KHANDHAR MEHTA AND SHAH

Transcription

1 CBEC issued notifications for ratifying the decisions taken in 25 th Council meeting held at Delhi on Summary of the notifications related to rate of Tax are as under: Notification no. 01/2018 Central Tax (Rate) and Notification no. 01/2018 Integrated Tax (Rate) dated Amendment in the notification No.11/2017- Central Tax (Rate) and notification No. 8/2017- Integrated Tax (Rate), dated the 28 th June, 2017 made as follows: Sr. No. Head Before Amendment Old rate of Tax 3(iv) 9954 c) a civil structure or any other original works pertaining to the In-situ rehabilitation of existing slum dwellers using land as a resource through private participation under the Housing for All (Urban) Mission/Pradhan Mantri Awas Yojana, only for existing slum dwellers; 3(v) 9954 Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017, supplied by way of construction, erection, commissioning, or installation of original works pertaining to,- (a) railways, excluding monorail and metro; 3(ix) 9954 Construction services other than (i), (ii), (iii), (iv), (v), (vi), (vii)and (viii) above After Amendment 12% (c) a civil structure or any other original works pertaining to the in-situ redevelopment of existing slums using land as a resource, under the Housing for All (Urban) Mission/ Pradhan Mantri Awas Yojana (Urban) 12% Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017, supplied by way of construction, erection, commissioning, or installation of original works pertaining to,- (a) railways, including monorail and metro; Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017 provided by a subcontractor to the main contractor providing services specified in item (iii) or item (vi) above to the Central Government, State Government, Union territory, a New Rate of Tax 12% 12% 12%

2 local authority, a Governmental Authority or a Government Entity. 3(x) Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017 provided by a subcontractor to the main contractor providing services specified in item (vii) above to the Central Government, State Government, Union territory, a local authority, a Governmental Authority or a Government Entity. 3(xi) Services by way of housekeeping, such as plumbing, carpentering, etc. where the person supplying such service through electronic commerce operator is not liable for registration under subsection (1) of section 22 of the Central Goods and Services Tax Act, (xii) Construction services other than (i), (ii), (iii), (iv), (v), (vi), (vii), (viii),(ix), (x)and (xi) above 9(v) 9965 Transportation of natural gas through pipeline Provided that credit of input tax charged on goods and services used in supplying the service has not been taken Otherwise 10(ii) 9966 (ii) Rental services of transport vehicles with or without operators, other than (i) above 5% 12% Transportation of natural gas, petroleum crude, motor spirit (commonly known as petrol), high speed diesel or aviation turbine fuel through pipeline Provided that credit of input tax charged on goods and services used in supplying the service has not been taken Otherwise (ii) Time charter of vessels for Transport of goods Provided that credit of input tax 5% 5% 5% 12% 5%

3 charged on goods (other than on ships, vessels including bulk carriers and tankers) has not been taken 10(iii) (iii) Rental services of transport Vehicles with or without operators, other than (i) and (ii) above. 16(i) Services by the Central Government, State Government, Union territory or local authority to governmental authority or government entity, by way of lease of land 16(ii) Supply of land or undivided share of land by way of lease or sub lease where such supply is a part of composite supply of construction of flats, etc. specified in the entry in column (3), against serial number 3, at item (i); sub-item (b), sub-item 9972 Real estate services (c), subitem (d), sub-item (da) and sub-item (db) of item (iv); sub-item (b), sub-item (c), subitem (d) and sub-item (da) of item (v); and sub-item (c) of item (vi). Provided that nothing contained in this entry shall apply to an amount charged for such lease and sub-lease in excess of one third of the total amount charged for the said composite supply. Total amount shall have the same meaning for the purpose of this proviso as given in paragraph 2 of this notification 16(iii) Real estate services other than 17(vii) 9973 Leasing or rental services, with or without operator, other than (i), (ii), (iii), (iv), (v) and (vi) above. Rate on goods (i) and (ii) above. Time charter of vessels for transport of goods Provided that credit of input tax charged on goods (other than NIL NIL 5%

