tax exemptions under gst
READ ALSO
GST Accounts and Records Maintenance Tips
GST Commodity Final Rates
Final GST rates for Transport of goods and passengers
Benefits of GST
Obtain Statutory Forms (C, F, H etc) before July 1st 2017
e-waybill in GST
What is refund under GST
GST Accounts and Records Maintenance Tips
GST Commodity Final Rates
Final GST rates for Transport of goods and passengers
Benefits of GST
Obtain Statutory Forms (C, F, H etc) before July 1st 2017
e-waybill in GST
What is refund under GST
List of GST Tax Exemptions
- Services by Government or a local authority
- Services by the Reserve Bank of India
- Services by a foreign diplomatic mission located in India
- toll charges
- Services provided to a recognized sports body
- Services by way of slaughtering of animals
- Services of general insurance business .........
GST Service Tax Exemptions to be continued in GST as decided by GST Council The fitment of rates of services were discussed on 19 May 2017 during the 14th GST Council meeting held at Srinagar, Jammu & Kashmir. The Council has broadly approved the GST rates for services at Nil, 5%, 12%, 18% and 28% as listed below. The information is being uploaded immediately after the GST Council’s decision and it will be subject to further vetting during which the list may undergo some changes.
The decisions of the GST Council are being communicated for general information and will be given effect to through gazette notifications which shall have force of law.
Sl.
No. |
Services
|
1.
|
Services
by Government or a local authority excluding the following services—
(i) services by the Department of Posts by way of speed post, express parcel post, life insurance, and agency services provided to a person other than Government; (ii) services in relation to an aircraft or a vessel, inside or outside the precincts of a port or an airport; (iii) transport of goods or passengers; or (iv) any service, other than services covered under clauses (i) to (iii) above, provided to business entities. |
2.
|
Services
by the Reserve Bank of India
|
3.
|
Services
by a foreign diplomatic mission located in India
|
4.
|
Services
relating to cultivation of plants and rearing of all life forms of animals,
except the rearing of horses, for food, fibre, fuel, raw
material or other similar products or agricultural produce by way of—
(i) agricultural operations directly related to production of any agricultural produce including cultivation, harvesting, threshing, plant protection or testing or (ii) supply of farm labour; (iii) processes carried out at an agricultural farm including tending, pruning, cutting, harvesting, drying, cleaning, trimming, sun drying, fumigating, curing, sorting, grading, cooling or bulk packaging and such like operations which do not alter the essential characteristics of agricultural produce but make it only marketable for the primary market; (iv) renting or leasing of agro machinery or vacant land with or without a structure incidental to its use; (v) loading, unloading, packing, storage or warehousing of agricultural produce; (vi) agricultural extension services; (vii) services by any Agricultural Produce Marketing Committee or Board or services provided by a commission agent for sale or purchase of agricultural produce. |
5.
|
Service
by way of access to a road or a bridge on payment of toll charges
|
6.
|
Transmission
or distribution of electricity by an electricity transmission or distribution
utility
|
7.
|
Services
by way of renting of residential dwelling for use as residence
|
8.
|
Services
by way of—
(i) extending deposits, loans or advances in so far as the consideration is represented by way of interest or discount (other than interest involved in credit card services); (ii) inter se sale or purchase of foreign currency amongst banks or authorised dealers of foreign exchange or amongst banks and such dealers; |
9.
|
Services
by way of transportation of goods
(i) by road except the services of— (A) a goods transportation agency; or (B) a courier agency; (ii) by inland waterways; |
10.
|
Services
provided to the United Nations or a specified international organization.
