Classification of imported fertilizers used in the manufacture of other fertilizers at 5% GST rate.

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..... manufacture of other fertilizers at 5% GST rate . References have been received regarding a clarification as to whether simple fertilizers, such as MOP (Muriate of Potash) classified under Chapter 31, imported for the purpose of manufacturing of a complex fertilizer, are entitled to the concessional GST rate of 5% as applicable in general to the fertilizers (i.e. fertilizers which are cleared t .....

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..... r in the manufacture of other fertilizers, whether directly or through the stage of an intermediate product. 3. In the GST regime, tax structure on fertilizers has been prescribed on the lines of pre-GST tax incidence. The wording of the GST notification is similar to the central excise notification except certain changes to meet the requirements of GST. Thus, changes were necessitated as GST a .....

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..... to be used as fertilizers would not cover such fertilizers that are used for making complex fertilizers for use as soil or crop fertilizers. 4. Thus, it is clarified that the fertilizers supplied for direct use as fertilizers or supplied for use in the manufacturing of other complex fertilizers for agricultural use (soil or crop fertilizers), will attract 5% GST. Sd/- (Smaraki Mahapa .....

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