4 on ships, vessels including bulk carriers and tankers) has not been taken 17(viii) Leasing or rental services, with or without operator, other than (i), (ii), (iii), (iv), (v), (vi) and (vii) above 23 (i) 9985 Supply of tour operators services 1.Provided that credit of input tax charged on goods and services used in supplying the service has not been taken 2. The bill issued for supply of this service indicates that it is inclusive of charges of accommodation and transportation required for such a tour and the amount charged in the bill is the gross amount charged for such a tour including the charges of accommodation and transportation required for such a tour. 23 (ii) 9985 Support services other than (i) above 5% Supply of tour operators services. 1. Provided that credit of input tax charged on goods and services used other than the input tax credit of input service in the same line of business (i.e. tour operator service procured from another tour operator)has not been taken 2. The bill issued for supply of this service indicates that it is inclusive of charges of accommodation and transportation required for such a tour and the amount charged in the bill is the gross amount charged for such a tour including the charges of accommodation and transportation required for such a tour. Services by way of housekeeping, such as plumbing, carpentering, etc. where the person supplying such service through electronic commerce operator is not liable for registration under sub-section (1) of section 22 of the Central Goods and Services Tax Act, Provided that credit of input tax charged on goods and services has not been taken 23 (iii) Support services other than (i) and (ii) above. Rate on goods 5% 5%

5 24 (ii) 9986 Support services to mining, electricity, gas and water distribution Service of exploration, mining or drilling of petroleum crude or natural gas or both 24 (iii) Support services to mining, electricity, gas and water distribution other than (ii) above. 25 (i) 9987 Maintenance, repair and installation (except construction) services Services by way of housekeeping, such as plumbing, carpentering, etc. where the person supplying such service through electronic commerce operator is not liable for registration under sub-section (1) of section 22 of the Central Goods and Services Tax Act, % 5% Provided that credit of input tax charged on goods and services has not been taken 25 (ii) Maintenance, repair and installation (except construction) services, other than (i) above 26 (iii) 26 (iv) 9988 Manufacturing services on physical inputs (goods) owned by others, other than (i) {, (ia), (ii) and (iia)} above. Tailoring services 5% Manufacturing services on physical inputs (goods) owned by others, other than (i), (ia), (ii), (iia) and (iii) above. 32 (i) Services by way of treatment of Sewage and waste collection, treatment and disposal and effluents by a Common Effluent Treatment Plant. 32 (ii) 9994 other environmental Sewage and waste collection, protection services treatment and disposal and other environmental protection services other than (i) above 34 (iii) 9996 Services by way of admission 28% Services by way of admission to to entertainment events or amusement parks incl. theme access to amusement facilities parks, water parks, joy rides, including exhibition of merry-go rounds, go-carting cinematograph films, theme and ballet parks, water parks, joy rides, 12%

6 merry-go rounds, go-carting, casinos, race-course, ballet, any sporting event such as Indian Premier League and the like. 34 (iiia) Services by way of admission to entertainment events or access to amusement facilities including exhibition of cinematograph films, casinos, race club, any sporting event such as Indian Premier League and the like 34 (vi) 9996 Recreational, cultural and sporting services other than (i), (ii), (iii), (iv) and (v) above. Recreational, cultural and sporting services other than (i), (ii), (iii), (iiia), (iv) and (v) above 28% For the serial No. 3(ix), 3(x) a proviso Provided that where the services are supplied to a Government Entity, they should have been procured by the said entity in relation to a work entrusted to it by the Central Government, State Government, Union territory or local authority, as the case may be. For the serial No. 3(xi) a proviso Provided that credit of input tax charged on goods and services has not been taken. Insertion of certain entries in the notification: Sr. No. Headi ng Service Rate Condition to be fulfilled 3 (iv) 9954 (da) a civil structure or any other original works pertaining to the Economically Weaker Section (EWS) houses constructed under the Affordable Housing in partnership by State or Union territory or local authority or urban development authority under the Housing for All (Urban) Mission/ Pradhan Mantri Awas Yojana (Urban) 3 (iv) 9954 (db) a civil structure or any other original works pertaining to the houses constructed or acquired under the Credit Linked Subsidy Scheme for Economically Weaker Section (EWS)/ Lower Income Group (LIG)/ Middle Income Group-1 12% - 12% -