Exemption may be notified by way of issuing notification under section 55 of CGST/SGST Act. |
11.
|
Services provided
by operators of
the Common Bio-medical
Waste Treatment Facility
to a clinical
establishment
by way of treatment or disposal of bio-medical waste or the processes
incidental thereto;
|
12.
|
Services
by a veterinary clinic in relation to health care of animals or birds;
|
13.
|
Services
by an entity registered under section 12AA of the Income tax Act, 1961 (43 of
1961) by way of charitable activities;[Charitable
activities may be defined as presently in notification No 25/2012-ST.
|
14.
|
Services
by a specified organisation in respect of a religious pilgrimage facilitated
by the Ministry of External Affairs of the Government of
India, under bilateral arrangement;
|
15.
|
Services
provided by-
(a) an arbitral tribunal to - (i) any person other than a business entity; or (ii) a business entity with a turnover up to rupees twenty lakh (ten lakh rupees in a special category state) in the preceding financial year; |
(b)
a partnership firm of advocates or an individual as an advocate other than a
senior advocate, by way of legal services to-
(i) an advocate or partnership firm of advocates providing legal services; (ii) any person other than a business entity; or (iii) a business entity with a turnover up to rupees twenty lakh (ten lakh rupees in a special category state) in the preceding financial year; or (c) a senior advocate by way of legal services to- (i) any person other than a business entity; or (ii) a business entity up to rupees twenty lakh (ten lakh rupees in a special category state) in the preceding financial year; |
|
16.
|
Services
provided,-
(a) by an educational institution to its students, faculty and staff; (b) to an educational institution, by way of,- (i) transportation of students, faculty and staff; (ii) catering, including any mid-day meals scheme sponsored by the Government; (iii) security or cleaning or house-keeping services performed in such educational institution; (iv)services relating to admission to, or conduct of examination by, such institution; upto higher secondary. Provided that nothing contained in clause (b) of this entry shall apply to an educational institution other than an institution providing services by way of pre-school education and education up to higher secondary school or equivalent |
17.
|
Services
provided by the Indian Institutes of Management, as per the guidelines of the
Central Government, to their students, by way
of the following educational programmes, except Executive Development
Programme, -
(a) two year full time residential Post Graduate Programmes in Management for the Post Graduate Diploma in Management, to which admissions are made on the basis of Common Admission Test (CAT), conducted by Indian Institute of Management; (b) fellow programme in Management; (c) five year integrated programme in Management. |
18.
|
Services
provided to a recognized sports body by-
(a) an individual as a player, referee, umpire, coach or team manager for participation in a sporting event organized by a recognized sports body; (b) another recognised sports body; |
19.
|
Services
by an artist by way of a performance in folk or classical art forms of (i)
music, or (ii)dance, or (iii)theatre, if the consideration
charged for such performance is not more than one lakh and fifty thousand
rupees:
Provided that the exemption shall not apply to service provided by such artist as a brand ambassador; |
20.
|
Services
by way of collecting or providing news by an independent journalist, Press
Trust of India or United News of India;
|
21.
|
Services
by way of giving on hire -
(a) to a state transport undertaking, a motor vehicle meant to carry more than twelve passengers; or (b) to a goods transport agency, a means of transportation of goods; |
22.
|
Transport
of passengers, with or without accompanied belongings, by -
(a) air, embarking from or terminating in an airport located in the state of Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, or Tripura or at Bagdogra located in West Bengal; (b) non-airconditioned contract carriage other than radio taxi, for transportation of passengers, excluding tourism, conducted tour, charter or hire; or (c) stage carriage other than air-conditioned stage carriage |
23.
|
Services
of life insurance business provided by way of annuity under the National
Pension System regulated by Pension Fund Regulatory
and Development Authority of India (PFRDA) under the Pension Fund
Regulatory And Development Authority Act, 2013 (23 of 2013)
|
24.
|
Services
of life insurance business provided or agreed to be provided by the Army,
Naval and Air Force Group Insurance Funds to members of
the Army, Navy and Air Force, respectively, under the Group Insurance
Schemes of the Central Government
|
25.
|
Services
provided by an incubatee up to a total turnover of fifty lakh rupees in a
financial year subject to the following
conditions, namely:-
(a) the total turnover had not exceeded fifty lakh rupees during the preceding financial year; and (b) a period of three years has not been elapsed from the date of entering into an agreement as an incubatee; |
26.
|
Service
by an unincorporated body or a non- profit entity registered under any law
for the time being in force, to its own members by way of
reimbursement of charges or share of contribution -
(a) as a trade union; (b) for the provision of carrying out any activity which is exempt from the levy of GST; or (c) up to an amount of five thousand rupees per month per member for sourcing of goods or services from a third person for the common use of its members in a housing society or a residential complex; |
27.
