5 Percent GST Rate has been notified by the GST Council on the Rab

Subject: Clarification  regarding  GST  rate  and  classification of ‘Rab’ based on the recommendation of the GST Council in its 49thmeeting held on 18thFebruary, 2023 –reg. Based on the recommendation of the GST council in its 49thmeeting, held on 18thFebruary, 2023, 


https://www.istockphoto.com/


With effect from the 1stMarch, 2023, 5% GST rate has been notified on Rab, when sold in pre-packaged and labelled, and Nil GST, when sold in other than pre-packaged and labelled.2.Further, as per the recommendation of the GST Council in the above-said meeting, in view of the prevailing divergent interpretations and genuine doubts regarding the applicability of GST rate on Rab, the issue for past period is hereby regularized on “as is” basis.3.Difficulty if any, in the implementation of this circular may be brought to the notice of the Board. 

(Circular No. 191/03/2023-GSTF. No. CBIC-190354/21/2023)

Download Original Circular Click Here 


What is "Rab"

Rab is a liquid jaggery basically used in food and beverages industry to use as sweetener to some kind of beverages it is also used in liquor industry such Rum.

Whether Rab is subject to GST

Jaggery in liquid form (RAB) is subject to GST if it is sold as pre-packaging and labelled.

What is rate of GST on RAB 

As per the Circular No Circular No. 191/03/2023-GSTF. No. CBIC-190354/21/2023 issued by GST Council Rab will be subject to GST at the rate of 5% from 1 march 2023 and onwards.


When it is sold in other form where pre-packaging and labelled is not done then Nil rate of GST is charged on "Rab"

Comments

Post a Comment

Popular posts from this blog

Section 7 Scope of Supply under Goods and Services Tax Act, 2017

Image
Section 7 Scope of Supply under Goods and Services Tax Act, 2017 Bare Act * Section 7. Scope of supply.- (1) For the purposes of this Act, the expression - "supply" includes- (a) all forms of supply of goods or services or both such as sale, transfer, barter, exchange, licence, rental, lease or disposal made or agreed to be made for a consideration by a person in the course or furtherance of business; 1[(aa) the activities or transactions, by a person, other than an individual, to its members or constituents or vice-versa, for cash, deferred payment or other valuable consideration. Explanation .-For the purposes of this clause, it is hereby clarified that, notwithstanding anything contained in any other law for the time being in force or any judgment, decree or order of any Court, tribunal or authority, the person and its members or constituents shall be deemed to be two separate persons and the supply of activities or transactions inter se shall be deemed to take place from
Read more

What is Crypto Currency ?

Image
Introduction : Cryptocurrency, a digital or virtual form of currency, has gained significant attention and popularity in recent years. Unlike traditional fiat currencies, cryptocurrencies operate on decentralized systems based on blockchain technology. In this article, we will explore the concept of cryptocurrency, its benefits and risks, and its potential impact on the future of finance. What is Cryptocurrency? Cryptocurrency is a type of digital or virtual currency that uses cryptography for security and operates independently of any central authority, such as a government or financial institution. The most well-known cryptocurrency is Bitcoin, introduced in 2009 by an anonymous person or group named Satoshi Nakamoto. Since then, numerous cryptocurrencies, such as Ethereum, Litecoin, and Ripple, have emerged. Decentralization and Blockchain Technology : One of the key features of cryptocurrency is decentralization. Instead of relying on a central authority, transactions and record-ke
Read more

Audit Trail Mandatory form 1st April 2023 for All Class of Companies (Summary of ICAI Guidelines on Audit Trail)

Image
                                        Audit trail by Nick Youngson CC BY-SA 3.0 Pix4free Introduction to Amendments to Rule 11(g) of Companies (Audit and Auditors) Rules, 2014   The Ministry of Corporate Affairs (MCA) vide its notification No. GSR 206(E) dated March 24, 2021 has issued the ‘Companies (Audit and Auditors) Amendment Rules, 2021’ (hereinafter referred as “the Audit Rules”) read with sub-section 3 of Section 143 of the Companies Act, 2013 (hereinafter referred as “the Act”) introducing new Rule 11(e), new Rule 11(f) and new Rule 11(g) and deleting Rule 11(d). Whether the company has used such accounting software for maintaining its books of account that has a feature of recording audit trail (edit log) facility and the same has been used throughout the year for all transactions recorded in the software commencing from 1st April 2022. the audit trail feature has not been altered, and the company has retained the audit trail in accordance with statutory obligations. Th
Read more