Seeks to notify the grant of alcoholic liquor licence neither a supply of goods nor a supply of service as per Section 7(2) of CGST Act, 2017 vide Notification No. 25/2019-Central Tax (Rate) dated 30th September, 2019.
Service by way of grant of alcoholic liquor licence, against consideration in the form of licence fee or application fee or by whatever name it is called shall be treated neither as a supply of goods nor a supply of service
This notification is issued to implement the recommendation of the 26th GST Council meeting held on the 10th March, 2018 that no GST shall be leviable on licence fee and application fee, by whatever name it is called, payable for alcoholic liquor for human consumption.
Government of India
Ministry of Finance
(Department of Revenue)
Notification No. 25/2019-Central Tax (Rate)
New Delhi, the 30th September, 2019
G.S.R 746(E).– In exercise of the powers conferred by sub-section (2) of section 7 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on the recommendations of the Council hereby notifies that the following activities or transactions undertaken by the State Governments in which they are engaged as public authorities, shall be treated neither as a supply of goods nor a supply of service, namely:-
“Service by way of grant of alcoholic liquor licence, against consideration in the form of licence fee or application fee or by whatever name it is called.”
[F. No. 354/136/2019- TRU]
(Ruchi Bisht)
Under Secretary to the Government of India
Explanation.- This notification is being issued to implement the recommendation of the 26th Goods and Services Tax council meeting held on the 10th March, 2018 that no GST shall be leviable on licence fee and application fee, by whatever name it is called, payable for alcoholic liquor for human consumption.