|
Services
by an organiser to any person in respect of a business exhibition held
outside India;
|
28.
|
Services
by way of slaughtering of animals;
|
29.
|
Services
received from a provider of
service located in a non- taxable
territory by -
(a) Government, a local authority, a governmental authority or an individual in relation to any purpose other than commerce, industry or any other business or profession; (b) an entity registered under section 12AA of the Income tax Act, 1961 (43 of 1961) for the purposes of providing charitable activities; or (c) a person located in a non-taxable territory; Provided that the exemption shall not apply to – (i) online information and database access or retrieval services received by persons specified in clause (a)or clause (b); or (ii) services by way of transportation of goods by a vessel from a place outside India up to the customs station of clearance in India received by persons specified in clause (c); |
30.
|
Services
of public libraries by way of lending of books, publications or any other
knowledge-enhancing content or material;
|
31.
|
Services by Employees’ State
Insurance Corporation to
persons governed under
the Employees’
Insurance Act, 1948 (34 of 1948); |
32.
|
Services
by way of transfer of a going concern, as a whole or an independent part
thereof;
|
33.
|
Services
by way of public conveniences such as provision of facilities of bathroom,
washrooms, lavatories, urinal or toilets;
|
34.
|
Services
by government, local authority or governmental authority by way of any
activity in relation to any function entrusted
to a municipality under Article 243 W of the Constitution.
|
35.
|
Services
received by the Reserve Bank of India, from outside India in relation to
management of foreign exchange reserves;
|
36.
|
Services
provided by a tour operator to a foreign tourist in relation to a tour
conducted wholly outside India.
|
37.
|
Services
by way of pre-conditioning, pre-cooling, ripening, waxing, retail packing,
labelling of fruits and vegetables which do not change or
alter the essential characteristics of the said fruits or vegetables;
|
38.
|
Services
by way of admission to a museum, national park, wildlife sanctuary, tiger
reserve or zoo;
|
39.
|
Services provided
by Government or a local authority to a business entity with a turnover up to
rupees twenty lakh (ten lakh rupees in a special category
state) in
the preceding financial year.
Explanation.- For the purposes of this entry, it is hereby clarified that the provisions of this entry shall not be applicable to (a) services at S. No. 1 (i), (ii)and (iii); and (b) services by way of renting of immovable property; |
40.
|
Services
provided by Employees Provident Fund Organisation (EPFO) to persons governed under
the Employees Provident Funds and Miscellaneous Provisions Act, 1952 (19 of
1952);
|
41.
|
Services
provided by Insurance Regulatory and Development Authority of India (IRDA) to
insurers under the Insurance Regulatory and
Development Authority of India Act, 1999 (41 of 1999);
|
42.
|
Services
provided by Securities and Exchange Board of India (SEBI) set up under the
Securities and Exchange Board of India Act, 1992 (15
of 1992) by way of protecting the interests of investors in securities and
to promote the development of, and to regulate, the securities market;
|
43.
|
Services provided
by National Centre
for Cold Chain
Development under Ministry
of Agriculture,
Cooperation and Farmer’s Welfare by way of cold chain knowledge dissemination; |
44.
|
Services
by way of transportation of goods by an aircraft from a place outside India
upto the customs station of clearance in India.
|
45.
|
Services
provided by Government or a local authority to another Government or local
authority: Provided that nothing contained in
this entry shall apply to services at S. No. 1 (i), (ii)and (iii) above
|
46.
|
Services
provided by Government or a local authority by way of issuance of passport,
visa, driving licence, birth certificate or death
certificate.
|
47.
|
Services
provided by Government or a local authority by way of tolerating non-performance of a contract
for which consideration in the form of fines or liquidated damages is payable
to the Government or the local authority under such
contract;
|
48.
|
Services
provided by Government or a local authority by way of- (a) registration
required under any law for the time being in
force; (b) testing, calibration, safety check or certification relating to protection
or safety of workers, consumers or public at
large, including fire license, required under any law for the time being in
force;
|
49.
|
Services
provided by Government or a local authority by way of assignment of right to
use natural resources to an individual farmer for
cultivation of plants and rearing of all life forms of animals, except the
rearing of horses, for food, fibre, fuel, raw material or other similar
products;
|
50.