7 (MlG-1)/ Middle Income Group-2 (MlG-2) under the Housing for All (Urban) Mission/ Pradhan Mantri Awas Yojana (Urban) 3 (iv) 9954 (g) a building owned by an entity registered under section 12AA of the Income Tax Act, 1961 (43 of 1961), which is used for carrying out the activities of providing, centralised cooking or distribution, for mid-day meals under the midday meal scheme sponsored by the Central Government, State Government, Union territory or local authorities. 3 (v) 9954 (da) low-cost houses up to a carpet area of 60 square metres per house in an affordable housing project which has been given infrastructure status vide notification of Government of India, in Ministry of Finance, Department of Economic Affairs vide F. No. 13/6/2009-INF, dated the 30th March, (i) 9986 Insertion of Explanation (h) (i) Support services to agriculture, forestry, fishing, animal husbandry. Explanation: (h) services by way of fumigation in a warehouse of agricultural produce 26 (i) 9988 Insertion of Sub item (ea) (i) Services by way of job work in relation to- (ea) manufacture of leather goods or foot wear falling under Chapter 42 or 64 in the First Schedule to the Customs Tariff Act, 1975 (51of 1975) respectively 12% - 12% - NIL - 5% - 1. Applicability of paragraph 2 relating to valuation of land is extend to some other entries: Entries to which paragraph 2 is applicable Before issue of notification Sr. No. 3 (i) Sr. No. 3 (iv) (b), (c), (d) Sr. No. 3 (v) (b), (c), (d) Sr. No. 3 (vi) (c) Sr. No. 3 (i) Sr. No. 3 (iv) (b), (c), (d),(da),(db) Sr. No. 3 (v) (b), (c), (d),(da) Sr. No. 3 (vi) (c) After issue of notification In case of supply of service involving transfer of land or undivided share of land, as the case may be, the value of such supply shall be equivalent to the total amount charged for such supply less the value of transfer of land or undivided share of land, as the case may be, and the value of such transfer of land or undivided share of land, as the case may be, in such supply shall be deemed to be one third of the total amount charged for such supply.

8 Before Notification Explanation. For the purposes of paragraph 2, total amount means the sum total of,- (a) consideration charged for aforesaid service; and (b) amount charged for transfer of land or undivided share of land, as the case may be. After Notification Explanation. For the purposes of this paragraph, total amount means the sum total of,- (a) consideration charged for aforesaid service; and (b) amount charged for transfer of land or undivided share of land, as the case may be incl. by way of lease or sublease.. Notification no. 02/2018 Central Tax (Rate) and Notification no. 02/2018 Integrated Tax (Rate) dated Amendments in the notification No.12/2017- Central Tax (Rate) and notification No.9/2017- Integrated Tax (Rate) dated the 28th June, 2017 made as follows. Following services are exempt from the whole of central tax/ integrated tax leviable under CGST Act or IGST Act. Following Description has been substituted: Sr No. Section covered under Notification 1. Changes made in description of Services notified in the earlier Notification No. 12/2017- Central Tax (Rate) and notification No.9/2017- Integrated Tax (Rate) Brief about Notification Following Description has been substituted and added: Sr No. Chapter/ Heading Description of Services 3 99 After the words Governmental authority, "a Government Entity", shall be added The word "One Year" has been substituted with "Three Years" 29A 9971/9991 The word "Fifty Thousand Rupees " has been substituted with "Two Lakhs Rupees " After the word under bilateral arrangement, "the Ministry of External Affairs" shall be removed The word "Five Thousand Rupees "has been substituted with "Seven Thousand Five Hundred Rupees"

