GST applicability on Electricity

[N Balachandran]

Sir,

The Electrical Energy Produced through Wind Mills, Solar Power & Thermal Power is subject to GST or not? if presume that, Electrical Energy is out of GST and not required to pay GST on sale of Energy. My understanding is correct or not? please confirm

regards

N.Balachandran

[KASTURI SETHI]

Your understanding is correct.

[yateen vyas]

We are purchasing electricity by a power company for that we are having a middle agency who is helping us in power purchase,right we are paying service tax on it for liasioning under business support do we need to pay in GST also.

AI Summary

GST applicability on electricity: supply of electrical energy treated outside GST, query on intermediary services follows. The forum exchange states that electrical energy produced from wind, solar and thermal sources is not subject to GST, confirming that sale of such energy is outside GST. It also raises a distinct question whether intermediary or liaisoning services used to procure power-previously attracting service tax as business support-will be subject to GST, thereby separating the non-taxable character of the electricity supply from potential GST on facilitation services.