|
Services
by Government, a local authority or a governmental authority by way of any
activity in relation to any function entrusted to a Panchayat
under article 243G of the Constitution: this shall be continued by way of
notification undersection 7(2)(b) of CGST/SGST Acts.
|
51.
|
Services
provided by Government or a local authority by way of assignment of right to
use any natural resource where such right to use was
assigned by the Government or the local authority before the 1st April, 2016:
Provided that the exemption shall apply only to service tax payable on one time charge payable, in full upfront or in installments, for assignment of right to use such natural resource; |
52.
|
Services
provided by Government or a local authority by way of allowing a business
entity to operate as a telecom service provider or use
radiofrequency spectrum during the period prior to 1st April, 2016, on payment
of licence fee or spectrum user charges, as the case may be;
|
53.
|
Services
provided by Government by way of deputing officers after office hours or on
holidays for inspection or container stuffing or
such other duties in relation to import export cargo on payment of Merchant
Overtime charges (MOT).
|
54.
|
Services
by an acquiring bank, to any person in relation to settlement of an amount
upto two thousand rupees in a single transaction
transacted through credit card, debit card, charge card or other payment card
service.
Explanation. — For the purposes of this entry, “acquiring bank” means any banking company, financial institution including non-banking financial company or any other person, who makes the payment to any person who accepts such card |
55.
|
Services
of leasing of assets (rolling stock assets including wagons, coaches, locos)
by Indian Railways Finance Corporation to Indian
Railways
|
56.
|
Services
provided by any person for official use of a foreign diplomatic mission or
consular post in India or for personal use or
for the use of the family members of diplomatic agents or career consular
officers posed therein. This exemption is
available on reciprocal basis based on a certificate issued by MEA (Protocol
Division):
this shall be continued by way of notification under section 55 of CGST/SGST Acts. |
57.
|
Taxable
services, provided or to be provided, by a Technology Business Incubator (TBI)
or a Science and Technology Entrepreneurship Park
(STEP) recognized by the National Science and Technology Entrepreneurship
Development Board (NSTEDB) of the Department of Science and Technology, Government
of India or bio-incubators recognized by the Biotechnology Industry Research
Assistance Council, under Department of
Biotechnology, Government of India;
|
58.
|
Taxable
service provided by State Government Industrial Development Corporations/
Undertakings to industrial units by way of granting
long term (thirty years, or more) lease of industrial plots from so much of
tax leviable thereon, as is leviable on the one time upfront amount (called
as premium, salami, cost, price, development
charges or by any other name) payable for such lease.
|
59.
|
Services
provided to the government by way of transport of passengers with or without
accompanied belongings, by air, embarking from or
terminating at a regional connectivity scheme airport, against consideration
in the form of viability gap funding (VGF).
Provided that nothing contained in this entry shall apply on or after the expiry of a period of 1 year from the date of commencement of operations of the regional connectivity scheme airport as notified by the Ministry of Civil Aviation |
60.
|
Services
provided by cord blood banks by way of preservation of stem cells or any
other service in relation to such
preservation;
|
61.
|
Services
by way of training or coaching in recreational activities relating to,-
(i) arts or culture. or (ii) sports by charitable entities registered under section 12AA of Income tax Act, 1961; |
62.
|
Any
services provided by, _
(i) the National Skill Development Corporation set up by the Government of India; (ii) a Sector Skill Council approved by the National Skill Development Corporation; (iii) an assessment agency approved by the Sector Skill Council or the National Skill Development Corporation; (iv) a training partner approved by the National Skill Development Corporation or the Sector Skill Council in relation to (a) the National Skill Development Programme implemented by the National Skill Development Corporation; or (b) a vocational skill development course under the National Skill Certification and Monetary Reward Scheme; or (c) any other Scheme implemented by the National Skill Development Corporation. |
63.
|
Services
of assessing bodies empanelled centrally by Directorate General
of Training, Ministry of Skill
Development
and Entrepreneurship by way of assessments under Skill Development Initiative
(SDI) Scheme
|
64.
|
Services
provided by training providers (Project implementation agencies) under Deen
Dayal Upadhyaya Grameen Kaushalya Yojana under the
Ministry of Rural Development by way of offering skill or vocational training
courses certified by National Council For Vocational Training.
