framing & Roof Framing services
995453 Roofing and waterproofing services
995454 Concrete services
995455 Structural steel erection services
995456 Masonry services
995457 Scaffolding services
995458 Other special trade construction services n.e.c.
995459
Group 99546 Installation services

Electrical installation services including Electrical wiring & fitting services, fire alarm
995461
installation services, burglar alarm system installation services.
995462 Water plumbing and drain laying services
995463 Heating, ventilation and air conditioning equipment installation services
995464 Gas fitting installation services
995465 Insulation services
995466 Lift and escalator installation services
995468 Other installation services n.e.c.
995469
installations covered above.
Group 99547 Building completion and finishing services

995471 Glazing services
995472 Plastering services
995473 Painting services
995474 Floor and wall tiling services
995475 Other floor laying, wall covering and wall papering services
995476 Joinery and carpentry services
995477 Fencing and railing services
995478 Other building completion and finishing services n.e.c.
995479
completion/finishing works covered above.

Service Code
(Tariff)
Section 6 : Distributive Trade Services ; Accomodation, Food & Beverage Service; Transport Services; Gas &
Electricity Distribution Services
Heading No. 9961 Services in wholesale trade

Group 99611
996111 Services provided for a fee/commission or contract basis on wholesale trade
Heading No. 9962 Services in retail trade

Group 99621
996211 Services provided for a fee/commission or contract basis on retail trade
Heading No. 9963 Accommodation, Food and beverage services

Group 99631 Accommodation services
Room or unit accommodation services provided by Hotels, INN, Guest House, Club
996311
etc
996312 Camp site services
996313 Recreational and vacation camp services
Group 99632 Other accommodation services

996321 Room or unit accommodation services for students in student residences
996322 Room or unit accommodation services provided by Hostels, Camps, Paying Guest etc
996329 Other room or unit accommodation services n.e.c.
Food, edible preparations, alchoholic & non-alchocholic beverages serving

Group 99633
services
Services provided by Restaurants, Cafes and similar eating facilities including
996331
takeaway services, Room services and door delivery of food.
Services provided by Hotels, INN, Guest House, Club etc including Room services,
996332
takeaway services and door delivery of food.
996333 Services provided in Canteen and other similar establishments

Catering Services in Exhibition halls, Events, Marriage Halls and other outdoor/indoor
996334
functions.
996335 Catering services in trains, flights etc.
Preparation and/or supply services of food, edible preparations, alchoholic & non-
996336
alchocholic beverages to airlines and other transportation operators
996337 Other contract food services
Other food, edible preparations, alchoholic & non-alchocholic beverages serving
996339
services n.e.c.
Heading No. 9964 Passenger transport services

Group 99641 Local transport and sightseeing transportation services of passengers
Local land transport services of passengers by railways, metro, monorail, bus,
996411
tramway, autos, three wheelers, scooters and other motor vehicles

Service Code
(Tariff)
996412 Taxi services including radio taxi & other similar services;
996413 Non-scheduled local bus and coach charter services
996414 Other land transportation services of passengers.
996415 Local water transport services of passengers by ferries, cruises etc
996416 Sightseeing transportation services by rail, land, water & air
996419 Other local transportation services of passengers n.e.c.
Group 99642 Long-distance transport services of passengers

Long-distance transport services of passengers through Rail network by Railways,
996421
Metro etc
Long-distance transport services of passengers through Road by Bus, Car, non-
996422
scheduled long distance bus and coach services, stage carriage etc
996423 Taxi services including radio taxi & other similar services
Coastal and transoceanic (overseas) water transport services of passengers by
996424
Ferries, Cruise Ships etc
996425 Domestic/International Scheduled Air transport services of passengers
996426 Domestic/international non-scheduled air transport services of Passengers
996427 Space transport services of passengers
996429 Other long-distance transportation services of passengers n.e.c.
Heading No. 9965 Goods Transport Services

Group 99651 Land transport services of Goods
Road transport services of Goods including letters, parcels, live animals, household &
996511 office furniture, containers etc by refrigerator vehicles, trucks, trailers, man or animal
drawn vehicles or any other vehicles.
Railway transport services of Goods including letters, parcels, live animals, household
996512
& office furniture, intermodal containers, bulk cargo etc
Transport services of petroleum & natural gas, water, sewerage and other goods via
996513
pipeline
996519 Other land transport services of goods n.e.c.
Group 99652 Water transport services of goods

Coastal and transoceanic (overseas) water transport services of goods by refrigerator
996521
vessels, tankers, bulk cargo vessels, container ships etc
Inland water transport services of goods by refrigerator vessels, tankers and other
996522
vessels.
Group 99653 Air and space transport services of goods

996531 Air transport services of letters & parcels and other goods
996532 Space transport services of freight
Heading No. 9966 Rental services of transport vehicles with or without operators
Group 99660 Rental services of transport vehicles with or without operators
Rental services of road vehicles including buses, coaches, cars, trucks and other
996601
motor vehicles, with or without operator
Rental services of water vessels including passenger vessels, freight vessels etc with
996602
or without operator
Rental services of aircraft including passenger aircrafts, freight aircrafts etc with or
996603
without operator

Service Code
(Tariff)
996609 Rental services of other transport vehicles n.e.c. with or without operator
Heading No.9967 Supporting services in transport

Group 99671 Cargo handling services
996711 Container handling services
996712 Customs House Agent services
996713 Clearing and forwarding services
996719 Other cargo and baggage handling services
Group 99672 Storage and warehousing services

996721 Refrigerated storage services
996722 Bulk liquid or gas storage services
996729 Other storage and warehousing services
Group 99673 Supporting services for railway transport

996731 Railway pushing or towing services
996739 Other supporting services for railway transport n.e.c.
Group 99674 Supporting services for road transport

996741 Bus station services
Operation services of National Highways, State Highways, Expressways, Roads &
996742
streets; bridges and tunnel operation services.
996743 Parking lot services
996744 Towing services for commercial and private vehicles
996749 Other supporting services for road transport n.e.c.
Supporting services for water transport (coastal, transoceanic and inland

Group 99675
waterways)
Port and waterway operation services (excl. cargo handling) such as operation
996751
services of ports, docks, light houses, light ships etc
996752 Pilotage and berthing services
996753 Vessel salvage and refloating services
996759 Other supporting services for water transport n.e.c.
Group 99676 Supporting services for air or space transport

996761 Airport operation services (excl. cargo handling)
996762 Air traffic control services
996763 Other supporting services for air transport
996764 Supporting services for space transport
Group 99679 Other supporting transport services

996791 Goods transport agency services for road transport
996792 Goods transport agency services for other modes of transport
996793 Other goods transport services
996799 Other supporting transport services n.e.c
Heading No. 9968 Postal and courier services

Group 99681 Postal and courier services

Service Code
(Tariff)
996811 Postal services including post office counter services, mail box rental services.
996812 Courier services
996813 Local delivery services
996819 Other Delivery Services n.e.c
Heading No. 9969 Electricity, gas, water and other distribution services
Group 99691 Electricity and gas distribution services
996911 Electricity transmission services
996912 Electricity distribution services
996913 Gas distribution services
Group 99692 Water distribution and other services

996921 Water distribution services
996922 Services involving distribution of steam, hot water and air conditioning supply etc.
996929 Other similar services.
Section 7: Financial and related services; real estate services; and rental and leasing services
Heading No. 9971 Financial and related services

Financial services (except investment banking, insurance services and pension
Group 99711
services)
997111 Central banking services
997112 Deposit services
997113 Credit-granting services including stand-by commitment, guarantees & securities
997114 Financial leasing services
Other financial services (except investment banking, insurance services and pension
997119
services)
Group 99712 Investment banking services

997120 Investment banking services
Group 99713 Insurance and pension services (excluding reinsurance services)

997131 pension services
997132 Life insurance services (excluding reinsurance services)
997133 Accident and health insurance services
997134 Motor vehicle insurance services
997135 Marine, aviation, and other transport insurance services
997136 Freight insurance services & Travel insurance services
997137 Other property insurance services
997139 Other non-life insurance services (excluding reinsurance services)
Group 99714 Reinsurance services

997141 Life reinsurance services
997142 Accident and health reinsurance services
997143 Motor vehicle reinsurance services
997144 Marine, aviation and other transport reinsurance ser

Service Code
(Tariff)
997145 services
997146 Freight reinsurance services
997147 Other property reinsurance services
997149 Other non-life reinsurance services
Group 99715 Services auxiliary to financial services (other than to insurance and pensions)
Services related to investment banking such as mergers & acquisition services,
997151
corporate finance & venture capital services
Brokerage and related securities and commodities services including commodity
997152
exchange services
997153 Portfolio management services except pension funds
997154 Trust and custody services
997155 Services related to the administration of financial markets
997156 Financial consultancy services
997157 Foreign exchange services
997158 Financial transactions processing and clearing house services
997159 Other services auxiliary to financial services
Group 99716 Services auxillary to insurance and pensions