9 Sr. Before amendment Old Rate of Tax Services provided - (a)by educational institution to its students, faculty and staff; (b)to educational institution, by way of, - (i) transportation of students, faculty and staff; (ii) catering, including any mid-day meals scheme sponsored by the Central Government, State Government or Union territory; (iii) security or cleaning or housekeeping services performed in such educational institution; (iv) services relating to admission to, or conduct of examination by, such institution; upto higher secondary: Provided that nothing contained in entry (b) shall apply to an educational institution other than an institution providing services by way of pre-school education and education up to higher secondary school or equivalent After Amendment Nil Services provided - (a) by an educational institution to its students, faculty and staff; (aa) by an educational institution by way of conduct of entrance examination against consideration in the form of entrance fee;; (b) to an educational institution, by way of, - (i) transportation of students, faculty and staff; (ii) catering, including any midday meals scheme sponsored by the Central Government, State Government or Union territory; (iii) security or cleaning or housekeeping services performed in such educational institution; (iv) services relating to admission to, or conduct of examination by, such institution; (v) supply of online educational journals or periodicals; Provided that nothing contained in sub-items (i), (ii) and (iii) of item (b) shall apply to an educational institution other than an institution providing services by way of pre-school education and education up to higher secondary school or equivalent. Provided further that nothing contained in sub-item (v) of item (b) shall apply to an institution providing services by way of,- (i) pre-school education and New Rate of Tax Nil

10 Services by way of right to admission to- (a) circus, dance, or theatrical performance including drama or ballet; (b) award function, concert, pageant, musical performance or any sporting event other than a recognised sporting event; (c) recognised sporting event, where the consideration for admission is not more than Rs 250 per person as referred to in (a), (b) and (c) above. Nil education up to higher secondary school or equivalent; or (ii) education as a part of an approved vocational education course Services by way of right to admission to- (a) circus, dance, or theatrical performance including drama or ballet; (b)award function, concert, pageant, musical performance or any sporting event other than a recognised sporting event; (c) recognised sporting event; (d) planetarium, where the consideration for right to admission to the events or places as referred to in items (a), (b), (c) or (d) above is not more than Rs 500 per person Nil Insertion of certain entries in the notification: Sr. Service Rate Condition 3A 99 Composite supply of goods and services in which the value of supply of goods constitutes not more than 25 per cent. of the value of the said composite supply provided to the Central Government, State Government or Union territory or local authority or a Governmental authority or a Government Entity by way of any activity in relation to any function entrusted to a Panchayat under article 243G of the Constitution or in relation to any function entrusted to a Municipality under article 243W of the Constitution. 19A 9965 Services by way of transportation of goods by an aircraft from customs station of clearance in India to a place outside India. Nil - Nil Nothing contained in this serial

11 19B 9965 Services by way of transportation of goods by a vessel from customs station of clearance in India to a place outside India or A 9971 or A 9971 or 9991 Services by way of giving on hire (c) motor vehicle for transport of students, faculty and staff, to a person providing services of transportation of students, faculty and staff to an educational institution providing services by way of pre-school education and education up to higher secondary school or equivalent Services of life insurance provided or agreed to be provided by the Naval Group Insurance Fund to the personnel of Coast Guard under the Group Insurance Schemes of the Central Government. Services by way of reinsurance of the insurance schemes specified in serial number 35 or A 9971 Services by an intermediary of financial services located in a multi services SEZ with International Financial Services Centre (IFSC) status to a customer located outside India for international financial services in currencies other than Indian rupees (INR). Explanation.- For the purposes of this entry, the intermediary of financial services in IFSC is a person,- (i) who is permitted or recognized as such by the Government of India or any Regulator appointed for regulation of IFSC; or (ii) who is treated as a person resident outside India under the Foreign Exchange Management (International Financial Services Centre) Regulations, 2015; or (iii) who is registered under the Insurance Regulatory and Development Authority of India (International Financial Service Centre) Guidelines, 2015 as IFSC Insurance Office; or (iv) who is permitted as such by Securities and Exchange Board of India (SEBI) under the Securities and Exchange Board of India Guidelines, Nil number shall apply after the 30 th day of September Nil - Nil - Nil - Nil -