|
65.
|
Services
by way of sponsorship of sporting events organised,-
(a) by a national sports federation, or its affiliated federations, where the participating teams or individuals represent any district, State, zone or Country; (b) by Association of Indian Universities, Inter-University Sports Board, School Games Federation of India, All India Sports Council for the Deaf, Paralympic Committee of India or Special Olympics Bharat; (c) by Central Civil Services Cultural and Sports Board; (d) as part of national games, by Indian Olympic Association; or (e) under Panchayat Yuva Kreeda Aur Khel Abhiyaan (PYKKA) Scheme; |
66.
|
Services
provided by way of pure labour contracts of construction, erection,
commissioning, installation, completion, fitting
out, repair, maintenance, renovation, or alteration of a civil structure or
any other original works pertaining to the
Beneficiary-led individual house construction / enhancement under the Housing
for All (Urban) Mission/Pradhan Mantri Awas Yojana (PMAY);
|
67.
|
Services
by way of pure labour contracts of
construction, erection, commissioning, or installation of
|
original
works pertaining to a single residential unit otherwise than as a part of a
residential complex;
|
|
68.
|
Services
of general insurance business provided under following schemes -
(a) Hut Insurance Scheme; (b) Cattle Insurance under Swarnajaynti Gram Swarozgar Yojna (earlier known as Integrated Rural Development Programme); (c) Scheme for Insurance of Tribals; (d) Janata Personal Accident Policy and Gramin Accident Policy; (e) Group Personal Accident Policy for Self-Employed Women; (f) Agricultural Pumpset and Failed Well Insurance; (g) Premia collected on export credit insurance; (h) Weather Based Crop Insurance Scheme or the Modified National Agricultural Insurance Scheme, approved by the Government of India and implemented by the Ministry of Agriculture; (i) Jan Arogya Bima Policy; (j) National Agricultural Insurance Scheme (Rashtriya Krishi Bima Yojana); (k) Pilot Scheme on Seed Crop Insurance; (l) Central Sector Scheme on Cattle Insurance; (m) Universal Health Insurance Scheme; (n) Rashtriya Swasthya Bima Yojana; or (o) Coconut Palm Insurance Scheme; (p) Pradhan Mantri Suraksha BimaYojna; (q) Niramaya Health Insurance Scheme implemented by Trust constituted under the provisions of the National Trust for the Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation and Multiple Disabilities Act, 1999 (44 of 1999); or (r) Any other insurance scheme of the State Government as may be notified by Government of India on the recommendation of GSTC. |
69.
|
Services
of life insurance business provided under following schemes -
|
Sl.
No. |
Services
|
(a) Janashree Bima Yojana (JBY); or
(b) Aam Aadmi Bima Yojana (AABY); (c) Life micro-insurance product as approved by the Insurance Regulatory and Development Authority, having maximum amount of cover of fifty thousand rupees; (d) Varishtha Pension BimaYojana; (e) Pradhan Mantri Jeevan JyotiBimaYojana; (f) Pradhan Mantri Jan DhanYogana; (g) Pradhan Mantri Vaya Vandan Yojana; and (h) Any other insurance scheme of the State Government as may be notified by Government of India on the recommendation of GSTC. |
|
70.
|
Services
by way of collection of contribution under Atal Pension Yojana (APY).
|
71.
|
Services
by way of collection of contribution under any pension scheme of the State
Governments.
|
72.
|
Service
of transportation of passengers, with or without accompanied belongings, by—
(i) railways in a class other than— (A) first class; or (B) an air-conditioned coach; (ii) metro, monorail or tramway; (iii) inland waterways; (iv) public transport, other than predominantly for tourism purpose, in a vessel between places located in India; and (v) metered cabs or auto rickshaws (including E-rickshaws); |
73.
