Clarification on taxability of printing contracts. - GST - States - Trade Notice No. 09/2017-18

OFFICE OF THE COMMISSIONER, GOODS SERVICES TAX HQRS. GST BHAWAN, NAPIER TOWN, JABALPUR (M.P.) 482001 C.No. IV(16)01/Trade Notice/HQ/JBP/Tech/2017-18 Trade Notice No. 09/2017-18 Dated 27.11.2017 Sub: Clarification on taxability of printing contracts - Reg. Kind attention of all the members of Trade/ Industry/ Trade Associations/Chambers of Commerce and Industry/RAC and all others concerned is invited to Circular No. 11/11/2017 dated 20 th October 2017 issued under F. No. 354/263/2017-TRU by the Technical Officer (TRU), North Block, New Delhi wherein it is clarified that in case of printing of books, pamphlets, brochures, envelopes, annual reports, leaflets, cartons, boxes etc. where only contents is supplied by the publisher or the person who owns the usage rights to the intangible inputs while the physical inputs including paper used for printing belonging to the printer, supply of printing [of the contents supplied by the recipient of supply] is the principal supply and therefore such supplies would constitute supply of service falling under heading 9989 of the scheme of classification of service. Whereas supply of printed envelopes, letter cards, printed boxes, tissues, napkins, wall paper etc. falling under Chapter 48 or 49, printed with design, logo etc. supplied by the recipient of goods but made using physical inputs including paper belonging to the printer, predominant supply is that of goods and the supply of printing of the contents [supplied by the recipient of supply] is ancillary to the supply of goods and therefore such supplies would constitute supply of goods falling under heading of Chapter 48 or 49 of the Customs Tariff. Sd/- (P.K. AGARWAL) COMMISSIONER