TaxTMI 
TaxTMI 
The Notification No. 6/2022-Central Tax (Rate) date 13th July 2022, is covering Rice and other food grains or not?
GST on Rice
14 Jul 2022 
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Pre-packaged and labelled goods: GST now applies to retail-packaged rice and grains, raising scope and compliance questions.
The amendment substitutes the exemption for goods put up in unit containers bearing a registered brand name with "pre-packaged and labelled", bringing within GST packaged rice and grains that meet the Legal Metrology definition of pre-packed commodities requiring mandatory declarations. Consequently, retail-style or repackaged smaller packets of rice carrying the mandatory metrology declarations are treated as taxable, while practical uncertainties remain concerning package-size thresholds, wholesale pack treatment, agri-produce exceptions and the applicable GST rate. (AI Summary)
The amendment substitutes the exemption for goods put up in unit containers bearing a registered brand name with "pre-packaged and labelled", bringing within GST packaged rice and grains that meet the Legal Metrology definition of pre-packed commodities requiring mandatory declarations. Consequently, retail-style or repackaged smaller packets of rice carrying the mandatory metrology declarations are treated as taxable, while practical uncertainties remain concerning package-size thresholds, wholesale pack treatment, agri-produce exceptions and the applicable GST rate. (AI Summary)