|
Services
by a person by way of-
(a) conduct of any religious ceremony; (b) renting of precincts of a religious place meant for general public, owned or managed by an entity registered as a charitable or religious trust under section 12AA of the Income-tax Act, 1961 (hereinafter referred to as the Income-tax Act), or a trust or an institution registered under sub clause (v) of clause (23C) of section 10 of the Income-tax Act or a body or an authority covered |
under
clause (23BBA) of section 10 of the Income-tax Act: Provided that
nothing contained in (b) of this exemption shall apply to,-
(i) renting of rooms where charges are Rs 1000/- or more per day; (ii) renting of premises, community halls, kalyanmandapam or open area, etc where charges are Rs 10,000/- or more per day; (iii) renting of shops or other spaces for business or commerce where charges are Rs 10,000/-or more per month. |
|
74.
|
Services
by a hotel, inn, guest house, club or campsite, by whatever name called, for
residential or lodging purposes, having declared tariff of a
unit of accommodation less than one thousand rupees per day or equivalent;
|
75.
|
Services
by way of transportation by rail or a vessel from
one place in India to another of the following
goods
-
(a) relief materials meant for victims of natural or man-made disasters, calamities, accidents or mishap; (b) defence or military equipments; (c) newspaper or magazines registered with the Registrar of Newspapers; (d) railway equipments or materials; (e) agricultural produce; (f) milk, salt and food grain including flours, pulses and rice; and (g) organic manure |
76.
|
Services
provided by a goods transport agency, by way of transport in
a goods carriage of,-
(a) agricultural produce; (b) goods, where gross amount charged for the transportation of goods on a consignment transported in a single carriage does not exceed one thousand five hundred rupees; (c) goods, where gross amount charged for transportation of all such goods for a single consignee does not exceed rupees seven hundred fifty; (d) milk, salt and food grain including flour, pulses and rice; |
(e)
organic manure;
(f) newspaper or magazines registered with the Registrar of Newspapers; (g) relief materials meant for victims of natural or man-made disasters, calamities, accidents or mishap; or (h) defence or military equipment’s; |
|
77.
|
Services
by the following persons in respective capacities -
(a) business facilitator or a business correspondent to a banking company with respect to accounts in its rural area branch; (b) any person as an intermediary to a business facilitator or a business correspondent with respect to services mentioned in clause (g); or (c) business facilitator or a business correspondent to an insurance company in a rural area; |
78.
|
Carrying
out an intermediate production process as job work in relation to cultivation
of plants and rearing of all life forms of animals,
except the rearing of horses, for food, fibre, fuel, raw material or other similar
products or agricultural produce;
|
79.
|
Services
by way of loading, unloading, packing, storage or warehousing of rice;
|
80.
|
Services
by way of right to admission to, -
(i) circus, dance, or theatrical performance including drama or ballet; (ii) award function, concert, pageant, musical performance or any sporting event other than a recognized sporting event; (iii) recognised sporting event; where the consideration for admission is not more than Rs 250 per person in (i), (ii) and (iii) above. |
81.
|
Services
provided by Government or a local authority where the gross amount charged
for such services does not exceed Rs.5000/.
Provided that nothing contained in this entry shall apply to services S. No. 1 (i), (ii)and (iii) above: Provided further that in case where continuous supply of service, as defined in sub-section (33) of section2 of the CGST Act, 2017, is provided by the Government or a local authority, the exemption shall apply only where the gross amount charged for such service does not exceed Rs. 5000/- in a financial |
year;
[This may be continued by way of an omnibus threshold exemption from payment
of GST under section 9 (4) of CGST/SGST Act in
respect of supplies upto Rs 10,000/-].
|
|
82.
|
(i)
Health care services by a clinical establishment, an authorised medical
practitioner or para-medics;
(ii) Services provided by way of transportation of a patient in an ambulance, other than those specified in (i) above; |
83.
|
New
Exemption:
Services provided by the Goods and Services Tax Network (GSTN) to the Central Government or State Governments/Union Territories for implementation of Goods and Services Tax (GST) |
I am working in Manpower Services Provider like Security and Cleaning Services i.e House keeping services, Proprietor firm in Andhra Pradesh. What GST Rate Applicable? Please give advise to how to monthly return filing procedure.
ReplyDeleteDear Mr.Premkumar,
ReplyDeleteVisit the following urls for requirements.
https://goo.gl/rUiMIv
http://www.accounts4tutorials.com/2017/01/gst-return-filling-innovations-gsp.html