12 or 9991 Services provided by- (a) an arbitral tribunal to (iii) the Central Government, State Government, Union territory, local authority, Governmental Authority or Government Entity (b) a partnership firm of advocates or an individual as an advocate other than a senior advocate, by way of legal services to- (iii) the Central Government, State Government, Union territory, local authority, Governmental Authority or Government Entity (c) a senior advocate by way of legal services to- (iii) the Central Government, State Government, Union territory, local authority, Governmental Authority or Government Entity 53A 9985 Services by way of fumigation in a warehouse of agricultural produce Services relating to cultivation of plants and rearing of all life forms of animals, except the rearing of horses, for food, fibre, fuel, raw material or other similar products or agricultural produce by way of (h) services by way of fumigation in a warehouse of agricultural produce 65A 9991 Services by way of providing information under the Right to Information Act, 2005 (22 of 2005). Nil - Nil - Nil - Nil - Notification no. 03/2018 Central Tax (Rate) and Notification no. 03/2018 Integrated Tax (Rate) dated Amendment in notification no. 13/2017- Central Tax (Rate) and notification no.10/2017- Integrated Tax (Rate) dated On following services the whole of central tax/ integrated tax leviable under Section 9 of the said CGST Act or Section 5 of IGST Act, shall be paid on reverse charge basis by the recipient of the services. Sr. No. 5A Category of Supply of Services Services supplied by the Central Government, State Government, Union territory or local authority by way of renting of immovable property to a person registered under the Supplier of service Central Government, State Government, Union territory or Recipient of Service Any person registered under the Central Goods and Services Tax Act, 2017

13 Central Goods and Services Tax Act, 2017 (12 of 2017) local authority Explanation.- in the Explanation, after clause (e), the following clause shall be inserted, namely : (f) insurance agent shall have the same meaning as assigned to it in clause (10) of section 2 of the Insurance Act, 1938 (4 of 1938).. Notification no. 04/2018 Central Tax & Integrated Tax (Rate) dated The Central Government has notified that the liability of paying Tax on supply of services, on the consideration received in the form of construction of services and shall arise at the time when developer of the building or site transfers possession or the right in the constructed complex, building or civil structure to the person supplying the development rights by entering into a deed or similar agreement. Notification no. 05/2018 Central Tax & Integrated Tax (Rate) dated Central Government has notified an exemption for intra State supply of services by way of grant of license or lease to explore or mine petroleum crude or natural gas or both, from tax as is leviable on the consideration paid to the central Government in the form government s share of profit petroleum. Notification no. 06/2018 Central Tax (Rate) and Notification no. 07/2018 Integrated Tax (Rate) dated Central Government has notified following amendments vide aforesaid Notifications: Sr. No. Section covered under Notification 1. Changes made in description of goods notified in the earlier Notification No. 1/2017 Central tax (Rates) Brief about Notification Following Description has been added : (a) Schedule I 2.5% Sr. Chapter/ Description of Goods 76A 13 Tamarind Kernel powder 78A 1404 or Mehendi paste in cones B 2302 Rice bran (other than de-oiled rice bran) 165A Liquefied Propane and Butane

14 00, , A 88 or any other chapter mixture, Liquefied Propane, Liquefied Butane and Liquefied Petroleum Gases (LPG) for supply to household domestic consumers Scientific and technical instruments, apparatus, equipment, accessories, parts, components, spares, tools, mock ups and modules, raw material and consumables required for launch vehicles and satellites and payloads. (b) Schedule II 6% Sr. Chapter/ Description of Goods 57B 2809 Fertilizer grade phosphoric acid 78A 3808 The following Bio-pesticides, namely 1. Bacillus thuringiensis var. israelensis 2. Bacillus thuringiensis var. kurstaki 3. Bacillus thuringiensis var. galleriae 4. Bacillus sphaericus 5. Trichoderma viride 6. Trichoderma harzianum 7. Pseudomonas fluoresens 8. Beauveriabassiana 9. NPV of Helicoverpaarmigera 10. NPV of Spodopteralitura 11. Neem based pesticides 12. Cymbopogan 80A 3826 Bio diesel 99A 4418 Bamboo wood building joinery 99B 4419 Tableware and Kitchenware of wood 195B 8424 Sprinklers, drip irrigation system including laterals, mechanical sprayers (C) Schedule III 9%

