GST Rates in 2020

GST Rates in 2020 – List of Goods and Service Tax Rates, Slab & Revision

GST Rate revision in 39th GST council meeting

39th GST Council meeting was held on 14 March 2020, Saturday at New Delhi. Read all the highlights on 39th GST Council Meeting.

The following are the rate cuts announced at the 39th GST Council meeting:

Item	Old Rate	New Rate
Mobile phones and specified parts	12%	18%
Handmade matches	5%	12%
Other than handmade matches	18%	12%
Aircraft MRO (Maintenance, Repair, Overhaul) services	18%	5% (with full ITC)

The rate changes are effective from 1 April 2020

GST Rate revision in 38th GST council meeting

38th GST Council meeting was held on 18 December 2019, Wednesday at New Delhi. Read all the highlights on 38th GST Council Meeting.

The following are the rate cuts announced at the 38th GST Council meeting:

Item	Old Rate	New Rate
Lotteries (State-owned)	12%	28%
Lotteries (State-authorised)	28%	28%
Woven and non-woven fabrics	12%	18%
Sacks of Polythene and Polypropylene in nature	12%	18%

GST rate changes will apply from 1 March 2020 for lottery and from 1 January 2020 for bags and sacks.

GST Rate revision in 37th GST council meeting

GST Council had its 37th meet held at Goa on Friday (20th September 2019). Read all the highlights on 37th GST Council Meeting.

The following are the rate cuts announced at the 37th GST Council meeting:

GST Rate Revision effective from 1 October 2019

Item	Old Rate	New Rate
Plates and cups made of flowers, leaves and bark	5%	Nil
Caffeinated Beverages	18%	28%+12% cess
Supplies of Railways wagons & coaches (without refund of accumulated ITC)	5%	12%
Outdoor Catering (without ITC)	18%	5%
Diamond Job work	5%	1.50%
Other Job work	18%	12%
Hotels (Room Tariff of Rs.7501 or above)	28%	18%
Hotels (Room Tariff from Rs 1,001 to Rs 7,500)	18%	12%
Woven/ Non-woven Polyethylene Packaging bags	18%	12%
Marine fuel	18%	5%
Almond Milk		18%
Slide fasteners	18%	12%
Wet grinders (consisting of stone as a grinder)	12%	5%
Dried Tamarind	5%	Nil
Semi-precious stones- cut & polished	3%	0.25%
Specified goods for petroleum operation under HELP*	Applicable Rate	5%

*Hydrocarbon Exploration Licensing Policy

Item	Current Rate	New Rate
Cess on Petrol Motor Vehicles (Capacity of 10-13 passengers)	15%	1%
Cess on Diesel Motor Vehicles (Capacity of 10-13 passengers)	15%	3%

GST Exemption available for:

• Supplies to FIFA- specified persons for the Under-17 Women’s Football World Cup in India
• Supply to the Food and Agriculture Organisation (FAO) for specified projects in India
• Imports of certain defence goods not made indigenously (up to 2024)
• Supply of silver/platinum by specified agencies (Diamond India Ltd) for export
• Import of Silver or Platinum by specified agencies (Diamond India Ltd)

GST Rate revision in 36th GST council meeting

GST Council had its 36th meet via video conference on Saturday (27th July 2019). Read all the highlights on 36th GST Council Meeting.

The following are the rate cuts announced at the 36th GST Council meeting:

Items	Before	After
Electric chargers	18%	5%
Electric vehicles	12%	5%
A full exemption is given to hiring of e-buses(seating capacity exceeds 12 passengers) by local authorities Note: Will come into effect from 1 August 2019 after the CBIC notification

GST Rate revision in 33rd GST council meeting

The latest meeting-33rd GST Council meeting is rescheduled on 24th February 2019 from earlier date 20th February 2019.

It was chaired by the Finance Minister Arun Jaitley. Real estate was in limelight.

This is the first one after the Interim Budget 2019.

The GST rates were slashed on the under-construction houses without ITC benefit; No changes to GST Rate on lottery or Cement.

GST Rate revision in 31st GST council meeting

31st GST Coucil meeting was held 22nd December 2018. GST Rates for 23 Goods and 3 Services have been revised*.

