TaxTMI 
TaxTMI 
Dear Sir/ Madam
What is the SAC code for renting of Cranes, Hydras,Forklifts with operator and the gst rate applicable to it , read with Notification 20/2019 Central Tax (Rate) dated 30.09.2019 wef 1.10.2019?
RENTING OF MACHINERY AND EQUIPMENTS WITH OPERATOR
22 Jun 2020 
12 Replies 
54207 Views Asked by
Classification of renting machinery with operator: treatment affects GST heading, rate parity with supply of like goods applies.
Renting of construction machinery with operator may be classified either as transport rental services or as leasing/rental of goods with operator; despite amendment removing explicit "with or" wording for some headings, exclusion wording suggests rentals with operator remain within certain subitems. When treated as leasing/rental of goods with operator, the GST rate and any compensation cess follow the rate applicable to the supply of like goods, and Schedule II may govern treatment depending on contract terms. The amendments and inconsistent annexure/explanatory notes create classification ambiguity. (AI Summary)
Renting of construction machinery with operator may be classified either as transport rental services or as leasing/rental of goods with operator; despite amendment removing explicit "with or" wording for some headings, exclusion wording suggests rentals with operator remain within certain subitems. When treated as leasing/rental of goods with operator, the GST rate and any compensation cess follow the rate applicable to the supply of like goods, and Schedule II may govern treatment depending on contract terms. The amendments and inconsistent annexure/explanatory notes create classification ambiguity. (AI Summary)