GST rate changes on Goods – 50th GST Council Meeting – CGST Notification

The Central Board of Indirect Taxes and Customs (CBIC) issued Notification No. 09/2023-Central Tax (Rate) to implement the 50th GST Council Meeting decisions made during the Council Meeting, which resulted in rate changes for specific goods.

The 50th GST Council Meeting, held in July 2023, proposed reductions in GST rates for various goods. Subsequently, CBIC released Notification No. 09/2023 to amend Notification No. 01/2017-Central Tax (Rate) from June 2017, incorporating the decisions of the Council Meeting. The amended rates include changes in Schedule I, II, and III, affecting items like uncooked/unfried snack pellets, fish soluble paste, LD slag, imitation zari thread, and metalized yarn. The article also highlights the impacts of these rate changes on different goods and industries.

MINISTRY OF FINANCE
(Department of Revenue)

Notification No. 09/2023- Central Tax (Rate) | Dated: 26th July, 2023

G.S.R. 547(E).— In exercise of the powers conferred by sub-section (1) of section 9 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 in the Ministry of Finance (Department of Revenue), No. 1/2017-Central Tax (Rate), dated the 28^thJune, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 673(E), dated the 28^thJune, 2017, namely: –

In the said notification, –

A. in Schedule I –2.5%,

(i) after S. No. 99A and entries relating thereto, the following S. No. and entries shall be inserted, namely: –

(ii) after S. No. 108 and entries relating thereto, the following S. No. and entries shall be inserted, namely: –

(iii) after S. No. 156A and entries relating thereto, the following S. No. and entries shall be inserted, namely:-

(iv) after serial number 218A and the entries relating thereto, the following S. No. and entries shall be inserted, namely: –

B. in Schedule II–6%, against S. No. 137, for the entry in column (3), the entry “Metallised yarn, whether or not gimped, being textile yarn, or strip or the like of heading 5404 or 5405, combined with metal in the form of thread, strip or powder or covered with metal, other than- (i) real zari thread (gold) and silver thread combined with textile thread (ii) imitation zari thread or yarn known by any name in trade parlance” shall be substituted;

C. in Schedule III–9%,

(i) against S. No. 16, in column (3), for the words “toasted bread and similar toasted products”, the words “toasted bread and similar toasted products, un-fried or un-cooked snack pellets, by whatever name called, manufactured through process of extrusion” shall be substituted;

(ii) against S. No. 28, for the entry in column (3), the entry “Slag, dross (other than granulated slag), scalings and other waste from the manufacture of iron or steel, other than Linz-Donawitz (LD) slag” shall be substituted;

2. This notification shall come into force on 27^th July, 2023.

[F. No. 190354/133/2023-TRU]

NITISH KARNATAK, Under Secy.

Note: – The principal notification No.1/2017-Central Tax (Rate), dated the 28^thday of June, 2017 was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 673(E), dated the 28^th day of June, 2017 and was last amended by notification No. 03/2023 –Central Tax (Rate) dated the 28^th February, 2023 published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 147(E), dated the 28^thFebruary, 2023.