TaxTMI 
07 Nov 2026 
CBIC has issued several Notifications, Circulars and Instructions post 57th GST Council meeting held on 8th October, 2026 to implement its decisions. Notifications Nos. 3 to 7 (Central Tax) and Notification Nos. 2 to 10 Central Tax (Rate) have since been issued on 26/27 October, 2026 with corresponding Notifications in UT / IGST laws. Rate Notifications relate to rates of tax on fertilizers & tyres, exemption to psyllium seeds, reverse charge on specified waste and scrap items, scope of nominated agency, changes in rate and ITC conditions for specified services (accommodation, renting) and Ecom operators etc.
CBIC has issued the following Notifications 02 to 10/2026- Central Tax (Rate) to make necessary changes for implementation of recommendations of 57th GST Council meeting including amendment in GST Rules, 2017
Similar Notifications have been issued under Union Territory and Integrated GST laws.
Gist of New Notifications No. 02 to 10/2026-Central Tax (Rate)
Amendment in GST Rates on Fertilisers and Tyres
The CBIC has amended Notification No. 09/2025-Central Tax (Rate) dated 17.09.2025, introducing the following changes in GST rates:
1. Fertilisers and Bio-stimulants - 5% GST
The entry covering pre-packaged and labelled animal or vegetable fertilisers and organic fertilisers has been revised to expressly include seaweed extract-based bio-stimulants registered under Schedule VI to the Fertiliser (Inorganic, Organic or Mixed) (Control) Order, 1985.
2. Retreaded Tractor Tyres - 5% GST
Retreaded tractor tyres falling under tariff heading 4012 have been specifically included in Schedule I, attracting GST at 5%.
3. Other Retreaded and Used Tyres - 18% GST
Retreaded or used pneumatic rubber tyres, other than retreaded tractor tyres, along with solid or cushion tyres, tyre treads and tyre flaps of rubber, continue to attract GST at 18% under Schedule II.
Effective Date: 1 November 2026.
(Source: Notification No. 02/2026-Central Tax (Rate) dated 27.10.2026)
Exemption on Psyllium Seeds (Isabgol)
The CBIC has amended Notification No. 10/2025-Central Tax (Rate) dated 17.09.2025 to extend GST exemption to Psyllium Seeds (Isabgol/Isobgol) falling under HSN 1211 90 13.
Accordingly, psyllium seeds (Isabgol) have been specifically included at Serial No. 87A in the exemption notification, making the supply of such goods exempt from GST, subject to the applicable conditions.
Effective Date: 1 November 2026
(Source: Notification No. 03/2026-Central Tax (Rate) dated 27.10.2026)
Reverse Charge Method (RCM) on Specified Waste and Scrap Supplies
The CBIC has amended Notification No. 4/2017-Central Tax (Rate) dated 28.06.2017 to bring the following goods under the Reverse Charge Mechanism (RCM):
- Used cooking oil - HSN 1518.
- Waste and scrap of plastics - HSN 3915.
- Waste and scrap of tyres - HSN 4004.
- Electrical and electronic waste and scrap - HSN 8549.
Under the amended notification, where these goods are supplied by an unregistered person to a registered person, GST shall be payable by the registered recipient under RCM, subject to the applicable provisions.
Effective Date: 1 November 2026.
Hence, registered recipients purchasing the specified goods from unregistered suppliers should review their purchase transactions and ensure appropriate RCM compliance, including payment of applicable GST and related reporting requirements.
(Source: Notification No. 04/2026-Central Tax (Rate) dated 27.10.2026)
Amendment to the Definition of "Nominated Agency"
The CBIC has amended Notification No. 26/2018-Central Tax (Rate) dated 31.12.2018.
The amendment revises the definition of "Nominated Agency" to mean entities specified in Appendix 4B of the Handbook of Procedures, as amended by the Directorate General of Foreign Trade (DGFT) from time to time.
This amendment aligns the definition under GST law with the entities recognised under the DGFT's Handbook of Procedures, including subsequent amendments.
Effective Date: 1 November 2026.