997161 Insurance brokerage and agency services
997162 Insurance claims adjustment services
997163 Actuarial services
997164 Pension fund management services
997169 Other services auxiliary to insurance and pensions
Group 99717 Services of holding financial assets

997171 Services of holding equity of subsidiary companies
Services of holding securities and other assets of trusts and funds and similar financial
997172
entities
Heading No.9972 Real estate services

Group 99721 Real estate services involving owned or leased property
997211 Rental or leasing services involving own or leased residential property
997212 Rental or leasing services involving own or leased non-residential property
997213 Trade services of buildings
997214 Trade services of time-share properties
997215 Trade services of vacant and subdivided land
Group 99722 Real estate services on a fee/commission basis or contract basis

997221 Property management services on a fee/commission basis or contract basis
997222 Building sales on a fee/commission basis or contract basis
997223 Land sales on a fee/commission basis or contract basis
997224 Real estate appraisal services on a fee/commission basis or contract basis
Heading no.9973 Leasing or rental services with or without operator

Leasing or rental services concerning machinery and equipment with or without
Group 99731
operator

Service Code
(Tariff)
Leasing or rental services concerning transport equipments including containers, with
997311
or without operator
Leasing or rental services concerning agricultural machinery and equipment with or
997312
without operator
Leasing or rental services concerning construction machinery and equipment with or
997313
without operator
Leasing or rental services concerning office machinery and equipment (except
997314
computers) with or without operator
997315 Leasing or rental services concerning computers with or without operators
Leasing or rental services concerning telecommunications equipment with or without
997316
operator
Leasing or rental services concerning other machinery and equipments with or without
997319
operator
Group 99732 Leasing or rental services concerning other goods

Leasing or rental services concerning televisions, radios, video cassette recorders,
997321 projectors, audio systems and related equipment and accessories (Home
entertainment equipment )
Leasing or rental services concerning video tapes and disks (Home entertainment
997322
equipment )
997323 Leasing or rental services concerning furniture and other household appliances
997324 Leasing or rental services concerning pleasure and leisure equipment.
997325 Leasing or rental services concerning household linen.
997326 Leasing or rental services concerning textiles, clothing and footwear.
997327 Leasing or rental services concerning do-it-yourself machinery and equipment
997329 Leasing or rental services concerning other goods
Group 99733 Licensing services for the right to use intellectual property and similar products
997331 Licensing services for the right to use computer software and databases.
Licensing services for the right to broadcast and show original films, sound recordings,
997332
radio and television programme etc.
997333 Licensing services for the right to reproduce original art works
Licensing services for the right to reprint and copy manuscripts, books, journals and
997334
periodicals.
997335 Licensing services for the right to use R&D products
997336 Licensing services for the right to use trademarks and franchises
997337 Licensing services for the right to use minerals including its exploration and evaluation
Licensing services for right to use other natural resources including
997338
telecommunication spectrum
Licensing services for the right to use other intellectual property products and other
997339
rescources n.e.c
Section 8 : Business and Production Services
Heading no. 9981 Research and development services

Research and experimental development services in natural sciences and
Group 99811
engineering.

Service Code
(Tariff)
998111 Research and experimental development services in natural sciences
998112 Research and experimental development services in engineering and technology
998113 Research and experimental development services in medical sciences and pharmacy.
998114 Research and experimental development services in agricultural sciences.
Research and experimental development services in social sciences and

Group 99812
humanities.
998121 Research and experimental development services in social sciences.
998122 Research and experimental development services in humanities
Group 99813 Interdisciplinary research services.

998130 Interdisciplinary research and experimental development services.
Group 99814 Research and development originals

998141 Research and development originals in pharmaceuticals
998142 Research and development originals in agriculture
998143 Research and development originals in biotechnology
998144 Research and development originals in computer related sciences
998145 Research and development originals in other fields n.e.c.
Heading no. 9982 Legal and accounting services

Group 99821 Legal services
998211 Legal advisory and representation services concerning criminal law.
998212 Legal advisory and representation services concerning other fields of law.
Legal documentation and certification services concerning patents, copyrights and
998213
other intellectual property rights.
998214 Legal documentation and certification services concerning other documents.
998215 Arbitration and conciliation services
998216 Other legal services n.e.c.
Group 99822 Accounting, auditing and bookkeeping services

998221 Financial auditing services
998222 Accounting and bookkeeping services
998223 Payroll services
998224 Other similar services n.e.c
Group 99823 Tax consultancy and preparation services

998231 Corporate tax consulting and preparation services
998232 Individual tax preparation and planning services
Group 99824 Insolvency and receivership services

998240 Insolvency and receivership services
Heading no. 9983 Other professional, technical and business services

Management consulting and management services; information technology
Group 99831
services.

Service Code
(Tariff)
Management consulting and management services including financial, strategic,
998311
human resources, marketing, operations and supply chain management.
998312 Business consulting services including pubic relations services
998313 Information technology (IT) consulting and support services
998314 Information technology (IT) design and development services
998315 Hosting and information technology (IT) infrastructure provisioning services
998316 IT infrastructure and network management services
998319 Other information technology services n.e.c
Architectural services, urban and land planning and landscape architectural

Group 99832
services
998321 Architectural advisory services
998322 Architectural services for residential building projects
998323 Architectural services for non-residential building projects
998324 Historical restoration architectural services
998325 Urban planning services
998326 Rural land planning services
998327 Project site master planning services
998328 Landscape architectural services and advisory services
Group 99833 Engineering services

998331 Engineering advisory services
998332 Engineering services for building projects
998333 Engineering services for industrial and manufacturing projects
998334 Engineering services for transportation projects
998335 Engineering services for power projects
998336 Engineering services for telecommunications and broadcasting projects
Engineering services for waste management projects (hazardous and non-
998337
hazardous), for water, sewerage and drainage projects.
998338 Engineering services for other projects n.e.c.
998339 Project management services for construction projects
Group 99834 Scientific and other technical services

998341 Geological and geophysical consulting services
998342 Subsurface surveying services
998343 Mineral exploration and evaluation
998344 Surface surveying and map-making services
998345 Weather forecasting and meteorological services
998346 Technical testing and analysis services
998347 Certification of ships, aircraft, dams, etc.
998348 Certification and authentication of works of art
998349 Other technical and scientific services n.e.c.
Group 99835 Veterinary services

998351 Veterinary services for pet animals
998352 Veterinary services for livestock
998359 Other veterinary services n.e.c.

Service Code
(Tariff)
Group 99836 Advertising services and provision of advertising space or time.

998361 Advertising Services
998362 Purchase or sale of advertising space or time, on commission
998363 Sale of advertising space in print media (except on commission)
998364 Sale of TV and radio advertising time
998365 Sale of Internet advertising space
998366 Sale of other advertising space or time (except on commission)
Group 99837 Market research and public opinion polling services

998371 Market research services
998372 Public opinion polling services
Group 99838 Photography & Videography and their processing services

998381 Portrait photography services
998382 Advertising and related photography services
998383 Event photography and event videography services
998384 Specialty photography services
998385 Restoration and retouching services of photography
998386 Photographic & videographic processing services
998387 Other Photography & Videography and their processing services n.e.c.
Group 99839 Other professional, technical and business services.

