GST Rate Changes for Goods
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| Namkeens and Savory Products |
GST on extruded/expanded savoury products reduced from 18% to 12%; 5% GST on un-fried or uncooked snack pellets continues. |
| Cancer Drugs |
GST on cancer drugs like Trastuzumab Deruxtecan, Osimertinib, and Durvalumab reduced from 12% to 5%. |
| Metal Scrap |
Reverse Charge Mechanism (RCM) introduced for metal scrap supplies by unregistered persons; 2% TDS applied on B2B metal scrap supplies by registered persons. |
| RMPU Air Conditioning Machines |
RMPU air conditioning machines for railways classified under HSN 8415, attracting a 28% GST rate. |
| Car and Motorcycle Seats |
GST on car seats (HSN 9401) increased from 18% to 28%, aligning with the rate for motorcycle seats. |
GST Rate Changes for Services
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| Life and Health Insurance |
Group of Ministers (GoM) to be constituted to study GST issues related to life and health insurance. Report expected by October 2024. |
| Transport by Helicopters |
GST on passenger transport by helicopters (seat share basis) set at 5%; 18% GST continues for charter helicopter services. |
| Flying Training Courses |
DGCA-approved flying training courses conducted by Flying Training Organizations (FTOs) will be exempt from GST. |
| Preferential Location Charges |
Preferential Location Charges (PLC) in construction services to be taxed as composite supply. |
| Affiliation Services |
Affiliation services provided by boards like CBSE taxable; services provided to government schools by state/central boards will be exempt. |
| Import of Services by Branches |
Import of services by foreign airlines’ branch offices from related persons will be exempt from GST if made without consideration. |
Compliance Measures
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| B2C E-invoicing |
Pilot project for B2C e-invoicing introduced to improve business efficiency and environmental sustainability. |
| Invoice Management System (IMS) |
Invoice Management System to allow taxpayers to accept, reject, or keep invoices pending for claiming Input Tax Credit (ITC). |
| Waiver of Interest/Penalty |
Special procedure to waive interest/penalty for tax demands from FY 2017-18, 2018-19, and 2019-20 under section 73 of CGST Act. |
| Clarifications via Circulars |
Clarifications on place of supply for advertising services, ITC on demo vehicles, and place of supply for data hosting services to be issued. |