(Source: Notification No. 05/2026-Central Tax (Rate) dated 27.10.2026)
Amendments in GST rates and Input Tax Credit (ITC) conditions for specified services
The Central Government has amended Notification No. 11/2017-Central Tax (Rate) dated 28 June 2017, revising ITC conditions for specified services and introducing provisions for electrically operated vehicle services.
Key amendments:
1. Hotel accommodation services: ITC of input services in the same line of business is permitted, subject to restrictions. Where the supplier charges central tax above 2.5%, ITC is restricted to the amount corresponding to 2.5% central tax.
2. Restaurant services and catering services: Specific ITC conditions have been revised for restaurant services, railway catering, outdoor catering and composite outdoor catering with renting of premises.
3. Electric vehicle (EV) services: A concessional rate of 2.5% CGST (5% GST) has been prescribed for:
- Transportation of passengers by electrically operated vehicles, where battery-charging cost is included in the consideration.
- Renting of electrically operated vehicles designed to carry passengers, where battery-charging cost is included.
- Renting of electrically operated vehicles for transportation of goods, where battery-charging cost is included.
The concessional rate is subject to specified ITC restrictions. ITC on qualifying input services in the same line of business is permitted, but restricted to the tax corresponding to 2.5% CGST where the supplier charges a higher rate.
4. Delivery services: The entry covering specified delivery services has been revised, with a 2.5% CGST rate and a condition that ITC on goods and services used in supplying the delivery service shall not be availed.
5. Definition of Goods Transport Agency (GTA): The definition has been revised to cover a person providing services relating to the transportation of goods by road and issuing a consignment note, by whatever name called.
6. Definition of electrically operated vehicle: The term now expressly includes road vehicles running solely on electrical energy derived from an external source or fitted electrical batteries, including e-bicycles.
Effective date: 1 November 2026.
(Source: Notification No. 06/2026-Central Tax (Rate) dated 27.10.2026)
Amendments in Exemption Notification No. 12/2017-Central Tax (Rate) - Exemption to specified services
The Central Government has amended Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017, providing exemptions to certain additional services and modifying the scope of existing exemptions. The amendments shall be effective from 01.11.2026.
Key Amendments
1. Helicopter passenger transport in North-Eastern States
Exemption extended to air transport of passengers by helicopter on a seat-share basis, where the journey commences or terminates at an airport or helipad located in:
- Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim or Tripura; or
- Bagdogra, West Bengal.
2. Omission of explanation against Entry 18
The existing explanation under Entry 18 of the exemption notification has been omitted.
3. GTA services supplied through E-Commerce Operators
Exemption under Entry 21A shall not apply to services provided by a Goods Transport Agency (GTA) in relation to goods supplied through an Electronic Commerce Operator (ECO).
4. Exemption for storage and warehousing services
Entry 24B has been substituted to provide exemption to storage or warehousing services in respect of:
- Cereals;
- Pulses;
- Fruits and vegetables; and
- Seeds meant for sowing.
5. New exemption for Seamen's Provident Fund Organisation
A new Entry 31AA has been inserted to exempt services provided by the Seamen's Provident Fund Organisation to persons governed by the Seamen's Provident Fund Act, 1966.
6. Exemption for toll-related rights granted by Government
A new Entry 42A has been inserted to exempt services by way of grant of:
- Exclusive right of way or access;
- Licence; and
- Authority to demand, collect and appropriate toll fee,
provided by the Central Government, State Government, Union Territory, Local Authority, Governmental Authority or Government Entity.
7. Exemption for curing of coffee
A new Entry 54A has been inserted to exempt services relating to curing of coffee supplied to coffee cultivators.
The term curing shall have the meaning assigned under Section 3(d) of the Coffee Act, 1942.
8. Other Important Amendments
A. Revised definition of Goods Transport Agency (GTA)
The definition of GTA has been substituted to mean any person who provides services in relation to transportation of goods by road and issues a consignment note, by whatever name called.
