Certain changes in Goods Exemption Notification from January 01, 2022 to align it with HS 2022

[CA Bimal Jain]

Background:

Earlier, the CBIC issued Notification No. 2/2017 Central Tax (Rate) dated June 28, 2017 (“the Goods Exemption Notification”) in order to notify the exemption on certain supply of goods mentioned therein.

Further, the new (seventh) edition of the Harmonized System (HS) nomenclature i.e., HS-2022, has come into force from January 01, 2022. This edition has introduced significant changes to the Harmonized System with a total of 351 amendments at the six-digit level, covering a wide range of goods moving across borders.

As India is a party to the HS convention, necessary changes were brought in accordingly, in GST through the below mentioned notification:

Notification:

The CBIC vide Notification No. 19/2021-Central Tax (Rate) dated December 28, 2021 has amended relevant entries of the Goods Exemption Notification w.e.f. January 1, 2022, in the following manner:

S. No.	Old HSN	Old Entry	New HSN	New entry
22	0303, 0304, 0305, 0306, 0307, 0308	All goods [other than fresh or chilled and other than those put up in unit container and, - bearing a registered brand name; or bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any actionable claim or enforceable right in respect of such brand name has been foregone voluntarily], subject to the conditions as in the ANNEXURE I	0303, 0304, 0305, 0306, 0307, 0308, 0309	All goods [other than fresh or chilled and other than those put up in unit container and, - bearing a registered brand name; or bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any actionable claim or enforceable right in respect of such brand name has been foregone voluntarily], subject to the conditions as in the ANNEXURE I
43B	0711	Vegetables provisionally preserved (for example, by sulphur dioxide gas, in brine, in sulphur water or in other preservative solutions), but unsuitable in that state for immediate consumption	0711	Vegetables provisionally preserved, but unsuitable in that state for immediate consumption
49	0802	Other nuts, Other nuts, fresh such as Almonds, Hazelnuts or filberts (Coryius spp.), walnuts, Chestnuts (Castanea spp.), Pistachios, Macadamia nuts, Kola nuts (Cola spp.), Areca nuts, fresh, whether or not shelled or peeled	0802	Other nuts, fresh such as Almonds, Hazelnuts or filberts (Corylus spp.), walnuts, Chestnuts (Castanea spp.), Pistachios, Macadamia nuts, Kola nuts (Cola spp.), Areca nuts, Pine nuts, fresh, whether or not shelled or peeled
97A	-	-	2009 89 90	Tender coconut water other than those put up in unit container and, - (a) bearing a registered brand name; or (b) bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any such actionable claim or enforceable right in respect of such brand name has been voluntarily foregone, subject to the conditions as specified in the ANNEXURE I
101	2202 90 90	Tender coconut water other than those put up in unit container and,- (a) bearing a registered brand name; or  (b) bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any actionable claim or enforceable right in respect of such brand name has been foregone voluntarily, subject to the conditions as in the ANNEXURE I]	omitted	omitted
141	8803	Parts of goods of heading 8801	8807	Parts of goods of heading 8801

Similar notifications have been passed under Integrated Goods and Services Tax Act, 2017 (“IGST Act”) and Union Territory Goods and Services Tax Act, 2017 (“UTGST Act”).

 

Our comments:

Similar changes have been adopted in Custom Tariff Act, 1975 from January 01, 2022 so as to align the same with HS 2022 vide D.O.F.No.524/11/2021-STO(TU) dated December 20, 2021.

 

(Author can be reached at [email protected])