Specialty design services including interior design, fashion design, industrial design
998391
and other specialty design services
998392 Design originals
998393 Scientific and technical consulting services
998394 Original compilations of facts/information
998395 Translation and interpretation services
998396 Trademarks and franchises
998397 Sponsorship Services & Brand Promotion Services
998399 Other professional, technical and business services n.e.c.
Heading no. 9984 Telecommunications, broadcasting and information supply services

Group 99841 Telephony and other telecommunications services
998411 Carrier services
998412 Fixed telephony services
998413 Mobile telecommunications services
998414 Private network services
998415 Data transmission services
998419 Other telecommunications services including Fax services, Telex services n.e.c.
Group 99842 Internet telecommunications services

998421 Internet backbone services
998422 Internet access services in wired and wireless mode.
998423 Fax, telephony over the Internet
998424 Audio conferencing and video conferencing over the Internet

Service Code
(Tariff)
998429 Other Internet telecommunications services n.e.c.
Group 99843 On-line content services

On-line text based information such as online books, newpapers, periodicals,
998431
directories etc
998432 On-line audio content
998433 On-line video content
998434 Software downloads
998439 Other on-line contents n.e.c.
Group 99844 News agency services

998441 News agency services to newspapers and periodicals
998442 Services of independent journalists and press photographers
998443 News agency services to audiovisual media
Group 99845 Library and archive services

998451 Library services
998452 Operation services of public archives including digital archives
998453 Operation services of historical archives including digital archives
Group 99846 Broadcasting, programming and programme distribution services

998461 Radio broadcast originals
998462 Television broadcast originals
998463 Radio channel programmes
998464 Television channel programmes
998465 Broadcasting services
998466 Home programme distribution services
Heading no. 9985 Support services

Employment services including personnel search/referral service & labour
Group 99851
supply service
998511 Executive/retained personnel search services
998512 Permanent placement services, other than executive search services
998513 Contract staffing services
998514 Temporary staffing services
998515 Long-term staffing (pay rolling) services
998516 Temporary staffing-to-permanent placement services
998517 Co-employment staffing services
998519 Other employment & labour supply services n.e.c
Group 99852 Investigation and security services

998521 Investigation services
998522 Security consulting services
998523 Security systems services
998524 Armoured car services
998525 Guard services
998526 Training of guard dogs
998527 Polygraph services

Service Code
(Tariff)
998528 Fingerprinting services
998529 Other security services n.e.c.
Group 99853 Cleaning services

998531 Disinfecting and exterminating services
998532 Window cleaning services
998533 General cleaning services
998534 Specialized cleaning services for reservoirs and tanks
998535 Sterilization of objects or premises (operating rooms)
998536 Furnace and chimney cleaning services
998537 Exterior cleaning of buildings of all types
998538 Cleaning of transportation equipment
998539 Other cleaning services n.e.c.
Group 99854 Packaging services

998540 Packaging services of goods for others
998541 Parcel packing and gift wrapping
998542 Coin and currency packing services
998549 Other packaging services n.e.c
Group 99855 Travel arrangement, tour operator and related services

998551 Reservation services for transportation
998552 Reservation services for accommodation, cruises and package tours
998553 Reservation services for convention centres, congress centres and exhibition halls
Reservation services for event tickets, cinema halls, entertainment and recreational
998554
services and other reservation services
998555 Tour operator services
998556 Tourist guide services
998557 Tourism promotion and visitor information services
998559 Other travel arrangement and related services n.e.c
Group 99859 Other support services

998591 Credit reporting & rating services
998592 Collection agency services
998593 Telephone-based support services
998594 Combined office administrative services
Specialized office support services such as duplicating services, mailing services,
998595
document preparation etc
Events, Exhibitions, Conventions and trade shows organisation and assistance
998596
services
998597 Landscape care and maintenance services
998598 Other information services n.e.c.
998599 Other support services n.e.c.
Heading no.9986 Support services to agriculture, hunting, forestry, fishing, mining and utilities.
Group 99861 Support services to agriculture, hunting, forestry and fishing

Service Code
(Tariff)
998611 Support services to crop production
998612 Animal husbandry services
998613 Support services to hunting
998614 Support services to forestry and logging
998615 Support services to fishing
998619 Other support services to agriculture, hunting, forestry and fishing
Group 99862 Support services to mining

998621 Support services to oil and gas extraction
998622 Support services to other mining n.e.c.
Group 99863 Support services to electricity, gas and water distribution

998631 Support services to electricity transmission and distribution
998632 Support services to gas distribution
998633 Support services to water distribution
Support services to Distribution services of steam, hot water and air-conditioning
998634
supply
Heading no. 9987 Maintenance, repair and installation (except construction) services
Maintenance and repair services of fabricated metal products, machinery and
Group 99871
equipment
Maintenance and repair services of fabricated metal products, except machinery and
998711
equipment.
998712 Maintenance and repair services of office and accounting machinery
998713 Maintenance and repair services of computers and peripheral equipment
998714 Maintenance and repair services of transport machinery and equipment
998715 Maintenance and repair services of electrical household appliances
998716 Maintenance and repair services of telecommunication equipments and apparatus
998717 Maintenance and repair services of commercial and industrial machinery.
998718 Maintenance and repair services of elevators and escalators
998719 Maintenance and repair services of other machinery and equipments
Group 99872 Repair services of other goods

998721 Repair services of footwear and leather goods
998722 Repair services of watches, clocks and jewellery
998723 Repair services of garments and household textiles
998724 Repair services of furniture
998725 Repair services of bicycles
998726 Maintenance and repair services of musical instruments
998727 Repair services for photographic equipment and cameras
998729 Maintenance and repair services of other goods n.e.c.
Group 99873 Installation services (other than construction)

998731 Installation services of fabricated metal products, except machinery and equipment.
Installation services of industrial, manufacturing and service industry machinery and
998732
equipment.

Service Code
(Tariff)
998733 Installation services of office and accounting machinery and computers
Installation services of radio, television and communications equipment and
998734
apparatus.
Installation services of professional medical machinery and equipment, and precision
998735
and optical instruments.
998736 Installation services of electrical machinery and apparatus n.e.c.
998739 Installation services of other goods n.e.c.
Heading no. 9988 Manufacturing services on physical inputs (goods) owned by others
Group 99881 Food, beverage and tobacco manufacturing services
998811 Meat processing services
998812 Fish processing services
998813 Fruit and vegetables processing services
998814 Vegetable and animal oil and fat manufacturing services
998815 Dairy product manufacturing services
998816 Other food product manufacturing services
998817 Prepared animal feeds manufacturing services
998818 Beverage manufacturing services
998819 Tobacco manufacturing services n.e.c.
Group 99882 Textile, wearing apparel and leather manufacturing services

998821 Textile manufacturing services
998822 Wearing apparel manufacturing services
998823 Leather and leather product manufacturing services
Group 99883 Wood and paper manufacturing services

998831 Wood and wood product manufacturing services
998832 Paper and paper product manufacturing services
Group 99884 Petroleum, chemical and pharmaceutical product manufacturing services

998841 Coke and refined petroleum product manufacturing services
998842 Chemical product manufacturing services
998843 Pharmaceutical product manufacturing services
Group 99885 Rubber, plastic and other non-metallic mineral product manufacturing service
998851 Rubber and plastic product manufacturing services
998852 Plastic product manufacturing services
998853 Other non-metallic mineral product manufacturing services
Group 99886 Basic metal manufacturing services

998860 Basic metal manufacturing services
Group 99887 Fabricated metal product, machinery and equipment manufacturing services

Service Code
(Tariff)
998871 Structural metal product, tank, reservoir and steam generator manufacturing services
998872 Weapon and ammunition manufacturing services
998873 Other fabricated metal product manufacturing and metal treatment services
998874 Computer, electronic and optical product manufacturing services
998875 Electrical equipment manufacturing services
998876 General-purpose machinery manufacturing services n.e.c.
998877 Special-purpose machinery manufacturing services
Group 99888 Transport equipment manufacturing services

998881 Motor vehicle and trailer manufacturing services
998882 Other transport equipment manufacturing services
Group 99889 Other manufacturing services

998891 Furniture manufacturing services
998892 Jewellery manufacturing services
998893 Imitation jewellery manufacturing services
998894 Musical instrument manufacturing services
998895 Sports goods manufacturing services
998896 Game and toy manufacturing services
998897 Medical and dental instrument and supply manufacturing services
998898 Other manufacturing services n.e.c.
Other manufacturing services; publishing, printing and reproduction services;

Heading no. 9989
materials recovery services
Group 99891 Publishing, printing and reproduction services
998911 Publishing, on a fee or contract basis
998912 Printing and reproduction services of recorded media, on a fee or contract basis
Moulding, pressing, stamping, extruding and similar plastic manufacturing

Group 99892
services
998920 Moulding, pressing, stamping, extruding and similar plastic manufacturing services
Group 99893 Casting, forging, stamping and similar metal manufacturing services
998931 Iron and steel casting services
998932 Non-ferrous metal casting services
998933 Metal forging, pressing, stamping, roll forming and powder metallurgy services
Group 99894 Materials recovery (recycling) services, on a fee or contract basis

998941 Metal waste and scrap recovery (recycling) services, on a fee or contract basis
998942 Non-metal waste and scrap recovery (recycling) services, on a fee or contract basis
Section 9 : Community, Social & Personal Services and other miscellaneous services

Service Code
(Tariff)
Public administration and other services provided to the community as a whole;
Heading No. 9991
compulsory social security services
Group 99911 Administrative services of the government

999111 Overall Government public services
Public administrative services related to the provision of educational, health care,
999112
cultural and other social services, excluding social security service.
999113 Public administrative services related to the more efficient operation of business.
999119 Other administrative services of the government n.e.c.
Group 99912 Public administrative services provided to the community as a whole

Public administrative services related to external affairs, diplomatic and consular
999121
services abroad.
999122 Services related to foreign economic aid
999123 Services related to foreign military aid
999124 Military defence services
999125 Civil defence services
999126 Police and fire protection services
999127 Public administrative services related to law courts
999128 Administrative services related to the detention or rehabilitation of criminals.
999129 Public administrative services related to other public order and safety affairs n.e.c.
Group 99913 Administrative services related to compulsory social security schemes.

