Exempt & Non-taxable supply - GST Ready Reckoner - GST

As per Section 2(78) of CGST Act, 2017 Non-taxable supply means a supply of goods or services or both which is not leviable to tax under Central Goods And Services Tax Act, 2017 or under the Integrated Goods and Services Tax Act; As per Section 2(47) of CGST Act, 2017 Exempt supply means supply of any goods or services or both which attracts nil rate of tax ( i.e. the supply of such goods/services or both which are leviable to GST at NIL rates i.e. 0% as per the tariff schedule is called nil rated supply ) or which may be wholly exempt from tax under section 11 of CGST Act (i.e. Power to grant exemption from tax) , or Which may be wholly exempt from tax under section 6 of IGST Act (i.e. Power to grant exemption from tax) , and includes non - taxable supply [ define under Section 2(78) ] ; In other words In case of goods, exempt supply of goods = supply of (Nil Rated Goods + Exempted Goods + Non-Taxable Goods) Admin Note If the tariff it self specified duty as Nil the goods are chargeable to Nil rate of duty. If the goods are exempt by the notification, they called exempt from duty . Thus there is difference between goods chargeable to Nil rate of duty. Thus, there is difference between goods chargeable to Nil rate of duty and goods exempt from duty . [ Arun Auto Spinning Mfg. Co. Versus Collector Of C. Ex. Cus. - 1989 (12) TMI 195 - CEGAT, Bombay ] it may be noted that Nil duty is still duty. As per para 15 It has already been taken note of that the manufacture and production of all goods in India attract excise duty. Those may be goods specified or goods not specified elsewhere. When specific goods are made exempt from payment of excise duty by a notification under Rule 8 and falling under a particular Item, it presupposes that they are exempt from payment of excise duty under that item. Those goods may be falling under any of the Items 1 to 67, or instead in the residuary Item 68 attracting ad valorem duty as due thereon. Those goods are exempt from payment of excise duty because of the language of the notification binding it to a particular Item and not universally . [ Hico Products Ltd. Versus Collector Of Central Excise - 1994 (4) TMI 75 - SC ]