Here is a summarised version of the list of rate cuts on both Goods and Services:

List of rate changes at 31st GST Council Meeting
SL.no	List of Goods/Services	Changes in Tax Rate
1	Vegetables provisionally preserved but unsuitable for immediate consumption	5% to Nil
2	Vegetables cooked/uncooked via steamed, frozen or boiled (branded)	5% to Nil
3	Music Books	12% to Nil
4	Parts for manufacturing renewable energy devices falling under chapter 84, 85 or 94 of Tariff	5%
5	Natural cork	12% to 5%
6	Fly ash blocks	12% to 5%
7	Walking sticks	12% to 5%
8	Marble rubble	18% to 5%
9	Agglomerated cork	18% to 12%
10	Cork roughly squared or debugged	18% to 12%
11	Articles of Natural cork	18% to 12%
12	Movie Tickets < or = Rs 100	18% to 12%
13	Premium on Third party insurance on Vehicles	18% to 12%
14	Accessories for Handicapped Mobility Vehicles	28% to 5%
15	Power banks	28% to 18%
16	Movie Tickets > Rs 100	28% to 18%
17	Video game consoles, equipments used for Billiards and Snooker and other sport related items of HSN code 9504	28% to 18%
18	Retreated & used pneumatic Rubber Tyres	28% to 18%
19	Colour Television Sets & monitors up to “32 Inches”	28% to 18%
20	Digital & Video Camera recorders	28% to 18%
21	Pulleys, transmission shafts, cranks and gear boxes under HSN 8483	28% to 18%
22	Tax rate on Air travel of pilgrims reduced*	28% to 18%

*For travel by non-scheduled/chartered operations for religious pilgrimage which are facilitated by GoI under bi-lateral agreements.

Others:
-GST on the composite supply of goods attracting 5% GST rate where it is supplied along with the supply of construction services and other goods for solar power plant, is now levied as follows:

• 70% of value is considered as supply of goods and taxed at 5% GST.
• Remaining 30% of the EPC contract value is supply of service and attracts standard tax rate for service.

-Rate of 5%/18% to be applied based on transaction value of footwear.
-Uniform GST rate of 12% on Flexible Intermediate Bulk Container (FIBC) from existing 5%/12% (depending on the value).

Goods recommended for exemption

• Supply of gold by Nominated Agencies to exporters of article of gold Jewellery.
• Proceeds received by Government from auction of gifts received by President, Prime Minister, Governor or Chief Minister of a State and public servants, the proceeds of which is used for public or charitable cause.
• Vehicles imported for temporary purposes under the Customs Convention on the Temporary importation of Private Road Vehicles (carnet de passages-en-douane) will be exempt from IGST and Compensation cess.

Services recommended for exemption

• Services supplied by banks to Basic Saving Bank Deposit (BSBD) account holders under
  Pradhan Mantri Jan Dhan Yojana (PMJDY)
• Services supplied by rehabilitation professionals recognised under Rehabilitation Council of India Act, 1992 at hospitals, schools or rehabilitation centres established by Government or charitable institute registered under Section 12AA of The Income tax Act,1961.
• Loan guarantee services provided by Government to its undertakings and PSUs for bank loans.

GST Rate revision in 28th GST council meeting

28th GST Council Meeting was held 21st July 2018. GST Rates for 45 Goods and 2 Services have been revised*.

Recent GST Rate Changes on Goods

GOODS
S.NO	Items	New Rate	Old rate
1	Rakhi (other than that of precious or semi-precious material )	Nil	18%
2	Sanitary Napkins	Nil	12%
3	Circulation and commemorative coins	Nil	5%
4	Raw material for broom	Nil	12%
5	Stone/Marble/Wood Deities	Nil	5%
6	Sal leaves and its products	Nil	18%
7	Khali dona	Nil	18%
8	Coir pith Compost	Nil	5%
9	Chenille fabrics and other fabrcis under 5801	5%	12%
10	Handloom dari	5%	12%
11	Phosphoric Acid (fertilizer grade only)	5%	12%
12	Handmade Carpets, Textile Floor, Coverings	5%	12%
13	Knitted cap/topi having retails sale value exceeding Rs. 1000	5%	12%
14	Kota Stones and Simliar Stones (other than polished)	5%	18%
15	Ethanol for sale to oil marketing companies for blending with fuel	5%	18%
16	Solid Bio fuel pellets	5%	18%
17	Marine Engine	5%	28%
18	Bamboo Flooring	12%	18%
19	Hand Operated Rubber Roller	12%	18%
20	Brass Kerosene Pressure Stove	12%	18%
21	Zip and Slide Fastener	12%	18%
22	Handicrafts (Excluding handmade)	12%	18%
23	Handbags including pouches and purses; jewellery box	12%	18%
24	Fuel Cell vehicle	12%	28%
25	Televisions upto 68 cm	18%	28%
26	Glaziers’ putty, grafting putty, resin cements	18%	28%
27	Refrigerators, freezers, water cooler, milk coolers, ice cream freezer	18%	28%
28	Washing Machines	18%	28%
29	Food Grinders & mixer	18%	28%
30	Vacuum Cleaners	18%	28%
31	Paints and Varnishes (including enamels and lacquers)	18%	28%
32	Shavers, Hair Clippers	18%	28%
33	Hair Cleaners	18%	28%
34	Storage water heaters	18%	28%
35	Immersion heaters	18%	28%
36	Hair Dryers, Hand Dryers	18%	28%
37	Electric Smoothing irons	18%	28%
38	Scent Sprays	18%	28%
39	Toilet Sprays	18%	28%
40	Pads for application of cosmetics or toilet preparations	18%	28%
41	Lithium-ion batteries	18%	28%
42	Powder Puffs	18%	28%
43	Special purpose motor vehicles	18%	28%
44	Work Trucks (Self-propelled, not fitted with lifting or handling equipment)	18%	28%
45	Trailers & Semi trailers	18%	28%