Administrative services related to sickness, maternity or temporary disablement
999131
benefit schemes.
Administrative services related to government employee pension schemes; old-age
999132
disability or survivors' benefit schemes, other than for government employees
999133 Administrative services related to unemployment compensation benefit schemes

999134 Administrative services related to family and child allowance programmes
Heading no. 9992 Education services

Group 99921 Pre-primary education services
999210 Pre-primary education services
Group 99922 Primary education services

999220 Primary education services
Group 99923 Secondary Education Services

999231 Secondary education services, general
999232 Secondary education services, technical and vocational.
Group 99924 Higher education services

999241 Higher education services, general
999242 Higher education services, technical
999243 Higher education services, vocational

Service Code
(Tariff)
999249 Other higher education services
Group 99925 Specialised education services

999259 Specialised education services
Group 99929 Other education & training services and educational support services
999291 Cultural education services
999292 Sports and recreation education services
999293 Commercial training and coaching services
999294 Other education and training services n.e.c.
999295 services involving conduct of examination for admission to educational institutions
999299 Other Educational support services
Heading no. 9993 Human health and social care services

Group 99931 Human health services
999311 Inpatient services
999312 Medical and dental services
999313 Childbirth and related services
999314 Nursing and Physiotherapeutic services
999315 Ambulance services
999316 Medical Laboratory and Diagnostic-imaging services
999317 Blood, sperm and organ bank services
Other human health services including homeopathy, unani, ayurveda, naturopathy,
999319
acupuncture etc.
Group 99932 Residential care services for the elderly and disabled
999321 Residential health-care services other than by hospitals
999322 Residential care services for the elderly and persons with disabilities
Group 99933 Other social services with accommodation

Residential care services for children suffering from mental retardation, mental health
999331
illnesses or substance abuse
999332 Other social services with accommodation for children
Residential care services for adults suffering from mental retardation, mental health
999333
illnesses or substance abuse
999334 Other social services with accommodation for adults
Group 99934 Social services without accommodation for the elderly and disabled
999341 Vocational rehabilitation services
999349 Other social services without accommodation for the elderly and disabled n.e.c.
Group 99935 Other social services without accommodation

999351 Child day-care services
999352 Guidance and counseling services n.e.c. related to children
999353 Welfare services without accommodation
999359 Other social services without accommodation n.e.c.

Service Code
(Tariff)
Sewage and waste collection, treatment and disposal and other environmental
Heading no.9994
protection services
Group 99941 Sewerage, sewage treatment and septic tank cleaning services
999411 Sewerage and sewage treatment services
999412 Septic tank emptying and cleaning services
Group 99942 Waste collection services

999421 Collection services of hazardous waste
999422 Collection services of non-hazardous recyclable materials
999423 General waste collection services, residential
999424 General waste collection services, other n.e.c.
Group 99943 Waste treatment and disposal services

999431 Waste preparation, consolidation and storage services
999432 Hazardous waste treatment and disposal services
999433 Non-hazardous waste treatment and disposal services
Group 99944 Remediation services

999441 Site remediation and clean-up services
999442 Containment, control and monitoring services and other site remediation services
999443 Building remediation services
999449 Other remediation services n.e.c.
Group 99945 Sanitation and similar services

999451 Sweeping and snow removal services
999459 Other sanitation services n.e.c.
Group 99949 Others

999490 Other environmental protection services n.e.c.
Heading no.9995 Services of membership organizations

Services furnished by business, employers and professional organizations
Group 99951
Services
999511 Services furnished by business and employers organizations
999512 Services furnished by professional organizations
Group 99952 Services furnished by trade unions

999520 Services furnished by trade unions
Group 99959 Services furnished by other membership organizations

999591 Religious services
999592 Services furnished by political organizations
999593 Services furnished by human rights organizations
999594 Cultural and recreational associations
999595 Services furnished by environmental advocacy groups

Service Code
(Tariff)
999596 Services provided by youth associations
999597 Other civic and social organizations
999598 Home owners associations
999599 Services provided by other membership organizations n.e.c.
Heading No.9996 Recreational, cultural and sporting services

Group 99961 Audiovisual and related services
999611 Sound recording services
999612 Motion picture, videotape, television and radio programme production services
999613 Audiovisual post-production services
999614 Motion picture, videotape and television programme distribution services
999615 Motion picture projection services
Performing arts and other live entertainment event presentation and promotion
Group 99962
services
999621 Performing arts event promotion and organization services
999622 Performing arts event production and presentation services
999623 Performing arts facility operation services
999629 Other performing arts and live entertainment services n.e.c.
Group 99963 Services of performing and other artists

Services of performing artists including actors, readers, musicians, singers, dancers,
999631
TV personalities, independent models etc
999632 Services of authors, composers, sculptors and other artists, except performing artists
Original works of authors, composers and other artists except performing artists,
999633
painters and sculptors
Group 99964 Museum and preservation services

999641 Museum and preservation services of historical sites and buildings
999642 Botanical, zoological and nature reserve services
Group 99965 Sports and recreational sports services

999651 Sports and recreational sports event promotion and organization services
999652 Sports and recreational sports facility operation services
999659 Other sports and recreational sports services n.e.c.
Group 99966 Services of athletes and related support services

999661 Services of athletes
999662 Support services related to sports and recreation
Group 99969 Other amusement and recreational services

999691 Amusement park and similar attraction services
999692 Gambling and betting services including similar online services
999693 Coin-operated amusement machine services
999694 Lottery services
999699 Other recreation and amusement services n.e.c.

Service Code
(Tariff)
Heading No.9997 Other services
Group 99971 Washing, cleaning and dyeing services
999711 Coin-operated laundry services
999712 Dry-cleaning services (including fur product cleaning services)
999713 Other textile cleaning services
999714 Pressing services
999715 Dyeing and colouring services
999719 Other washing, cleaning and dyeing services n.e.c
Group 99972 Beauty and physical well-being services

999721 Hairdressing and barbers services
Cosmetic treatment (including cosmetic/plastic surgery), manicuring and pedicuring
999722
services
999723 Physical well-being services including health club & fitness centre
999729 Other beauty treatment services n.e.c.
Group 99973 Funeral, cremation and undertaking services

999731 Cemeteries and cremation services
999732 Undertaking services
Group 99979 Other miscellaneous services

999791 Services involving commercial use or exploitation of any event
999792 Agreeing to do an act
999793 Agreeing to refrain from doing an act
999794 Agreeing to tolerate an act
999795 Conduct of religious ceremonies/rituals by persons
999799 Other services n.e.c.
Heading No. 9998 Domestic services

Group 99980 Domestic services
999800 Domestic services both part time & full time
Heading No. 9999 Services provided by extraterritorial organizations and bodies.

Group 99990 Services provided by extraterritorial organizations and bodies.
999900 Services provided by extraterritorial organizations and bodies
SCHEDULE OF GST RATES FOR SERVICES AS APPROVED BY GST COUNCIL

The fitment of rates of services were discussed on 19 May 2017 during the 14th GST Council meeting held at Srinagar, Jammu &
Kashmir. The Council has broadly approved the GST rates for services at Nil, 5%, 12%, 18% and 28% as listed below. The
information is being uploaded immediately after the GST Councils decision and it will be subject to further vetting during which the
list may undergo some changes. The decisions of the GST Council are being communicated for general information and will be given
effect to through gazette notifications which shall have force of law.
Sl.
DESCRIPTION OF SERVICES GST RATE
No.
1. Transport of goods by rail 5%
with ITC of input
services
2. Transport of passengers by rail (other than sleeper class) 5%
with ITC of input
services
3. Services of goods transport agency (GTA) in relation to transportation of goods 5%
[other than used household goods for personal use] No ITC
4. Services of goods transport agency in relation to transportation of used household 5%
goods for personal use. No ITC
5. Transport of goods in a vessel including services provided or agreed to be provided 5%
by a person located in non-taxable territory to a person located in non-taxable with ITC of input
territory by way of transportation of goods by a vessel from a place outside India services
up to the customs station of clearance in India
6. Renting of motorcab 5%
(If fuel cost is borne by the service recipient, then 18% GST will apply) No ITC
7. Transport of passengers, by- 5%
(i) Air conditioned contract/stage carriage other than motorcab; No ITC
(ii) a radio taxi.
8. Transport of passengers by air in economy class 5%
with ITC of input
services
9. Transport of passengers, with or without accompanied belongings, by air, 5%
embarking from or terminating in a Regional Connectivity Scheme Airport. with ITC of input

