GST Exempted Goods: List of Goods and Services Exempted Under GST 2021:- Understanding the taxability also involves knowing whether an item is exempt or not under GST. Due to the scope of taxable supplies being widened under GST, GST Exemptions have clearly been defined. Not just knowing the Exemption list, but also understanding the implication of item being exempt is important as certain conditions are attached to it like reversing the ITC.
Also, what can be Nil rated today may become charged to a higher tax rate in the future. Hence, clearly demarking the various terms such as Nil Rated, Exempt, Zero-rated, and Non-GST supplies under GST is important.
EXEMPTED SUPPLIES UNDER GST EXEMPTION LIST
While some goods attract 5% GST, some others attract 12%, 18%, 28%. Some goods, however, are exempt from GST. All products under GST are listed under the Harmonised System of Nomenclature, or HSN code. Each of the products has a HSN code number to ensure that the invoicing practices of GST are in sync with global standards of product nomenclature.
Goods, services, supplies, businesses, and individuals must register for GST provided they fulfill certain conditions. However, there are few exceptions to this. In the following section, you will find a list mentioning all the items, businesses, and taxpayers who can avail of tax exemption under the Goods and Services Tax regime.
List of Goods Exempt Under GST: Fruits and Dry FruitsTree, Plants & VegetablesPizza, Cake, Bread, Pasta & Waffles, Books, Brochures, Newspapers
EXEMPTED GOODS IN GST EXEMPTION LIST
GST Exempted Goods: List of Goods Exempt Under GST
- Live Animals
- Live asses, mules, and hinnies
- Bovine animals
- Live swine
- Sheep and goats
- Live poultry, that is to say, fowls of the species Gallus domesticus, ducks, geese, turkeys, and guinea fowls (HSN Code – 0105)
EXEMPTED SERVICES IN GST EXEMPTION LIST
- Public transportation services, auto-rickshaws, metered cabs, metro, etc.
- Agricultural services, including harvesting, packaging, warehouse, cultivation, supply, leasing of machinery, are essentially GST exempt services. An exception to these exempted services includes the rearing of horses.
- Transportation of agricultural products and goods outside of India.
- Labour supply for farms.
- Services like retail packing, pre-conditioning, waxing, etc.
- Foreign diplomatic and government services.
- Goods transportation where the charges are less than Rs.1500.
- Healthcare and educational services like mid-day meal catering, VET clinics, paramedics, etc. Ambulance and charity services also qualify for exemption under GST.
- Services are offered by RBI, IRDAI, Central and State Government, NPS, and more.
Some of the other exemptions of services under the GST exemption list Include:
- Services provided by tour guides to foreign tourists.
- Library services
- Services for conducting religious ceremonies
- Distribution of electricity
- Services by authorized sports organizations.
Goods and Services Tax Network
The GSTN software is developed by Infosys Technologies and the Information Technology network that provides the computing resources is maintained by the NIC. “Goods and Services Tax Network” (GSTN) is a nonprofit organization formed for creating a sophisticated network, accessible to stakeholders, government, and taxpayers to access information from a single source (portal). The portal is accessible to the Tax authorities for tracking down every transaction, while taxpayers have the ability to connect for their tax returns.
The GSTN’s authorized capital is ₹10 crores (US$1.3 million) in which initially the Central Government held 24.5 percent of shares while the state government held 24.5 percent. The remaining 51 percent were held by non-Government financial institutions, HDFC and HDFC Bank hold 20%, ICICI Bank holds 10%, NSE Strategic Investment holds 10% and LIC Housing Finance holds.
Conclusion: If you have any queries regarding the GST Exemption list you can contact us via email and our email id is firstname.lastname@example.org.
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