Ministry of Finance has issued Notification No. 08/2024 regarding amendments to the Union Territory Goods and Services Tax (UTGST) Rate, effective from October 10, 2024. This notification revises several entries in the existing notification No. 12/2017-Union Territory Tax (Rate), published on June 28, 2017. Notable amendments include the addition of new service categories such as the rental supply of metering equipment and associated services by electricity utilities (under Heading 9969 or 9986) and research and development services funded by government entities or designated educational institutions (under Heading 9981). Furthermore, services related to affiliation provided by educational boards to government-controlled schools (Heading 9992) are included, alongside services from the National Skill Development Corporation and related bodies (Heading 9983 or 9991). The notification also clarifies the terminology used in relation to the National Council for Vocational Education and Training. These changes aim to enhance clarity and compliance within the tax framework for various service providers.
MINISTRY OF FINANCE
(Department of Revenue)
Notification No. 08/2024-Union Territory Tax (Rate) | Dated: 8th October, 2024
G.S.R. 621(E).— In exercise of the powers conferred by sub-sections (3) and (4) of section 7, sub-section (1) of section 8 and clause (iv) and clause (xxvii) of section 21 of the Union territory Goods and Services Tax Act, 2017 (14 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 amendment further to amend the notification of the Government of India, in the Ministry of Finance (Department of Revenue), notification no. 12/2017 – Union Territory Tax (Rate), dated the 28th June, 201, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 703 (E), dated the 28th June, 2017, namely: –
1. (i) In the said notification, in the Table, –
(A) after serial number 25 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) |
| “25A | Heading 9969 or Heading 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” |
(B) after serial number 44 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) |
| “44A | Heading 9981 | Research and development services against consideration received in the form of grants supplied by –
(a) a Government Entity; or (b) 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.” |
(C) after serial number 66 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) |
| “66A | 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” |
(D) for serial number 69 and the entries relating thereto in columns (2), (3), (4) and (5), the following shall be substituted, namely: –
| (1) | (2) | (3) | (4) | (5) |
| “69 | Heading 9983 or Heading 9991 orHeading 9992 |
Any services provided by –
(a) the National Skill Development Corporation set up by the Government of India; (b) the National Council for (c) an Awarding Body recognized by the National Council for Vocational Education and Training; (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 Development Programme or any other scheme implemented by the National Skill Development Corporation; or (ii) a vocational skill development course under the National Skill Certification and (iii) any National Skill Qualification Framework aligned qualification or skill in respect of which the National Council for Vocational Education and Training has approved a qualification package. |
Nil | Nil” |
(E) against serial number 71, 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. 12/2017 – Union Territory Tax (Rate), dated the 28th June, 2017,was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) , vide number G.S.R. 703 (E), dated the 28th June, 2017 and was last amended vide notification no. 04/2024 – Union Territory Tax (Rate), dated the 12th July, 2024 published in the Gazette of India, Extraordinary, Part II , Section 3 , Sub-section (i), vide number G.S.R. 390(E), dated the 12th July, 2024.