services
10. Supply of tour operators services 5%
No ITC
11. Leasing of aircrafts under Schedule II [5 (f)] by a scheduled airlines for scheduled 5%
operations with ITC of input
services
12. Selling of space for advertisement in print media 5%
With Full ITC
13. Services by way of job work in relation to printing of newspapers; 5%
With Full ITC
14. Transport of goods in containers by rail by any person other than Indian Railways 12%
With Full ITC
15. Transport of passengers by air in other than economy class 12%
With Full ITC
16. Supply of Food/drinks in restaurant not having facility of air-conditioning or 12%
central heating at any time during the year and not having licence to serve liquor. With Full ITC
17. Renting of hotels, inns, guest houses, clubs, campsites or other commercial places 12%
meant for residential or lodging purposes having room tariff Rs.1000 and above With Full ITC
but less than Rs.2500 per room per day
18. Services provided by foreman of chit fund in relation to chit 12%
with ITC of input
services
19. Construction of a complex, building, civil structure or a part thereof, intended for 12%
sale to a buyer, wholly or partly. With Full ITC
[The value of land is included in the amount charged from the service recipient] but no refund of
overflow of ITC
20. Temporary transfer or permitting the use or enjoyment of any Intellectual Property 12%
(IP) to attract the same rate as in respect of permanent transfer of IP; with full ITC
21. Supply of Food/drinks in restaurant having licence to serve liquor 18%
With Full ITC
22. Supply of Food/drinks in restaurant having facility of air-conditioning or central 18%
heating at any time during the year With Full ITC

23. Supply of Food/drinks in outdoor catering 18%
With Full ITC
24. Renting of hotels, inns, guest houses, clubs, campsites or other commercial places 18%
meant for residential or lodging purposes where room tariff of Rs 2500/ and above With Full ITC
but less than Rs 5000/- per room per day
25. Bundled service by way of supply of food or any other article of human 18%
consumption or any drink, in a premises (including hotel, convention center, club, With Full ITC
pandal, shamiana or any other place, specially arranged for organizing a
function) together with renting of such premises
26. Services by way of admission or access to circus, Indian classical dance including 18%
folk dance, theatrical performance, drama With Full ITC
27. Composite supply of Works contract as defined in clause 119 of section 2 of CGST 18%
Act With Full ITC
28. Services by way of admission to entertainment events or access to amusement 28%
facilities including exhibition of cinematograph films, theme parks, water parks, With Full ITC
joy rides, merry-go rounds, go-carting, casinos, race-course, ballet, any sporting
event such as IPL and the like;
29. Services provided by a race club by way of totalisator or a licensed bookmaker in 28%
such club; With Full ITC
30. Gambling; 28%
With Full ITC
31. Supply of Food/drinks in air-conditioned restaurant in 5-star or above rated Hotel 28%
With Full ITC
32. Accommodation in hotels including 5 star and above rated hotels, inns, guest 28%
houses, clubs, campsites or other commercial places meant for residential or With Full ITC
lodging purposes, where room rent is Rs 5000/- and above per night per room
33. Transfer of the right to use any goods for any purpose (whether or not for a Same rate of GST
specified period) for cash, deferred payment or other valuable consideration and
(supply of service) to attract the same GST rate and compensation cess as compensation
cess as on supply

applicable on supply of similar goods which involves any transfer of title in goods of similar goods
(supply of goods)
34. Any transfer of right in goods or of undivided share in goods without the transfer Same rate of GST
of title thereof (supply of services) to attract the same GST rate and compensation and
cess as applicable on supply of similar goods which involves any transfer of title in compensation
goods (supply of goods). cess as on supply
of similar goods
35. Supply consisting of transfer of title in goods under an agreement which GST and
stipulates that property in goods shall pass at a future date upon payment of full compensation
consideration as agreed (supply of goods): value of leasing services shall be cess as on supply
of similar goods
included in the value of goods supplied.
36. All other services not specified elsewhere 18%
With Full ITC
Service Tax Exemptions to be continued in GST as decided by GST Council
Sl.
Services
No.
1. Services by Government or a local authority excluding the following services
(i) services by the Department of Posts by way of speed post, express parcel post, life insurance, and
agency services provided to a person other than Government;
(ii) services in relation to an aircraft or a vessel, inside or outside the precincts of a port or an airport;
(iii) transport of goods or passengers; or
(iv) any service, other than services covered under clauses (i) to (iii) above, provided to business entities.
2. Services by the Reserve Bank of India
3. Services by a foreign diplomatic mission located in India
4. Services relating to cultivation of plants and rearing of all life forms of animals, except the rearing of
horses, for food, fibre, fuel, raw material or other similar products or agricultural produce by way of
(i) agricultural operations directly related to production of any agricultural produce including
cultivation, harvesting, threshing, plant protection or testing or
(ii) supply of farm labour;
(iii) processes carried out at an agricultural farm including tending, pruning, cutting, harvesting,
drying, cleaning, trimming, sun drying, fumigating, curing, sorting, grading, cooling or bulk
packaging and such like operations which do not alter the essential characteristics of agricultural
produce but make it only marketable for the primary market;
(iv) renting or leasing of agro machinery or vacant land with or without a structure incidental to its use;
(v) loading, unloading, packing, storage or warehousing of agricultural produce;
(vi) agricultural extension services;
(vii) services by any Agricultural Produce Marketing Committee or Board or services provided by a
commission agent for sale or purchase of agricultural produce.
5. Service by way of access to a road or a bridge on payment of toll charges
6. Transmission or distribution of electricity by an electricity transmission or distribution utility
Sl.
Services
No.
7. Services by way of renting of residential dwelling for use as residence
8. Services by way of
(i) extending deposits, loans or advances in so far as the consideration is represented by way of interest
or discount (other than interest involved in credit card services);
(ii) inter se sale or purchase of foreign currency amongst banks or authorised dealers of foreign
exchange or amongst banks and such dealers;
9. Services by way of transportation of goods
(i) by road except the services of
(A) a goods transportation agency; or
(B) a courier agency;
(ii) by inland waterways;
10. Services provided to the United Nations or a specified international organization.
Exemption may be notified by way of issuing notification under section 55 of CGST/SGST Act.
11. Services provided by operators of the Common Bio-medical Waste Treatment Facility to a clinical
establishment by way of treatment or disposal of bio-medical waste or the processes incidental thereto;
12. Services by a veterinary clinic in relation to health care of animals or birds;
13. Services by an entity registered under section 12AA of the Income tax Act, 1961 (43 of 1961) by way of
charitable activities;[Charitable activities may be defined as presently in notification No 25/2012-ST.
14. Services by a specified organisation in respect of a religious pilgrimage facilitated by the Ministry of
External Affairs of the Government of India, under bilateral arrangement;
15. Services provided by-
(a) an arbitral tribunal to -
(i) any person other than a business entity; or
(ii) a business entity with a turnover up to rupees twenty lakh (ten lakh rupees in a special category state)
in the preceding financial year;
Sl.
Services
No.
(b) a partnership firm of advocates or an individual as an advocate other than a senior advocate, by way of
legal services to-
(i) an advocate or partnership firm of advocates providing legal services;
(ii) any person other than a business entity; or
(iii) a business entity with a turnover up to rupees twenty lakh (ten lakh rupees in a special category state) in
the preceding financial year; or
(c) a senior advocate by way of legal services to-

(i) any person other than a business entity; or
(ii) a business entity up to rupees twenty lakh (ten lakh rupees in a special category state) in the preceding
financial year;
16. Services provided,-

