Notification to revise GST Rate of GTA, Work Contract etc

rate

Government of India
Ministry of Finance
(Department of Revenue)
Notification No. 20/2017-Central Tax (Rate)
New Delhi, the 22nd August, 2017

G.S.R……(E).- In exercise of the powers conferred by sub-section (1) of section 9, subsection (1) of section 11, sub-section (5) of section 15 and sub-section (1) of section 16 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on the recommendations of the Council, and on being satisfied that it is necessary in the public interest so to do, hereby makes the following amendments in the notification of the Government of India, in the Ministry of Finance (Department of Revenue), No. 11/2017- Central Tax (Rate), dated the 28th June, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 690(E), dated the 28th June, 2017, namely:-

In the said notification, in the Table,-

(i) against serial number 3, for item (iii) in column (3) and the entries relating thereto in columns (3), (4) and (5), the following shall be substituted, namely:-

(3) (4) (5)
“(iii) Composite supply of works contract as defined in clause  (119)  of  section  2  of  the  Central  Goods  and Services Tax Act, 2017, supplied  to the Government, a local  authority  or  a  Governmental  authority  by  way of construction, erection,   commissioning,   installation, completion, fitting out, repair, maintenance, renovation, or alteration of, –
(a)  a  historical  monument,  archaeological  site  or remains  of  national  importance,  archaeological excavation,   or   antiquity   specified   under   the Ancient  Monuments  and  Archaeological  Sites and Remains Act, 1958 (24 of 1958);
(b) canal, dam or other irrigation works;
(c)  pipeline,  conduit  or  plant  for  (i)  water  supply
(ii) water treatment, or (iii) sewerage treatment or disposal.
6
(iv) Composite supply of works contract as defined in clause  (119)  of  section  2  of  the  Central  Goods  and 6
Services     Tax     Act,     2017,     supplied     by     way of construction, erection,   commissioning,   installation, completion, fitting out, repair, maintenance, renovation, or alteration of,-
(a)  a  road,  bridge,  tunnel,  or  terminal  for  road transportation for use by general public;
(b) a  civil  structure  or  any  other  original  works pertaining to a scheme under Jawaharlal Nehru National   Urban   Renewal   Mission   or   Rajiv Awaas Yojana;
(c)  a  civil  structure  or  any  other  original  works pertaining   to   the   “In-situ   rehabilitation   of existing slum dwellers using land as a resource through     private     participation”     under     the Housing    for    All    (Urban)    Mission/Pradhan Mantri  Awas  Yojana,  only  for  existing  slum dwellers;
(d) 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;
(e)  a  pollution  control  or  effluent  treatment  plant, except located as a part of a factory; or
(f)  a    structure    meant    for    funeral,    burial    or cremation of deceased.
(v)  Composite  supply of  works  contract  as  defined  in clause  (119)  of  section  2  of  the  Central  Goods  and Services    Tax    Act,    2017,    supplied     by    way    of construction, erection, commissioning, or installation of original works pertaining to,-
(a)  railways, excluding monorail and metro;
(b) a single residential unit otherwise than as a part of a residential complex;
(c)  low-cost houses up to a carpet area of 60 square metres per house in a housing project approved by  competent  authority  empowered  under  the ‘Scheme  of  Affordable  Housing  in  Partnership’ framed  by the  Ministry  of  Housing  and  Urban Poverty Alleviation, Government of India;
(d) low cost houses up to a carpet area of 60 square metres per house in a housing project approved
6
by the competent authority under-
(1)     the     “Affordable     Housing     in Partnership”  component  of  the  Housing for All (Urban) Mission/Pradhan Mantri Awas Yojana;
(2)   any   housing   scheme   of   a   State Government;
(e)  post-harvest       storage       infrastructure       for agricultural produce including a cold storage for such purposes; or
(f)  mechanised    food    grain    handling    system, machinery  or  equipment  for  units  processing agricultural   produce   as   food   stuff   excluding alcoholic beverages.
(vi) Construction services other than (i), (ii), (iii), (iv) and (v) above. 9 -”;

(ii) against serial number 8, for item (vi) in column (3) and the entries relating thereto in columns (3), (4) and (5), the following shall be substituted, namely:-

