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TMI BlogClarification regarding GST rates & classification (goods) based on the recommendations of the GST Council in its 47th meeting held on 28th – 29th June, 2022 at ChandigarhX X X X Extracts X X X X X X X X Extracts X X X X ..... cations, with reference to GST levy, related to the following are being issued through this Trade Circular: 2. Electric vehicles whether or not fitted with a battery pack, attract GST rate of 5%: 2.1. Representations have been received seeking clarification regarding the applicable rate of GST on electrically operated vehicle without any battery fitted to it. 2.2. The explanation of 'Electrically operated vehicles' in entry 242A of Schedule I of notification No. 1125-F.T. dated 28.06.2017 reads as: 'Electrically operated vehicles which run solely on electrical energy derived from an external source or from one or more electrical batteries fitted to such road vehicles and shall include E-bicycles.' 2.3. As is evident from the explanation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... imensional limestone, which is a brittle stone and cannot be subject to extensive mirror polishing. Currently, S. No. 123 of Schedule-I prescribes GST rate of 5% for 'Ecaussine and other calcareous monumental or building stone; alabaster [other than marble and travertine], other than mirror polished stone which is ready to use.' However, being brittle in nature, stones like Napa Stone, even though ready for use, are not subject to extensive polishing. Therefore, such minor polished stones do not qualify as mirror polished stones. 3.3. Therefore, it is clarified that S. No. 123 in Schedule-I to the notification No. 1125-F.T. dated 28.06.2017 covers minor polished stones. 4. Mangoes under CTH 0804 including mango pulp, but other than fresh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... alling under "purified" water for the purpose of levy of GST. 5.2. In general, Water, falling under heading 2201, with certain specified exclusions, is exempt from GST vide entry at S. No. 99 of notification No. 1126-F.T. dated 28.06.2017. 5.3. Accordingly, it is hereby clarified that supply of treated sewage water, falling under heading 2201, is exempt under GST. Further, to clarify the issue, the word 'purified' is being omitted from the above-mentioned entry vide notification No. 859-F.T., dated the 22nd May, 2023. 6. Nicotine Polacrilex Gum attracts a GST rate of 18%: 6.1. Representations have been received seeking clarification regarding the classification and applicable GST rate on Nicotine Polacrilex gum. 6.2. The WCO 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... applicable rate on the fly ash bricks and fly ash aggregates. 7.2. Hitherto, as per entry at S. No. 176B of the Schedule II the items of description "Fly ash bricks or fly ash aggregate with 90 per cent. or more fly ash content; Fly ash blocks" attracts a GST rate of 12%. Confusion has arisen about the applicability of 90 per cent. condition on fly ash aggregates and fly ash bricks. As per the recommendations of the GST Council in the 23rd Meeting, the condition of 90% or more fly ash content was applicable only for fly ash aggregate. 7.3. Therefore, it is clarified that the condition of 90 per cent. or more fly ash content applied only to Fly Ash Aggregates and not to fly ash bricks and fly ash blocks. Further, with effect from 18th July ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and additives, wheat bran and de-oiled cake] 5% S. No. 103B of Schedule-I of notification No. 1125-F.T. dated 28.06.2017 Rice bran (other than de-oiled rice bran) 5% 8.4. The dispute in applicable GST rate revolves around the central argument as to whether the above-mentioned by-products are meant for direct consumption as cattle feed and therefore attract exemption under S. No. 102 of notification No. 1126-F.T. dated 28.06.2017 or are otherwise not meant for direct consumption and thus covered under S. No. 103A of notification No. 1125-F.T. dated 28.06.2017 attracting a GST rate of 5%. 8.5. While milling of pulses/ dal, a wide range of by-products such as chilka, khanda, churi, among others, are obtained which are preferred as ..... X X X X Extracts X X X X X X X X Extracts X X X X
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