(a) by an educational institution to its students, faculty and staff;
(b) to an educational institution, by way of,-
(i) transportation of students, faculty and staff;
(ii) catering, including any mid-day meals scheme sponsored by the Government;
(iii) security or cleaning or house-keeping services performed in such educational institution;
(iv)services relating to admission to, or conduct of examination by, such institution;
upto higher secondary.
Provided that nothing contained in clause (b) of this entry shall apply to an educational institution other
than an institution providing services by way of pre-school education and education up to higher
secondary school or equivalent
17. Services provided by the Indian Institutes of Management, as per the guidelines of the Central
Government, to their students, by way of the following educational programmes, except Executive
Development Programme, -
(a) two year full time residential Post Graduate Programmes in Management for the Post Graduate
Sl.
Services
No.
Diploma in Management, to which admissions are made on the basis of Common Admission Test
(CAT), conducted by Indian Institute of Management;
(b) fellow programme in Management;
(c) five year integrated programme in Management.
18. Services provided to a recognized sports body by-
(a) an individual as a player, referee, umpire, coach or team manager for participation in a sporting event
organized by a recognized sports body;
(b) another recognised sports body;
19. Services by an artist by way of a performance in folk or classical art forms of (i) music, or (ii)dance, or
(iii)theatre, if the consideration charged for such performance is not more than one lakh and fifty
thousand rupees:
Provided that the exemption shall not apply to service provided by such artist as a brand ambassador;
20. Services by way of collecting or providing news by an independent journalist, Press Trust of India or
United News of India;
21. Services by way of giving on hire -
(a) to a state transport undertaking, a motor vehicle meant to carry more than twelve passengers; or
(b) to a goods transport agency, a means of transportation of goods;
22. Transport of passengers, with or without accompanied belongings, by -
(a) air, embarking from or terminating in an airport located in the state of Arunachal Pradesh, Assam,
Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, or Tripura or at Bagdogra located in West Bengal;
(b) non-airconditioned contract carriage other than radio taxi, for transportation of passengers, excluding
tourism, conducted tour, charter or hire; or
(c) stage carriage other than air-conditioned stage carriage
23. Services of life insurance business provided by way of annuity under the National Pension System
regulated by Pension Fund Regulatory and Development Authority of India (PFRDA) under the Pension
Fund Regulatory And Development Authority Act, 2013 (23 of 2013)
Sl.
Services
No.
24. Services of life insurance business provided or agreed to be provided by the Army, Naval and Air Force
Group Insurance Funds to members of the Army, Navy and Air Force, respectively, under the Group
Insurance Schemes of the Central Government
25. Services provided by an incubatee up to a total turnover of fifty lakh rupees in a financial year subject to
the following conditions, namely:-
(a) the total turnover had not exceeded fifty lakh rupees during the preceding financial year; and
(b) a period of three years has not been elapsed from the date of entering into an agreement as
an incubatee;
26. Service by an unincorporated body or a non- profit entity registered under any law for the time being in
force, to its own members by way of reimbursement of charges or share of contribution -
(a) as a trade union;
(b) for the provision of carrying out any activity which is exempt from the levy of GST; or
(c) up to an amount of five thousand rupees per month per member for sourcing of goods or services
from a third person for the common use of its members in a housing society or a residential complex;
27. Services by an organiser to any person in respect of a business exhibition held outside India;
28. Services by way of slaughtering of animals;
29. Services received from a provider of service located in a non- taxable territory by -
(a) Government, a local authority, a governmental authority or an individual in relation to any purpose
other than commerce, industry or any other business or profession;
(b) an entity registered under section 12AA of the Income tax Act, 1961 (43 of 1961) for the purposes of
providing charitable activities; or
(c) a person located in a non-taxable territory;
Provided that the exemption shall not apply to
(i) online information and database access or retrieval services received by persons specified in clause (a)or
clause (b); or
Sl.
Services
No.
(ii) services by way of transportation of goods by a vessel from a place outside India up to the customs
station of clearance in India received by persons specified in clause (c);
30. Services of public libraries by way of lending of books, publications or any other knowledge-enhancing
content or material;
31. Services by Employees State Insurance Corporation to persons governed under the Employees
Insurance Act, 1948 (34 of 1948);
32. Services by way of transfer of a going concern, as a whole or an independent part thereof;
33. Services by way of public conveniences such as provision of facilities of bathroom, washrooms, lavatories,
urinal or toilets;
34. Services by government, local authority or governmental authority by way of any activity in relation to any
function entrusted to a municipality under Article 243 W of the Constitution.
35. Services received by the Reserve Bank of India, from outside India in relation to management of foreign
exchange reserves;
36. Services provided by a tour operator to a foreign tourist in relation to a tour conducted wholly outside
India.
37. Services by way of pre-conditioning, pre-cooling, ripening, waxing, retail packing, labelling of fruits and
vegetables which do not change or alter the essential characteristics of the said fruits or vegetables;
38. Services by way of admission to a museum, national park, wildlife sanctuary, tiger reserve or zoo;
39. Services provided by Government or a local authority to a business entity with a turnover up to rupees twenty lakh
(ten lakh rupees in a special category state) in the preceding financial year.
Explanation.- For the purposes of this entry, it is hereby clarified that the provisions of this entry shall not
be applicable to (a) services at S. No. 1 (i), (ii)and (iii); and
(b) services by way of renting of immovable property;
40. Services provided by Employees Provident Fund Organisation (EPFO) to persons governed under the
Sl.
Services
No.
Employees Provident Funds and Miscellaneous Provisions Act, 1952 (19 of 1952);
41. Services provided by Insurance Regulatory and Development Authority of India (IRDA) to insurers under
the Insurance Regulatory and Development Authority of India Act, 1999 (41 of 1999);
42. Services provided by Securities and Exchange Board of India (SEBI) set up under the Securities and
Exchange Board of India Act, 1992 (15 of 1992) by way of protecting the interests of investors in securities
and to promote the development of, and to regulate, the securities market;
43. Services provided by National Centre for Cold Chain Development under Ministry of Agriculture,
Cooperation and Farmers Welfare by way of cold chain knowledge dissemination;
44. Services by way of transportation of goods by an aircraft from a place outside India upto the customs
station of clearance in India.
45. Services provided by Government or a local authority to another Government or local authority:
Provided that nothing contained in this entry shall apply to services at S. No. 1 (i), (ii)and (iii) above
46. Services provided by Government or a local authority by way of issuance of passport, visa, driving licence,
birth certificate or death certificate.
47. Services provided by Government or a local authority by way of tolerating non-performance of a
contract for which consideration in the form of fines or liquidated damages is payable to the Government
or the local authority under such contract;
48. Services provided by Government or a local authority by way of- (a) registration required under any law for
the time being in force; (b) testing, calibration, safety check or certification relating to protection or safety
of workers, consumers or public at large, including fire license, required under any law for the time being
in force;
49. Services provided by Government or a local authority by way of assignment of right to use natural
resources to an individual farmer for cultivation of plants and rearing of all life forms of animals, except
the rearing of horses, for food, fibre, fuel, raw material or other similar products;
50. Services by Government, a local authority or a governmental authority by way of any activity in relation to
any function entrusted to a Panchayat under article 243G of the Constitution:
Sl.
Services
No.
this shall be continued by way of notification undersection 7(2)(b) of CGST/SGST Acts.
51. Services provided by Government or a local authority by way of assignment of right to use any natural
resource where such right to use was assigned by the Government or the local authority before the
1st April, 2016:
Provided that the exemption shall apply only to service tax payable on one time charge payable, in full
upfront or in installments, for assignment of right to use such natural resource;
52. Services provided by Government or a local authority by way of allowing a business entity to operate as a
telecom service provider or use radiofrequency spectrum during the period prior to 1st April, 2016, on
payment of licence fee or spectrum user charges, as the case may be;
53. Services provided by Government by way of deputing officers after office hours or on holidays for
inspection or container stuffing or such other duties in relation to import export cargo on payment of
Merchant Overtime charges (MOT).
54. Services by an acquiring bank, to any person in relation to settlement of an amount upto two thousand
rupees in a single transaction transacted through credit card, debit card, charge card or other payment
card service.
Explanation. For the purposes of this entry, acquiring bank means any banking company, financial
institution including non-banking financial company or any other person, who makes the payment to any
person who accepts such card
55. Services of leasing of assets (rolling stock assets including wagons, coaches, locos) by Indian Railways
Finance Corporation to Indian Railways
56. Services provided by any person for official use of a foreign diplomatic mission or consular post in India or
for personal use or for the use of the family members of diplomatic agents or career consular officers
posed therein. This exemption is available on reciprocal basis based on a certificate issued by MEA
(Protocol Division):
this shall be continued by way of notification under section 55 of CGST/SGST Acts.
Sl.
Services
No.
57. Taxable services, provided or to be provided, by a Technology Business Incubator (TBI) or a Science and
Technology Entrepreneurship Park (STEP) recognized by the National Science and Technology
Entrepreneurship Development Board (NSTEDB) of the Department of Science and Technology,
Government of India or bio-incubators recognized by the Biotechnology Industry Research Assistance
Council, under Department of Biotechnology, Government of India;
58. Taxable service provided by State Government Industrial Development Corporations/ Undertakings to
industrial units by way of granting long term (thirty years, or more) lease of industrial plots from so much
of tax leviable thereon, as is leviable on the one time upfront amount (called as premium, salami, cost,
price, development charges or by any other name) payable for such lease.
59. Services provided to the government by way of transport of passengers with or without accompanied
belongings, by air, embarking from or terminating at a regional connectivity scheme airport, against
consideration in the form of viability gap funding (VGF).
Provided that nothing contained in this entry shall apply on or after the expiry of a period of 1 year from
the date of commencement of operations of the regional connectivity scheme airport as notified by the
Ministry of Civil Aviation
60. Services provided by cord blood banks by way of preservation of stem cells or any other service in relation
to such preservation;
61. Services by way of training or coaching in recreational activities relating to,-
(i) arts or culture. or
(ii) sports by charitable entities registered under section 12AA of Income tax Act, 1961;
62. Any services provided by, _
(i) the National Skill Development Corporation set up by the Government of India;
(ii) a Sector Skill Council approved by the National Skill Development Corporation;
(iii) an assessment agency approved by the Sector Skill Council or the National Skill Development
Corporation;
(iv) a training partner approved by the National Skill Development Corporation or the Sector Skill
Sl.
Services
No.
Council
in relation to
(a) the National Skill Development Programme implemented by the National Skill Development
Corporation; or
(b) a vocational skill development course under the National Skill Certification and Monetary Reward
Scheme; or
(c) any other Scheme implemented by the National Skill Development Corporation.
63. Services of assessing bodies empanelled centrally by Directorate General of Training, Ministry of Skill
Development and Entrepreneurship by way of assessments under Skill Development Initiative (SDI)
Scheme
64. Services provided by training providers (Project implementation agencies) under Deen Dayal Upadhyaya
Grameen Kaushalya Yojana under the Ministry of Rural Development by way of offering skill or vocational
training courses certified by National Council For Vocational Training.
65. Services by way of sponsorship of sporting events organised,-
(a) by a national sports federation, or its affiliated federations, where the participating teams or
individuals represent any district, State, zone or Country;
(b) by Association of Indian Universities, Inter-University Sports Board, School Games Federation of India,
All India Sports Council for the Deaf, Paralympic Committee of India or Special Olympics Bharat;
(c) by Central Civil Services Cultural and Sports Board;
(d) as part of national games, by Indian Olympic Association; or
(e) under Panchayat Yuva Kreeda Aur Khel Abhiyaan (PYKKA) Scheme;
66. Services provided by way of pure labour contracts of construction, erection, commissioning, installation,
completion, fitting out, repair, maintenance, renovation, or alteration of a civil structure or any other
original works pertaining to the Beneficiary-led individual house construction / enhancement under the
Housing for All (Urban) Mission/Pradhan Mantri Awas Yojana (PMAY);
67. Services by way of pure labour contracts of construction, erection, commissioning, or installation of
Sl.
Services
No.
original works pertaining to a single residential unit otherwise than as a part of a residential complex;
68. Services of general insurance business provided under following schemes -
(a) Hut Insurance Scheme;
(b) Cattle Insurance under Swarnajaynti Gram Swarozgar Yojna (earlier known as Integrated Rural
Development Programme);
(c) Scheme for Insurance of Tribals;
(d) Janata Personal Accident Policy and Gramin Accident Policy;
(e) Group Personal Accident Policy for Self-Employed Women;
(f) Agricultural Pumpset and Failed Well Insurance;
(g) Premia collected on export credit insurance;
(h) Weather Based Crop Insurance Scheme or the Modified National Agricultural Insurance Scheme,
approved by the Government of India and implemented by the Ministry of Agriculture;
(i) Jan Arogya Bima Policy;
(j) National Agricultural Insurance Scheme (Rashtriya Krishi Bima Yojana);
(k) Pilot Scheme on Seed Crop Insurance;
(l) Central Sector Scheme on Cattle Insurance;
(m) Universal Health Insurance Scheme;
(n) Rashtriya Swasthya Bima Yojana; or
(o) Coconut Palm Insurance Scheme;
(p) Pradhan Mantri Suraksha BimaYojna;
(q) Niramaya Health Insurance Scheme implemented by Trust constituted under the provisions of the
National Trust for the Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation and Multiple
Disabilities Act, 1999 (44 of 1999); or
(r) Any other insurance scheme of the State Government as may be notified by Government of India on the
recommendation of GSTC.
69. Services of life insurance business provided under following schemes -
Sl.
Services
No.
(a) Janashree Bima Yojana (JBY); or
(b) Aam Aadmi Bima Yojana (AABY);
(c) Life micro-insurance product as approved by the Insurance Regulatory and Development Authority,
having maximum amount of cover of fifty thousand rupees;
(d) Varishtha Pension BimaYojana;
(e) Pradhan Mantri Jeevan JyotiBimaYojana;
(f) Pradhan Mantri Jan DhanYogana;
(g) Pradhan Mantri Vaya Vandan Yojana; and
(h) Any other insurance scheme of the State Government as may be notified by Government of India on the
recommendation of GSTC.
70. Services by way of collection of contribution under Atal Pension Yojana (APY).
71. Services by way of collection of contribution under any pension scheme of the State Governments.
72. Service of transportation of passengers, with or without accompanied belongings, by
(i) railways in a class other than
(A) first class; or
(B) an air-conditioned coach;
(ii) metro, monorail or tramway;
(iii) inland waterways;
(iv) public transport, other than predominantly for tourism purpose, in a vessel between places located
in India; and
(v) metered cabs or auto rickshaws (including E-rickshaws);
73. Services by a person by way of-
(a) conduct of any religious ceremony;
(b) renting of precincts of a religious place meant for general public, owned or managed by an entity
registered as a charitable or religious trust under section 12AA of the Income-tax Act, 1961
(hereinafter referred to as the Income-tax Act), or a trust or an institution registered under sub
clause (v) of clause (23C) of section 10 of the Income-tax Act or a body or an authority covered
Sl.
Services
No.
under clause (23BBA) of section 10 of the Income-tax Act:
Provided that nothing contained in (b) of this exemption shall apply to,-
(i) renting of rooms where charges are Rs 1000/- or more per day;
(ii) renting of premises, community halls, kalyanmandapam or open area, etc where charges are Rs
10,000/- or more per day;
(iii) renting of shops or other spaces for business or commerce where charges are Rs 10,000/-or
more per month.
74. Services by a hotel, inn, guest house, club or campsite, by whatever name called, for residential or lodging
purposes, having declared tariff of a unit of accommodation less than one thousand rupees per day or
equivalent;
75. Services by way of transportation by rail or a vessel from one place in India to another of the following
goods -
(a) relief materials meant for victims of natural or man-made disasters, calamities, accidents or mishap;
(b) defence or military equipments;
(c) newspaper or magazines registered with the Registrar of Newspapers;
(d) railway equipments or materials;
(e) agricultural produce;
(f) milk, salt and food grain including flours, pulses and rice; and
(g) organic manure
76. Services provided by a goods transport agency, by way of transport in a goods carriage of,-
(a) agricultural produce;
(b) goods, where gross amount charged for the transportation of goods on a consignment transported in a
single carriage does not exceed one thousand five hundred rupees;
(c) goods, where gross amount charged for transportation of all such goods for a single consignee does not
exceed rupees seven hundred fifty;
(d) milk, salt and food grain including flour, pulses and rice;
Sl.
Services
No.
(e) organic manure;
(f) newspaper or magazines registered with the Registrar of Newspapers;
(g) relief materials meant for victims of natural or man-made disasters, calamities, accidents or mishap; or
(h) defence or military equipments;
77. Services by the following persons in respective capacities -
(a) business facilitator or a business correspondent to a banking company with respect to accounts in its
rural area branch;
(b) any person as an intermediary to a business facilitator or a business correspondent with respect to
services mentioned in clause (g); or
(c) business facilitator or a business correspondent to an insurance company in a rural area;
78. Carrying out an intermediate production process as job work in relation to cultivation of plants and
rearing of all life forms of animals, except the rearing of horses, for food, fibre, fuel, raw material or other
similar products or agricultural produce;
79. Services by way of loading, unloading, packing, storage or warehousing of rice;
80. Services by way of right to admission to, -
(i) circus, dance, or theatrical performance including drama or ballet;
(ii) award function, concert, pageant, musical performance or any sporting event other than a recognized
sporting event;
(iii) recognised sporting event;
where the consideration for admission is not more than Rs 250 per person in (i), (ii) and (iii) above.
81. Services provided by Government or a local authority where the gross amount charged for such services
does not exceed Rs.5000/.
Provided that nothing contained in this entry shall apply to services S. No. 1 (i), (ii)and (iii) above:
Provided further that in case where continuous supply of service, as defined in sub-section (33) of
section2 of the CGST Act, 2017, is provided by the Government or a local authority, the exemption shall
apply only where the gross amount charged for such service does not exceed Rs. 5000/- in a financial
Sl.
Services
No.
year; [This may be continued by way of an omnibus threshold exemption from payment of GST under
section 9 (4) of CGST/SGST Act in respect of supplies upto Rs 10,000/-].
82. (i) Health care services by a clinical establishment, an authorised medical practitioner or para-medics;
(ii) Services provided by way of transportation of a patient in an ambulance, other than those specified in
(i) above;
83. New Exemption:
Services provided by the Goods and Services Tax Network (GSTN) to the Central Government or State
Governments/Union Territories for implementation of Goods and Services Tax (GST)
Decisions in regard to Services taken by the GST Council in the 16th meeting held on 11th of June 2017
1. In the list of service tax exemptions to be continued in GST as approved by the GST Council, after S.No.
83, the following shall be inserted
Sl. No. Proposal/ request
84. Pure services (excluding works contract service or other composite supplies involving supply of
any goods) provided to Government, a local authority or a Governmental authority by way of any
activity in relation to any function entrusted to a Panchayat under Article 243G of the Constitution
or to any function entrusted to a Municipality under Article 243W of the Constitution
85. Services provided to the Government under any insurance scheme for which total premium is paid
by Government
86. Services provided to the Government under any training programme for which total expenditure is
borne by the Government
2. In the schedule of GST Rates for Services as approved by the GST Council, after S.No. 13, the following
shall be inserted
Sl. No. Description of Services GST Rate