15 Sr. Chapter/ Description of Goods 163A Cigarette Filter rods 236A Ghamella 236B 7324 Sanitary ware and parts thereof, of iron and steel 399A 8702 Buses for use in public transport which exclusively run on Bio-fuels (d) Schedule IV 14% Sr. Chapter/ 229 Any Chapter Description of Goods Actionable claim in the form of chance to win in betting, gambling, or horse racing in race club. (e) Schedule VI % Sr. No. Chapter/ Heading Description of Goods 2A 7103 Precious stones (other than diamonds), ungraded precious stones (other than diamonds) Synthetic or reconstructed precious stones. Following Description has been omitted (a) Schedule I 2.5% Sr. Chapter/ , , Description of Goods Liquefied Propane and Butane mixture, Liquefied Propane, Liquefied Butane and Liquefied Petroleum Gases (LPG) for supply to household domestic consumers or to non-domestic exempted category (NDEC) customers by the Indian Oil Corporation Limited, Hindustan petroleum Corporation Limited or Bharat Petroleum Corporation Limited.

16 (b) Schedule II 6% Sr. No. Chapter/ Heading Description of Goods Plaits and similar products of plaiting materials, whether or not assembled into strips; plaiting materials, plaits and similar products of plaiting materials, bound together in parallel strands or woven, in sheet form, whether or not being finished articles (for example, mats matting, screens) of vegetables materials such as of Bamboo, of rattan, of Other Vegetable materials Basketwork, wickerwork and other articles, made directly to shape from plaiting materials or made up from goods of heading 4601; articles of loofah (c) Schedule III 9% Sr. Chapter/ Description of Goods Biodiesel and mixtures thereof, not containing or containing less than 70% by weight of petroleum oils and oils obtained from bituminous minerals (d) Schedule V 1.5% Sr. Chapter/ Description of Goods Diamonds, whether or not worked, but not mounted or set [other than Non-Industrial Unworked or simply sawn, cleaved or bruted] Following Description has been substituted: (a) Schedule I 2.5%

17 Sr. Chapter/ Description of Goods 198A 4601,4602 The entry Manufactures of straw, of esparto or of other plaiting materials; basketware and wickerwork has been substituted from Grass, leaf or reed or fibre products, including mats, pouches, wallets 219A 5801 The entry Velvet fabrics has been substituted from Corduroy fabrics 224A 6309 or Heading 6309 or 6310 has been 6310 substituted from 6309 (b) Schedule II 6% Sr. Chapter/ Description of Goods 32AA 1704 Sugar boiled confectionery 46B 2201 Drinking water packed in 20 litres bottles or 38 Chapter/heading 28 0r 38 has been substituted from chapter/heading or Chapter/Heading 29 or has been substituted from chapter/heading The words Woven pile fabrics and chenille fabrics, other than fabrics of heading 5802 or 5806 has been substituted to Woven pile fabrics and chenille fabrics except Corduroy fabrics, velvet fabric, other than fabrics of heading 5802 or (c) Schedule III 9% Sr. No. Chapter/ Heading Description of Goods Words groundnut sweets and gajak has been substituted with groundnut sweets, gajak and sugar boiled confectionery.

18 , Hair Oil has been substituted to Preparations for use on the hair [except Mehendi pate in Cones] Mechanical appliances (whether or not hand-operated) for projecting, dispersing or spraying liquids or powders; spray guns and similar appliances; steam or sand blasting machines and similar jet projecting machines [other than fire extinguishers, whether or not charged] has been substituted to Mechanical appliances (whether or not hand-operated) for projecting, dispersing or spraying liquids or powders; fire extinguishers, whether or not charged; spray guns and similar appliances; steam or sand blasting machines and similar jet projecting machines [other than sprinklers; drip irrigation systems including laterals; mechanical sprayer; nozzles for drip irrigation equipment or nozzles for sprinklers] (d) Schedule IV 14% Sr. Chapter/ Description of Goods Motor vehicles for the transport of ten or more persons, including the driver has been substituted to Motor vehicles for the transport of ten or more persons, including the driver [other than buses for use in public transport, which exclusively run on Bio-fuels]

