TaxTMI 
TaxTMI 
Clarification regarding GST rates & classification (goods) based on the recommendations of the GST Council in its 45th meeting held on 17th September,2021 at Lucknow
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.... on Tamarind seeds; iii.Coconut vs Copra; iv.Classification and applicable GST rate on Pure henna powder and leaves, having no additives; v. Scented sweet supari and flavored and coated illaichi; vi.Classification of Brewers' Spent Grain (BSG), Dried Distillers' Grains with Soluble [DDGS] and other such residues and applicable GST rate; vii.GST rates on goods [miscellaneous pharmaceutical products] falling under heading 3006; viii.Applicability of GST rate of 12% on all laboratory reagents and other goods falling under heading 3822; ix.Requirement of Original/ import Essentiality certificate, issued by the Directorate General of Hydrocarbons (DGH) on each inter-State stock transfer of goods imported at concessional GST rate for petroleum operations; x. External batteries sold along with UPS Systems/ Inverter; xi.Specified Renewable Energy Projects; xii.Fiber Drums, whether corrugated or non-corrugated. 2. The issue-wise clarifications are discussed in detail below. 3. Applicability of GST on fresh and dried fruits and nuts: 3.1 Representations have be....
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....ees, seeds of vetches (other than those of the species Vicia faba) or of lupines are to be regarded as "seeds of a kind used for sowing". Thus, tamarind seeds, even if used for any purpose other than sowing, is liable to be classified under heading 1209 and hitherto attracted nil GST rate, irrespective of its use (for the period 01.07.2017 to 30.09.2021). 4.3 The GST council in its 45th meeting recommended GST rate on seeds, falling under heading 1209, meant for any use other than sowing to 5% (S. No. 71A of schedule I of Go.Ms.No. 258, Revenue (CT-II) Department, dated 29.09.2017) and Nil rate would apply only to seeds for this heading if used for sowing purposes (S. No. 86 of schedule of Go.Ms.No. 582, Revenue (CTII) Department, dated 12.12.2017). Hence, with effect from 1.10.2021, tamarind and other seeds falling under heading 1209, (i.e. including tamarind seeds), if not supplied as seed for sowing, would attract GST at the rate of 5%. 5. Clarification of definition of Copra: 5.1. Representations have been received seeking clarification regarding the definition of Copra and applicable GST rates. 5.2 As per Expla....
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....supari. 7.2 Scented sdeet supari falls under tarif item 2106 90 30 as "Betel nut product" knodn as "Supari" and attracts GST rate of 18% vide entry at S. No. 23 of Schedule III Go.Ms.No. 258, Revenue (CT-II) Department, dated 29.09.2017 7.3 Flavored and coated illaichi generally consists of Cardamom Seeds, Aromatic Spices, Silver Leaf, Safron, Artifcial Sdeeteners. It is distinct from illaichi or cardamom (dhich falls under heading 0908). It is clarifed that favored and coated illaichi is a value added product and falls under sub-heading 2106. It accordingly attract GST at the rate of 18% (S. No. 23 of schedule III of Go.Ms.No. 258, Revenue (CT-II) Department, dated 29.09.2017. 8. Applicability of GST on Brewers' Spent Grain (BSG), Dried Distillers' Grains with Soluble [DDGS] and other such residues: 8.1 Representations have been received seeking clarifcation regarding classifcation and applicable GST rates on Breders' spent grain (BSG), Dried distillers' grains dith soluble [DDGS] and other such residues of starch manufacture and similar residues, beet-pulp, bagasse and other daste of sugar manufac....
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.... the First schedule of the Custom Tarif Act, 1975 reads as follods: "(a) sterile surgical catgut, similar sterile suture materials (including sterile absorbable surgical or dental yarns) and sterile tissue adhesives for surgical wound closure; (b) sterile laminaria and sterile laminaria tents; (c) sterile absorbable surgical or dental haemostatics sterile surgical or dental adhesion barriers, whether or not absorbable; (d) opacifying preparations for X-ray examinations and diagnostic reagents designed to be administered to the patient, being unmixed products put up in measured doses or products consisting of two or more ingredients which have been mixed together for such uses; (e) blood-grouping reagents; (f) dental cements and other dental fillings; bone reconstruction cements; (g) first-aid boxes and kits; (h) chemical contraceptive preparations based on hormones, on other products of heading 2937 or on spermicides; (i) gel preparations designed to be used in human or veterinary medicine as a lubricant for parts of the body for surgical operations or physi....
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....ent, dated 12.12.2017 prescribes that "whenever goods so supplied are transferred to other licensee or sub-contractor a certificate from Directorate General of Hydrocarbons (DGH) is to be produced that the goods may be transferred to the transferee". 11.2 As per Section 7 read with Schedule-I of the Andhra Pradesh Goods and Services Tax Act 2017, inter-state stock transfer between distinct persons (establishment of same person located in two different states) is considered as 'supply 'of goods. 11.3 Representations have been received seeking clarification whether the original/ import Essentiality certificate can be used for such inter-state stock transfers or a fresh Essentiality certificate would be required for each inter-state stock transfer as it is being treated as supply subject to Integrated Goods and Services Tax. 11.4 Goods and Services Tax Council deliberated upon this issue and a decision was taken that the original/ import Essentiality certificate, issued by the Directorate General of Hydrocarbons (DGH) is sufficient and there is no need for taking a certificate every time on inter-state movement of goods w....
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....supplies, and the remaining thirty per cent. of the gross consideration charged shall be deemed as value of the said taxable service. This mechanism for valuation of supply das recommended by the Council considering that it adequately represented the value of goods and services involved in the supply. 13.3 The Goods and Services Tax Council has now decided to clarify that Goods and Services Tax on such specified Renewable Energy Projects can be paid in terms of the 70:30 ratio for goods and services, respectively, for the period of 1st July, 2017 to 31st December, 2018, in the same manner as has been prescribed for the period on or after 1st January, 2019, as per the explanation in the Go.Ms.No.21, Revenue(CT-II)Department, dated 18.01.2019. However, it is specified that, no refunds will be granted if GST already paid is more than the amount determined using this mechanism. 14. Applicability of GST rates on Fibre Drums, whether corrugated or non-corrugated 14.1 Hitherto, corrugated boxes and cartons, falling under heading 4819 attracted GST at the rate of 12% (entry 122 of 12% rate schedule), while other cartons ....