Applicability of GST on Ginning and Pressing Charges

[Krishna Murthy]

Whether Ginning and Pressing Charges attract GST. By Ginning it means Raw Cotton obtained as Agl produce is put to process to separate Cotton Seed and Cotton from Raw Cotton. For this process to be done is normally undertaken by factories doing exclusively this separation process by charging Job Work Charges. Later the ginned cotton being very bulky for transport is pressed into bales for easy transport and this process is known as Pressing and and this is also done by the said factory on job work basis. Here there would be involvement of some packing material. Does these two activities attract GST. Does those come under any of the exemption in the Notification No 12/2017 Central Tax Rate.

Likewise, charges are also collected for separating Rice from Paddy known as Hulling. Whether the hulling charges attract GST

AI Summary

Clarification Sought on GST Applicability for Ginning, Pressing Raw Cotton, and Hulling Rice per Notification No. 12/2017 A discussion forum participant inquired about the applicability of GST on ginning and pressing charges for processing raw cotton and hulling charges for separating rice from paddy. The query seeks to determine if these activities, typically conducted on a job work basis, are subject to GST or fall under any exemptions specified in Notification No. 12/2017 Central Tax Rate. Two replies were received, with one respondent asking if the issue was clarified, and the original poster confirming that clarification had not yet been obtained.