GST applicability on sale of residue from food industry
Sir
Whether GST applicable on residue from food industry which is used for cattle feed.
GST on Barley Waste: Exempt if Classified as Feed Supplement (HSN 2309); 5% Tax if Alcohol Byproduct A query was raised regarding the applicability of GST on residue from the food industry used as cattle feed. The discussion involved multiple contributors who debated whether such residue, specifically barley waste, is taxable under GST. It was noted that GST applicability depends on the product's classification under the HSN code. If the residue is classified as a feed supplement under HSN 2309, it is exempt from GST. However, if it is a byproduct from the alcoholic beverage industry, it may be subject to a 5% GST. The consensus leaned towards the necessity of detailed product classification to determine tax liability. (AI Summary)
Goods and Services Tax - GST