13A Services by way of job work in relation to
a) Textile yarns (other than man-made fibre/filament) & textile fabrics
b) Cut and polished diamonds; precious and semi-precious stones, or plain and
5% with
studded jewellery of gold and other precious metals, falling under chapter 71
Full ITC
of HSN
c) Printing of books (including braille books), journals and periodicals
d) Processing of leather
27A Services by way of right to admission to exhibition of cinematographic films where 18% with
the consideration for admission is Rs. 100 or less. Full ITC
3. Exemption from registration under section 23(2) of the CGST Act 2017 of
1. Individual advocates (including senior advocates)
2. Individual sponsorship service providers (including players)
SERVICES UNDER REVERSE CHARGE AS APPROVED BY GST COUNCIL
The fitment of rates of services were discussed on 19 May 2017 during the 14 th GST Council meeting held at Srinagar, Jammu &
Kashmir. The Council has broadly approved the GST rates for services at Nil, 5%, 12%, 18% and 28%. The list of services that will
be under reverse charge as approved by the GST Council is given below. The information is being uploaded immediately after the
GST Councils decision and it will be subject to further vetting during which the list may undergo some changes. The decisions of the
GST Council are being communicated for general information and will be given effect to through gazette notifications which shall
have force of law.
Percentage of
Percentage
service tax
of service
Sl. Provider payable by any
Service tax payable Recipient of Service
No. of service person other
by service
than the
provider
service provider
1. Taxable services provided or Any person Any person located in the
agreed to be provided by any who is located taxable territory other than
person who is located in a in a non- non-assessee online recipient
non-taxable territory and taxable (Business Recipient)
Nil 100%
received by any person territory
located in the taxable territory
other than non-assessee
online recipient (OIDAR)
2. Services provided or agreed to Goods (a) any factory registered under
be provided by a goods Transport or governed by the Factories
transport agency (GTA) in Agency (GTA) Act, 1948;
respect of transportation of Nil 100%
(b) any society registered under
goods by road the Societies Registration Act,
1860 or under any other law
for the time being in force in
Percentage of
Percentage
service tax
of service
by service
than the
provider
service provider
any part of India;
(c) any co-operative society
established by or under any
law;
(d) any person registered under
CGST/SGST/UTGST Act;
(e) any body corporate
established, by or under any
law; or
(f) any partnership firm whether
registered or not under any
law including association of
persons.
(g) Casual taxable person
3. Services provided or agreed to An individual Any business entity.
be provided by an individual advocate or
advocate or firm of advocates firm of Nil 100%
by way of legal services, advocates
directly or indirectly
4. Services provided or agreed to An arbitral Any business entity.
be provided by an arbitral tribunal Nil 100%
tribunal
Percentage of
Percentage
service tax
of service
by service
than the
provider
service provider
5. Sponsorship services Any person Anybody corporate or
Nil partnership firm. 100%
Services provided or agreed to Government Any business entity.

