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2023 (6) TMI 1183 - AUTHORITY FOR ADVANCE RULING, CHHATTISGARHLevy of GST - export of pre-packaged and labelled rice upto 25 Kgs, to foreign buyer, to exporter on “bill to ship to” basis i.e., bill to exporter and ship to customs port and to the factory of exporter - HELD THAT:- Export of goods in its cognate expression means taking goods out of India to a place outside India. Exports under GST are “zero rated supplies” and in this context, as per section 16 of IGST, Act 2017 export of goods or services or both and supply of goods or services for authorized operations to Special Economic zone developer or Special Economic zone units are zero rated supplies. We further find from the detailed submissions put forth by the applicant, that they are of the firm opinion that in view of amendment in entry no. 51 of Schedule I of Notification No. 1/2017-Central Tax (Rate) dated 28.6.2017, CGST and SGST @2.5% each is appliable with effect from 18.7.2022 on export of pre-packaged and labelled rice up to 25Kgs directly to a foreign buyer / to an Exporter on “bill to ship to” basis/ to the factory of exporter. If specified commodities are supplied in a package that do not require declarations / compliances under the Legal Metrology Act, 2009 ( 1 of 2010), and the rules made thereunder, the same would not be treated as pre-packaged and labelled for the purposes of GST levy and that rice supplied in pre-packaged form would fall in the definition of “pre-packaged commodity” under Legal Metrology Act, 2009 and rules made thereunder, if such prepackaged and labelled packages contains a quantity up to 25 Kgs. GST would be applicable on the supply of prepackaged and labelled rice up to 25 Kgs, for both domestic supplies as also for export clearances. Thus, the applicable rate of GST on the supply of pre-packaged and labelled rice up to 25 Kgs, for both domestic sales as also for export clearances is 5% [2.5% CGST + 2.5% SGST] or (5% IGST) as the case may be, in terms of amended entry no. 51 to Schedule-1 to Notification no. 01/2017-CT(Rate) /Integrated tax [Rate) dated 28.6.2017 as amended, with effect from 18.7.2022 - for inte-rstate supply of taxable goods by a registered supplier to a registered recipient/ merchant exporter, for exports the IGST rate of 0.1 % has been stipulated vide Notification no. 41/2017-lntegrated Tax (Rate) dated 23.10.2017, subject to the adherence of the terms conditions as stipulated therein.
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