19 (e) Schedule V 1.5% Sr. No. Chapter/ Heading Description of Goods Precious stones (other than diamonds) and semi-precious stones, whether or not worked or graded but not strung, mounted or set; ungraded precious stones (other than diamonds) and semiprecious stones, temporarily strung for convenience of transport [other than Unworked or simply sawn or roughly shaped] has been substituted to Semi-precious stones, whether or not worked or graded but not strung, mounted or set; semi-precious stones, temporarily strung for convenience of transport [other than Unworked or simply sawn or roughly shaped] shall be substituted; Synthetic or reconstructed precious or semi-precious stones, whether or not worked or graded but not strung, mounted or set; ungraded synthetic or reconstructed precious or semi-precious stones, temporarily strung for convenience of transport [other than Unworked or simply sawn or roughly shaped] has been substituted to Synthetic or reconstructed semi-precious stones, whether or not worked or graded but not strung, mounted or set; ungraded synthetic or reconstructed semi-precious stones, temporarily strung for convenience of transport] shall be substituted; Imitation Jewellery has been substituted to Imitation jewellery [other than bangles of lac/shellac]

20 (f) Schedule VI 0.125% Sr. No. Chapter/ Heading Description of Goods Precious stones (other than diamonds) and semi-precious stones, unworked or simply sawn or roughly shaped has been substituted with Semi-precious stones, unworked or simply sawn or roughly shaped Synthetic or reconstructed precious or semi-precious stones, unworked or simply sawn or roughly shaped has been substituted with Synthetic or reconstructed semiprecious stones, unworked or simply sawn or roughly shaped shall be substituted; Following Description has been added: (a) Schedule II 6% Sr. Chapter/ Description of Goods The words and brackets [except cigarette filter rods] has been added. (b) Schedule III 9% Sr. Chapter/ Description of Goods after the words derived from vegetable products the words and brackets, [other than tamarind kernel powder] shall be added After the words matter nor flavoured, the words and brackets, [other than Drinking water packed in 20 litres bottles] shall be added

21 39 28 after the words, other Rate Schedules for goods, the words, including Fertilizer grade Phosphoric acid shall be added after the words, and similar products, the words, figure and brackets, [other than biopesticides mentioned against S. No. 78A of schedule -II] 137F 4418 after the words, shingles and shakes, the words and brackets, [other than bamboo wood building joinery] Notification no. 07/2018 Central Tax (Rate) and Notification no. 08/2018 Integrated Tax (Rate) dated Central Government has notified following amendments as under: Sr. No. Section covered under Notification 1. Changes made in description of goods notified in the earlier Notification No. 2/2017 Central tax (Rates) Brief about Notification Following Description has been inserted: Sr. Chapter/ Description of Goods 102A 2302 De-oiled Rice bran 102B 2306 Cotton seed oil cake Following Description has been substituted and added: Sr. Chapter/ , , , 2309 Description of Goods Aquatic feed including shrimp feed and prawn feed, poultry feed & cattle feed, including grass, hay & straw, supplement & husk of pulses, concentrates & additives, wheat bran & de-oiled cake has been substituted with Aquatic feed including shrimp feed and prawn feed, poultry feed & cattle feed, including

22 grass, hay & straw, supplement & husk of pulses, concentrates & additives, wheat bran & de-oiled cake [other than rice-bran] 136A 7018 The chapter/heading has been substituted from 7018 to after the words used in agriculture, horticulture or forestry the words, other than ghamella, shall be added 148 Any Chapter The words Vibhuti sold by religious institutions has been substituted with Vibhuti. Notification no. 08/2018 Central Tax (Rate) and Notification no. 09/2018 Integrated Tax (Rate) dated Central Government has notified an exemption on following intra-state supplies of the goods. Sr. No. Chapter Description of the goods Rate Old and used, petrol Liquefied petroleum gases (LPG) or compressed natural gas (CNG) driven motor vehicles of engine capacity of 1200 cc or more and of length of 4000 mm or more. Explanation. - For the purposes of this entry, the specification of the motor vehicle shall be determined as per the Motor Vehicles Act, 1988 (59 of 1988) and the rules made there under Old and used, diesel driven motor vehicles of engine capacity of 1500 cc or more and of length of 4000 mm Explanation. - For the purposes of this entry, the specification of the motor vehicle shall be determined as per the Motor Vehicles Act, 1988 (59 of 1988) and the rules made there under.