(3) (4) (5)
“(vi)  Transport  of  passengers  by  motorcab  where  the cost  of  fuel  is  included  in  the  consideration  charged from the service recipient. 2.5 Provided  that  credit of input tax charged on       goods       and services   used       in supplying            the service has not been taken
[Please     refer     to Explanation         no. (iv)]
or
6 -”;

 

(iii) against serial number 9, for item (iii) in column (3) and the entries relating thereto in columns (3), (4) and (5), the following shall be substituted, namely:-

(3) (4) (5)
“(iii)  Services  of  goods  transport  agency  (GTA)  in relation   to   transportation   of   goods   (including   used 2.5 Provided  that  credit of input tax charged
household goods for personal use).
Explanation.-   “goods   transport   agency”   means   any person who provides service in relation to transport of goods   by   road   and   issues   consignment   note,   by whatever name called.
on       goods       and services   used       in supplying            the service has not been taken
[Please     refer     to Explanation         no. (iv)]
or
6 Provided    that    the goods         transport agency      opting   to pay   central   tax   @ 6%  under  this  entry shall,     thenceforth, be    liable    to    pay central tax @ 6% on all  the    services  of GTA    supplied    by it.”;

 

(iv) against serial number 10, for item (i) in column (3) and the entries relating thereto in columns (3), (4) and (5), the following shall be substituted, namely:-

(3) (4) (5)
“(i)  Renting  of  motorcab  where  the  cost  of  fuel  is included in the consideration charged from the service recipient. 2.5 Provided  that  credit of input tax charged on       goods       and services   used       in supplying            the service has not been taken
[Please     refer     to Explanation         no. (iv)]
or
6 -”;

(v) against serial number 11, for item (i) in column (3) and the entries relating thereto in columns (3), (4) and (5), the following shall be substituted, namely:-

 

(3)

(4) (5)
“(i)   Services   of   goods   transport   agency   (GTA)   in relation   to   transportation   of   goods   (including   used household goods for personal use).
Explanation.-   “goods   transport   agency”   means   any person who provides service in relation to transport of goods   by   road   and   issues   consignment   note,   by whatever name called.
2.5 Provided  that  credit of input tax charged on       goods       and services   used       in supplying            the service has not been taken
[Please     refer     to Explanation         no. (iv)]
or
6 Provided    that    the goods         transport agency      opting   to pay   central   tax   @ 6%  under  this  entry shall,     thenceforth, be    liable    to    pay central tax @ 6% on all  the    services  of GTA    supplied    by it.”;

 

(vi) against serial number 26,-

(a) in column (3), in item (i),-

(A) for sub-item (b), the following sub-item shall be substituted, namely:-

“(b) Textiles and textile products falling under Chapter 50 to 63 in the First Schedule to the Customs Tariff Act, 1975 (51of 1975);”;

(B) the Explanation shall be omitted;

(b) for item (ii) in column (3) and the entries relating thereto in columns (3), (4) and (5), the following shall be substituted, namely

 

(3) (4) (5)
“(ii)  Services  by  way  of  any  treatment  or  process  on  goods belonging to another person, in relation to-
(a) printing of newspapers;
(b)  printing  of  books  (including  Braille  books),  journals  and periodicals.
2.5
(iii) Manufacturing services on physical inputs (goods) owned by others, other than (i) and (ii) above. 9 -”;

(vii) for serial number 27 and the entries relating thereto, the following shall be substituted,namely:-

(1) (2) (3) (4) (5)
“27 Heading 9989 (i)    Services    by    way    of    printing    of newspapers, books (including Braille books), journals  and  periodicals,  where  only  content is supplied by the publisher and the physical inputs   including   paper   used   for   printing belong to the printer. 6
(ii) Other manufacturing services; publishing, printing  and  reproduction  services;  materials recovery services, other than (i) above. 9 -”;

(viii) against serial number 34, in column (3), in item (i), after the word “drama”, the words “or planetarium” shall be inserted.

[F. No.354/173/2017 -TRU]

(Ruchi Bisht)
Under Secretary to the Government of India

Note:-The principal notification was published in the Gazette of India, Extraordinary, vide notification No. 11/2017 – Central Tax (Rate), dated the 28th June, 2017, vide number G.S.R. 690 (E), dated the 28th June, 2017.

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