B. Definition of Seed
A new definition of "Seed" has been inserted, covering plant material used or intended for propagation or sowing, including:
- Seeds of cereals, pulses, oilseeds, fibre crops, fodder crops and sugar crops;
- Seeds of fruits, vegetables, spices, flowers, ornamental and plantation crops; and
- Seedlings, tubers, bulbs, rhizomes, roots, cuttings, grafts, tissue culture plantlets and other planting material.
Effective from 1 November 2026
The notification expands GST exemptions for specified agricultural, horticultural, coffee-processing, maritime welfare and Government-related services while specifically excluding GTA services relating to goods supplied through ECOs from the exemption under Entry 21A.
[Source: Notification No. 07/2026-Central Tax (Rate) dated 28.10.2026]
Amendment in Notification No. 13/2017-Central Tax (Rate) - Change in Reverse Charge Mechanism (RCM) provision
The Central Government has amended Notification No. 13/2017-Central Tax (Rate) dated 28.06.2017, which specifies categories of services liable to GST under the Reverse Charge Mechanism (RCM).
Key Amendment
- Against Serial No. 15 of the Table, the figure "6" has been substituted with "9" in Column (3).
- Accordingly, the existing reference to 6 in the relevant entry has been changed to 9, thereby expanding the scope of the specified category of services covered under RCM.
Effective from 1 November 2026
The amendment is limited to substitution of the figure in Serial No. 15. The precise impact should be read with the corresponding description and conditions of Serial No. 15 of the principal notification.
[Source: Notification No. 08/2026-Central Tax (Rate) dated 28.10.2026]
Amendment in Notification No. 17/2017-Central Tax (Rate) - GST liability on delivery services provided through E-Commerce Operators
The Central Government has amended Notification No. 17/2017-Central Tax (Rate) dated 28.06.2017, which specifies categories of services supplied through Electronic Commerce Operators (ECOs) on which the ECO is liable to pay GST under Section 9(5) of the CGST Act, 2017.
Key Amendment
Clause (v) has been substituted to provide that delivery services, other than postal and courier services, supplied through an Electronic Commerce Operator shall be covered under Section 9(5), except where the person supplying such services through the ECO is liable for registration under Section 22(1) of the CGST Act, 2017.
Implication
- ECOs shall be liable to pay GST under Section 9(5) on notified delivery services supplied through their platforms, subject to the prescribed conditions.
- The exclusion applies where the actual service provider is liable for registration under Section 22(1) of the CGST Act.
- Postal and courier services continue to remain outside the scope of this specific provision.
Effective from 1 November 2026
[Source: Notification No. 09/2026-Central Tax (Rate) dated 28.10.2026]
Special procedure for payment of GST on Operation and Maintenance (O&M) services under Toll-Operate-Transfer (TOT) model
The Central Government has notified a special class of registered persons under Section 148 of the CGST Act, 2017, prescribing the time and manner of payment of GST on operation and maintenance services provided by concessionaires under the Toll-Operate-Transfer (TOT) model.
Key Provisions
1. Applicability
The special procedure applies to concessionaires under a concession agreement who provide operation and maintenance services to the concessioning authority during the concession period.
2. Time of payment of GST
The concessionaire shall pay GST on the amount charged or debited from the Escrow Account, maintained in accordance with the concession agreement, towards operation and maintenance expenses.
GST shall be payable in the tax period in which such expenditure is actually charged or debited from the Escrow Account.
3. Scope of Concession Agreement
For this notification, a Concession Agreement means an agreement under the Toll-Operate-Transfer (TOT) model whereby:
- The concessionaire is granted exclusive rights to demand, collect and appropriate toll in respect of a road or highway.
- The concessionaire is responsible for operating and maintaining the road or highway during the concession period.
- The concessionaire is required to pay the concession fee upfront.
4. Concessioning Authority
The term includes the Central Government, State Government, Union Territory, Local Authority, Governmental Authority or Government Entity entering into the concession agreement.
Effective from 1 November 2026
The notification prescribes a specific GST payment mechanism for concessionaires operating under the TOT model, linking the payment of GST on O&M services to the amount actually charged or debited from the Escrow Account during the relevant tax period.
[Source: Notification No. 10/2026-Central Tax (Rate) dated 28.10.2026]