23 Old and used motor vehicles of engine capacity exceeding 1500 cc, popularly known as Sports Utility Vehicles (SUVs) including utility vehicles. Explanation. - For the purposes of this entry, SUV includes a motor vehicle of length exceeding 4000 mm and having ground clearance of 170 mm. and above All Old and used Vehicles other than those mentioned from S. No. 1 to S.No.3 12% Notification no. 09/2018 Central Tax (Rate) and Notification no. 10/2018 Integrated Tax (Rate) dated Summary of Notifications are as under: Sr. No. Section covered under Notification 1. Changes made in description of goods notified in the earlier Notification No. 45/2017 Central tax (Rates Brief about Notification Following Description has been substituted : Sr. Description of Goods No. 1. Public funded research institution other than a hospital or a University or an Indian Institute of Technology or Indian Institute of Science, Bangalore or a National Institute Technology/ Regional Engineering College has been substituted with Public funded research institution or a University or an Indian Institute of Technology or Indian Institute of Science, Bangalore or a Regional Engineering College, other than a hospital. 1. the words Department of Scientific and Research, the words Department of Scientific and Industrial Research, shall be substituted 2. Department of Scientific and Research, the words Department of Scientific and Industrial Research, shall be substituted 4. Department of Scientific and Research, the

24 words Department of Scientific and Industrial Research, shall be substituted Following Explanation has been added : Explanation 2. - For the the purposes of this notification, exemption would be in line with the notification of the Government of India, in the Ministry of Finance (Department of Revenue), No. 51/96- Customs, dated the 23rd July, 1996, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 303(E), dated the 23rd July, 1996 and is applicable with effect from the 15th November, Circular no. 29/3/2018 GST dated It is clarified in the Circular that GST will be payable by the refinery only on the net quantity of Polybutylene feedstock and Liquefied Petroleum Gas retained by the manufacturer for the manufacture of Poly Iso Butylene and Propylene or Di-butyl para Cresol. Though, the refinery would be liable to pay GST on such returned quantity of Polybutylene feedstock and Liquefied Petroleum Gas, when the same is supplied by it to any other person. Circular no. 30/4/2018 GST dated Circular gives clarification on supplies made to the Indian Railways classifiable under any chapter, other than Chapter 86. Summary of classification is as under: Only the goods classified under Chapter 86, supplied to the railways, attract 5% GST rate with no refund of unutilised input tax credit and Other goods [falling in any other chapter], would attract the general applicable GST rates to such goods, under the aforesaid notifications, even if supplied to the railways.

25 Copies of Notifications/ Circulars : Notification/Circular No. Description 01/2018-Central Tax (Rate),Dt Amending notification No. 11/2017- Central Tax (Rate) for notifying CGST rates of various services. 02/2018-Central Tax (Rate),Dt Amending notification No. 12/2017- Central Tax (Rate) so as to exempt certain services. 03/2018-Central Tax (Rate),Dt Amending notification No. 13/2017- Central Tax (Rate) so as to specify services to be taxed under Reverse Charge Mechanism (RCM). 04/2018-Central Tax (Rate),Dt Special procedure with respect to payment of tax by registered person supplying service by way of construction against transfer of development right and vice versa. 05/2018-Central Tax (Rate),Dt Seeks to exempt Central Government s share of Profit Petroleum from Central tax 06/2018-Central Tax (Rate),Dt Amending notification No.1/2017-CGST (Rate) 07/2018-Central Tax (Rate),Dt Amending notification No.2/2017-CGST (Rate) 08/2018-Central Tax (Rate),Dt Amending notification No.1/2017-CGST (Rate) 09/2018-Central Tax (Rate),Dt Amending notification No.45/2017-Central (Rate) 29/2018 GST dated Clarification on applicability of GST on Polybutylene feedstock and Liquefied Petroleum Gas retained for the manufacture of Poly Iso Butylene and Propylene or Dibutyl para Cresol. 30/2018 GST dated Clarification regarding supplies made to the Indian Railways classifiable under any chapter, other than Chapter 86 Disclaimer: KMS Updates is meant for information purpose only and does not purport to be advice or opinion, legal or otherwise, whatsoever. KMS updates is prepared based on the understanding of the provisions as stood applicable as on date. KMS is not responsible for any error or omission in this update or for any action taken based on its contents.