6. be provided by Government or or local
local authority excluding, - authority
(1) renting of immovable
property, and
(2) services specified below-
(i) services by the
Department of Posts by
way of speed post,
express parcel post, life Nil 100%
insurance, and agency
services provided to a
person other than
Government;
(ii) services in relation to an
aircraft or a vessel,
inside or outside the
precincts of a port or an
airport;
Percentage of
Percentage
service tax
of service
by service
than the
provider
service provider
(iii) transport of goods or
passengers.
7. Services provided or agreed to A director of a A company or a body corporate.
be provided by a director of a company or a
company or a body corporate body Nil 100%
to the said company or the corporate
body corporate;
8. Services provided or agreed to An insurance Any person carrying on
be provided by an insurance agent insurance business.
Nil 100%
agent to any person carrying
on insurance business
9. Services provided or agreed to A recovery A banking company or a
be provided by a recovery agent financial institution or a non-
agent to a banking company banking financial company.
Nil 100%
or a financial institution or a
non-banking financial
company
10. Services by way of A person Importer as defined under
transportation of goods by a located in clause (26) of section 2 of the
vessel from a place outside non-taxable Nil Customs Act, 1962. 100%
India up to the customs territory to a
station of clearance in India person
Percentage of
Percentage
service tax
of service
by service
than the
provider
service provider
located in
non-taxable
territory
11. Transfer or permitting the use
Author or Publisher, Music company,
or enjoyment of a copyright
music Producer
covered under clause (a) of
composer,
sub-section (1) of section 13
photographer,
NIL 100%
of the Copyright Act, 1957artist, etc.
relating to original literary,
dramatic, musical or artistic
works
12. Radio taxi or Passenger Taxi driver or 100% by
Any person
Transport Services provided Rent a cab Electronic
Nil
through electronic commerce operator Commerce
operator Operator
****

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2017

Law stated in this book is as amended up-to 3rd June, 2017

345, Tower A, K10 Atlantis, Sarabhai Main Road, Vadodara

All disputes are subject to Vadodara jurisdiction only.

1 Overview of Goods and Services Tax (GST) 01

1. Overview of Goods and Services Tax

Ans. It is a destination based tax on consumption of goods

Q 2. What exactly is the concept of destination based

Ans. The tax would accrue to the taxing authority which

Q 3. Which of the existing taxes are proposed to be

Ans. The GST would replace the following taxes:

(i) taxes currently levied and collected by the Centre:

e. Additional Duties of Customs (commonly known

(ii) State taxes that would be subsumed under the GST

The GST Council shall make recommendations to the Union

Q 4. What principles were adopted for subsuming

Ans. The various Central, State and Local levies were

or on the supply of services.

(ii) Taxes or levies to be subsumed should be part of

(iii) The subsumation should result in free flow of tax

Ans. Article 366(12A) of the Constitution as amended by

Q 6. What will be the status in respect of taxation of

Ans. The existing taxation system (VAT & Central Excise)

Q 7. What will be status of Tobacco and Tobacco

Ans. Tobacco and tobacco products would be subject to

Ans. It would be a dual GST with the Centre and States

Ans. India is a federal country where both the Centre and

Q 11. Why was the Constitution of India amended

Currently, the fiscal powers between the Centre and the

Introduction of the GST required amendments in the

Q 12. How a particular transaction of goods

of CGST, SGST would be chargeable only when the supplier

Illustration II: Suppose, again hypothetically, that the

his purchase (say, of inputs such as stationery, office

Q 13. What are the benefits which the Country will

Ans. Introduction of GST would be a very significant step in

Ans. Under the GST regime, an Integrated GST (IGST)

the Goods and Services Tax Council.

Ans. The CGST and SGST would be levied at rates to be

Ans. A GST Council would be constituted comprising the

(iii) the date on which the GST shall be levied on

(viii) special provision with respect to the North-

Q 16. What is the guiding principle of GST Council?

Ans. The mechanism of GST Council would ensure

Q 17. How will decisions be taken by GST Council?

Ans. The Constitution (one hundred and first amendment)

Q 18. Who is liable to pay GST under the proposed

Ans. Under the GST regime, tax is payable by the taxable

Q 19. What are the benefits available to small tax

Ans. Tax payers with an aggregate turnover in a financial

[Aggregate turnover shall include the aggregate value of

Q 20. How will the goods and services be classified

Ans. HSN (Harmonised System of Nomenclature) code

Taxpayers whose turnover is above Rs. 1.5 crores but below

Services will be classified as per the Services Accounting

Q 21. How will imports be taxed under GST?

Ans. Imports of Goods and Services will be treated as

Ans. Exports will be treated as zero rated supplies. No tax

Ans. Small taxpayers with an aggregate turnover in a

rate of tax for CGST and SGST/UTGST shall not be less

Ans. GSTN stands for Goods and Service Tax Network

The GSTN is developing a common GST portal and

Q 26. How are the disputes going to be resolved

Ans. The Constitution (one hundred and first amendment)