CBIC Revises UTGST Rate Notification Under Finance Act 2026

CBIC amends Notification No 9/2025 – Union Territory ​tax (Rate) to align them with changes made vide Finance Act, 2026​

Ministry of Finance, Department of Revenue, has issued Notification No. 01/2026-Union Territory Tax (Rate) dated April 30, 2026, amending Notification No. 09/2025-Union Territory Tax (Rate) to align tariff entries under the Union Territory Goods and Services Tax framework with changes introduced through the Finance Act, 2026. Issued under Section 7(1) of the Union Territory Goods and Services Tax Act, 2017, read with Section 15(5) of the Central Goods and Services Tax Act, 2017, on the recommendations of the GST Council, the notification revises tariff classifications under Schedule I attracting 2.5% UTGST and Schedule III attracting 20% UTGST. In Schedule I, against Serial No. 150, the entry in column (2) has been substituted with “2202 99 21, 2202 99 29,” while against Serial No. 151, the revised entry is “22029931, 22029939.” In Schedule III, against Serial No. 2, the tariff entry has been substituted with “2202 99 90, 2202 99 91, 2202 99 99,” and against Serial No. 3, the revised entry is “2202 99 91, 2202 99 99.” These amendments will come into force from May 1, 2026. The principal notification being amended was originally issued on September 17, 2025, and was last amended on December 31, 2025. With this notification, tariff entries under specified UTGST schedules stand revised in line with the updated tariff structure introduced through the Finance Act, 2026.

MINISTRY OF FINANCE
(Department of Revenue)

Notification No. 01/2026-Union Territory Tax (Rate) | Dated: 30th April, 2026

G.S.R. 329(E).— In exercise of the powers conferred by sub-section (1) of section 7 of the Union Territory Goods and Services Tax Act, 2017 (14 of 2017) and sub-section (5) of section 15 of the Central Goods and Services Tax Act, 2017(12 of 2017), the Central Government, on the recommendations of the Council, hereby makes the following further amendments in the notification of the Government of India, Ministry of Finance (Department of Revenue), No. 9/2025- Union Territory Tax (Rate), published in the Gazette of India, Extraordinary, Part II, Section 3, Subsection (i), vide number G.S.R. 646(E), dated the 17^th September, 2025, namely —

In the said notification, –

(a) in Schedule I – 2.5 %,

i. against S. No. 150, for the entry in column (2), the entry “2202 99 21, 2202 99 29” shall be substituted;

ii. against S. No. 151, for the entry in column (2), the entry “22029931, 22029939” shall be substituted;

(b) In Schedule III – 20%,

i. against S. No. 2, for the entry in column (2), the entry “2202 99 90, 2202 99 91, 2202 99 99” shall be substituted;

ii. against S. No. 3, for the entry in column (2), the entry “2202 99 91, 2202 99 99” shall be substituted;

2. This notification shall come into force from 1^st May, 2026.

[F. No. 190341/139/2026-TRU]
DHEERAJ SHARMA, Under Secy.

Note: The principal notification No. 09/2025-Union Territory Tax (Rate), dated the 17^th September, 2025 was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-Section (i) vide G.S.R. 646(E), dated the 17^th September, 2025 and was last amended vide Notification No. 19/2025- Union Territory Tax (Rate) dated the 31^st December, 2025 vide G.S.R. 948(E), dated the 31^st December, 2025.