Ministry of Finance, through Notification No. 08/2024-Integrated Tax (Rate) dated October 8, 2024, has introduced amendments to the Integrated Goods and Services Tax (IGST) Act, 2017. The amendments primarily focus on the inclusion of new service categories within the existing tax framework. Key additions include provisions for the import of services by foreign airline companies, specific service offerings related to electricity metering and connection, and research and development services funded by government entities or recognized institutions. The notification also updates existing entries to clarify terms, ensuring consistency with relevant educational and vocational training bodies. The changes aim to streamline taxation processes and enhance clarity in compliance for affected sectors. The revised tax rates will take effect on October 10, 2024.
MINISTRY OF FINANCE
(Department of Revenue)
Notification No. 08/2024- Integrated Tax (Rate) | Dated: 8th October, 2024
G.S.R. 622(E).— In exercise of the powers conferred by sub-sections (3) and (4) of section 5, subsection (1) of section 6 and clause (xxv) of section 20 of the Integrated Goods and Services Tax Act, 2017 (13 of 2017), read with sub-section (5) of section 15 and section 148 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on being satisfied that it is necessary in the public interest so to do, on the recommendations of the Council, hereby makes the following further amendment in the notification of the Government of India, Ministry of Finance (Department of Revenue) notification no. 9/2017 -Integrated Tax (Rate), dated the 28th June, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3,Sub-section (i) vide number G.S.R. 684 (E), dated the 28th June, 2017, namely:-
1. In the said notification, in the Table, –
(A) after serial number 10K and the entries relating thereto, the following serial number and entries relating thereto shall be inserted, namely: –
| (1) | (2) | (3) | (4) | (5) |
| “10L | Chapter 99 | Import of services by an establishment of a foreign company in India, which is an airline company, from a related person or from any of its other establishments outside India, when made without consideration.
Explanation: Foreign company shall have the same meaning as assigned to it in subsection (42) of section 2 of Companies Act, 2013 (18 of 2013).
|
Nil | Provided that GST at applicable rates is paid by the establishment of the foreign airline company in India on transport of goods and passengers as may be applicable.
Provided that Ministry of Civil Aviation certifies that the establishment of the Provided further that, Ministry of Civil Aviation certifies that on a reciprocal basis, designated Indian |
(B) after serial number 26 and the entries relating thereto, the following serial number and entries relating thereto in columns (2), (3), (4) and (5) shall be inserted, namely: –
| (1) | (2) | (3) | (4) | (5) |
| “26A | Heading
9969 or 9986 |
Supply of services by way of providing metering equipment on rent, testing for meters/transformers/capacitors etc., releasing electricity connection, shifting of meters/service lines, issuing duplicate bills etc., which are incidental or ancillary to the supply of transmission and distribution of electricity provided by electricity transmission and distribution utilities to their consumers. |
Nil | Nil” |
(C) after serial number 46 and the entries relating thereto, the following serial numbers and entries relating thereto in columns (2), (3), (4) and (5) shall be inserted, namely: –
| (1) | (2) | (3) | (4) | (5) |
| “46A | Heading 9981 | Research and development services against consideration received in the form of grants supplied by –
(a) a Government Entity; or (a) a research association, university, college or other institution, notified under clauses (ii) or (iii) of sub- section (1) of section 35 of the Income Tax Act, 1961. |
Nil | Provided that the research association, university, college or other institution, notified under clauses (ii) or (iii) of sub-section (1) of section 35 of the Income Tax Act, 1961 is so notified at the time of supply of the research and development service.” |
(D) after serial number 69 and the entries relating thereto, the following serial number and entries relating thereto in columns (2), (3), (4) and (5) shall be inserted, namely: –
| (1) | (2) | (3) | (4) | (5) |
| 69A | Heading 9992 | Services of affiliation provided by a Central or State Educational Board or Council or any other similar body, by whatever name called, to a school established, owned or controlled by the Central Government, State Government, Union Territory, local authority, Governmental authority or Government entity. |
Nil | Nil” |
(E) for serial number 72 and the entries relating thereto in columns (2), (3), (4) and (5), the following shall be substituted, namely: –
| (1) | (2) | (3) | (4) | (5) |
| “72 | Heading 9983 or Heading 9991 orHeading 9992 |
Any services provided by –
(a) the National Skill Development Corporation set up by the (b) the National Council for Vocational Education and (c) an Awarding Body recognized by the National Council for Vocational Education and (d) an Assessment Agency recognized by the National Council for Vocational Education and Training; (e) a Training Body accredited with an Awarding Body that is recognized by the National Council for Vocational Education and Training, in relation to- (i) the National Skill (ii) a vocational skill development course under the National Skill (ii) any National Skill Qualification Framework aligned qualification or |
Nil | Nil” |
(F) against serial number 74, in column (3), for the words “National Council for Vocational Training”, the words “National Council for Vocational Education and Training” shall be substituted.
(ii) in paragraph 2 of the said notification,
(A) in item (h), –
(a) in sub-item (i), for the words “National Council for Vocational Training”, the words “National Council for Vocational Education and Training” shall be substituted.
(b) in sub-item (ii), for the words “National Council for Vocational Training”, the words “National Council for Vocational Education and Training” shall be substituted.
2. This notification shall come into force with effect from the 10th day of October, 2024.
[F. No. 190354/149/2024-TO(TRU-II) – Part-I CBEC]
DILMIL SINGH SOACH, Under Secy.
Note: – The principal notification no. 9/2017 -Integrated Tax (Rate), dated the 28th June, 2017 was published in the Gazette of India, Extraordinary, vide number G.S.R. 684 (E), dated the 28th June, 2017 and last amended vide notification no. 04/2024 -Integrated Tax (Rate), dated the 12th July, 2024 published in the official gazette vide number G.S.R. 389(E), dated the 12th July, 2024.
