Certain changes in Goods Exemption Notification from January 01, 2022 to align it with HS 2022
Background:
Earlier, the CBIC issued Notification No. 2/2017 Central Tax (Rate) dated June 28, 2017 (Goods Exemption Notification) in order to notify the exemption on certain supply of goods mentioned therein.
Further, the new (seventh) edition of the Harmonized System (HS) nomenclature i.e., HS-2022, has come into force from January 01, 2022. This edition has introduced significant changes to the Harmonized System with a total of 351 amendments at the six-digit level, covering a wide range of goods moving across borders.
As India is a party to the HS convention, necessary changes were brought in accordingly, in GST through the below mentioned notification:
Notification:
The CBIC vide Notification No. 19/2021-Central Tax (Rate) dated December 28, 2021 has amended relevant entries of the Goods Exemption Notification w.e.f. January 1, 2022, in the following manner:
| S. No. | Old HSN | Old Entry | New HSN | New entry |
| 22 | 0303, 0304, 0305, 0306, 0307, 0308 | All goods [other than fresh or chilled and other than those put up in unit container and, –
(a) bearing a registered brand name; or (b) bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any actionable claim or enforceable right in respect of such brand name has been foregone voluntarily], subject to the conditions as in the ANNEXURE I |
0303, 0304, 0305, 0306, 0307, 0308, 0309 | All goods [other than fresh or chilled and other than those put up in unit container and, –
(c) bearing a registered brand name; or bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any actionable claim or enforceable right in respect of such brand name has been foregone voluntarily], subject to the conditions as in the ANNEXURE I |
| 43B | 0711 | Vegetables provisionally preserved (for example, by sulphur dioxide gas, in brine, in sulphur water or in other preservative solutions), but unsuitable in that state for immediate consumption | 0711 | Vegetables provisionally preserved, but unsuitable in that state for immediate consumption |
| 49 | 0802 | Other nuts, Other nuts, fresh such as Almonds, Hazelnuts or filberts (Coryius spp.), walnuts, Chestnuts (Castanea spp.), Pistachios, Macadamia nuts, Kola nuts (Cola spp.), Areca nuts, fresh, whether or not shelled or peeled | 0802 | Other nuts, fresh such as Almonds, Hazelnuts or filberts (Corylus spp.), walnuts, Chestnuts (Castanea spp.), Pistachios, Macadamia nuts, Kola nuts (Cola spp.), Areca nuts, Pine nuts, fresh, whether or not shelled or peeled |
| 97A | – | – | 2009 89 90 | Tender coconut water other than those put up in unit container and, –
(a) bearing a registered brand name; or (b) bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any such actionable claim or enforceable right in respect of such brand name has been voluntarily foregone, subject to the conditions as specified in the ANNEXURE I |
| 101 | 2202 90 90 | Tender coconut water other than those put up in unit container and,-
(a) bearing a registered brand name; or (b) bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any actionable claim or enforceable right in respect of such brand name has been foregone voluntarily, subject to the conditions as in the ANNEXURE I] |
omitted | omitted |
| 141 | 8803 | Parts of goods of heading 8801 | 8807 | Parts of goods of heading 8801 |
Similar notifications have been passed under Integrated Goods and Services Tax Act, 2017 (“IGST Act”) and Union Territory Goods and Services Tax Act, 2017 (“UTGST Act”).
CGST (Rate) Notification: https://www.cbic.gov.in/resources//htdocs-cbec/gst/notfctn-19-2021-cgst-rate.pdf
IGST (Rate) Notification: https://www.cbic.gov.in/resources//htdocs-cbec/gst/notfctn-19-2021-igst-rate-english.pdf
UTGST (Rate) Notification: https://www.cbic.gov.in/resources//htdocs-cbec/gst/notfctn-19-2021-utgst-rate.pdf
Background:
Earlier, the CBIC issued Notification No. 21/2018- Central Tax (Rate) dated July 26, 2018 (“the Concessional Rate Notification”) in order to prescribe concessional GST rate on specified handicraft items.
Further, the new (seventh) edition of the Harmonized System (HS) nomenclature i.e., HS-2022, has come into force from January 01, 2022. This edition has introduced significant changes to the Harmonized System with a total of 351 amendments at the six-digit level, covering a wide range of goods moving across borders.
As India is a party to the HS convention, necessary changes were brought in accordingly, in GST through the below mentioned notification:
Notification:
The CBIC vide Notification No. 20/2021- Central Tax (Rate) dated December 28, 2021 has amended relevant entries of the Concessional Rate Notification w.e.f. January 1, 2022, in the following manner:
| S.No. | Old HSN | Old Entry | New HSN | New Entry |
| 4 | 4414 00 00 | Wooden frames for painting, photographs, mirrors etc. | 4414 | Wooden frames for painting, photographs, mirrors etc. |
| 29 | 7419 99 | Art ware of brass, copper/ copper alloys, electro plated with nickel/silver | 7419 80 | Art ware of brass, copper/ copper alloys, electro plated with nickel/silver |
Similar notifications have been passed under Integrated Goods and Services Tax Act, 2017 (“IGST Act”) and Union Territory Goods and Services Tax Act, 2017 (“UTGST Act”).
CGST (Rate) Notification: Notification No. 20/2021- Central Tax (Rate) dated December 28, 2021
IGST (Rate) Notification: Notification No. 20/2021-Integrated Tax (Rate) Dated 28th December, 2021
UTGST (Rate) Notification: Notification No. 20/2021-Union Territory Tax (Rate) Dated 28th December, 2021
Our comments:
Similar changes have been adopted in Custom Tariff Act, 1975 from January 01, 2022 so as to align the same with HS 2022 vide D.O.F.No.524/11/2021-STO(TU) dated December 20, 2021
The Letter can be accessed at: Harmonized System nomenclature, HS-2022 applicable from 01.01.2022
The HSN Amendments chapter wise can be accessed at: https://www.a2ztaxcorp.com/wp-content/uploads/2021/12/HSN-Amendments-Chapterwise-from-Jan-1-2022.pdf
Correlation of Customs Tariff between 2021-2022 can be accessed at: https://www.cbic.gov.in/resources//htdocs-cbec/deptt_offcr/Guidance%20Document%20on%20Correlation%20of%20Customs%20Tariff%20between%202021%20and%202022.pdf
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