List of Goods Exempt
Fortified Milk	exempt	5%

Recent GST Rate Changes on Services

SERVICES
Rate Change
Services	New GST Rates	Old GST Rates
Supply of e-books	5%	18%
Supply of Multimodal Transportation	12%	Nil

List of Services Exempt

Senior Citizens

1. Sevices provided by Coal Mines provident fund organisation to the PF subscribers

2. Services provided by Old age home run by state government / central government to the citizens aged more than 60 years upto Rs. 25000

GST exempted on the administrative fee collected by National Pension System Trust

4. Services provided by an unincorporated body or non profit entiy registered under any law to own members upto Rs. 1000 per year of membership fees.

Agriculture/ Farmers

1. Services by way of artificial insemination of livestock (other than horses)

2. Services provided by FSSAI to food businesses.

3. Services provided by way of warehousing minor forest produce

4. Services provided by the installation and commissioning by DISCOMS for extending electricity distribution network for agricultural use.

Banking/Finance/ Insurance

1. Reinsurance services provided to insurance scheme such as Pradhan Mantri Rashtriya Swasthya Suraksha Mission

Government

1. Guarantees given by central/state government to their undertakings/PSUs.

2. Services provided by government to ERCC by assigning the right to collect royalty to mining lease holders.

Miscellaneous

1. Import of services by Foreign diplomatic missions/UN other international organizations

2. GST rate slabs will apply on the actual rate for hotel services instead of declared tariff.

GST Rate revision in 25th GST council meeting

Latest Update:

As per 25th GST Council meeting on 18th January 2018

*Note that Rate changes, Exemptions and other proposals made shall be given effect once the Notifications are issued for the same.

GST council has made the much-awaited announcements around tax rates on various categories of goods on 18th January 2018 at Vigyan Bhavan, Delhi. There has been a hype around these rates for a while and now these GST rates are finally in the public domain!

GST Rates for 29 Goods and 53 Services have been revised*. 

• Goods taxed at 0%- Vibhuti, De-oiled rice bran and parts used to manufacture hearing aids
• Reduced from 28% to 18%- Old and used motor vehicles [medium and large cars and SUVs] without ITC, Public transport Buses that run on Biofuel, Services of joy rides, Go-karting
• Reduced from 28% to 12% –Old and used motor vehicles [other than medium and large cars and SUVs] without ITC
• Reduced from 18% to 12% –Drinking water packed in 20 litres bottles, Drip irrigation system, sprinklers, Biodiesel, Sugar boiled Confectionery, Services of construction of metro / mono-rail, mining of petrol crude
• Reduced from 18% to 5% –LPG for household use, Tamarind Kernel Powder, Mehendi paste in cones, Raw materials and Consumables needed for Launch vehicles/satellites, Services of Tailoring
• Reduced from 12% to 5%-Velvet fabric( Without Refund of ITC), Articles of straw, of esparto or of other plaiting materials
• Reduced from 3% to 0.25%-Diamonds and precious stones
• Rate Increased from 0% to 5%-Rice bran (other than de-oiled rice bran)
• Rate Increased from 12% to 18%-Cigarette filter rods
• Services included in the Exemption List: 
  • Providing information under RTI Act, 2005
  • Legal services provided to Government
  • Admission to, or conduct of examination provided to all educational institutions including any service of conducting entrance examinations  on collection of entrance fees
  Admission to, or conduct of examination provided to all educational institutions including any service of conducting entrance examinations on collection of entrance fees

GST Rate revision in 23rd GST council meeting

Latest Update:-

As per 23rd GST Council meeting on 10th November 2017

GST Rates for 178 items have been reduced from 28% to 18%.

• GST Rate for manufacturers and traders under composition scheme is 1 %
• Reduced from 28% to 18% W.e.f. 15th Nov 2017 – Shampoo, Perfume, tiles, watches
• Reduced from 28% to 12% – Wet grinders, tanks
• Reduced from 18% to 12% – Condensed milk, refined sugar, diabetic food
• Reduced from 12% to 5% – Desiccated coconut, idli dosa batter, coir products
• Reduced from 5% to Nil – Duar meal, khandsari sugar, dried vegetables
• For Restaurants within hotels, and room tariff less than Rs. 7,500 the GST rate is 5%. Also, the credit of  ITC paid on inward supplies cannot be taken.
• For Restaurants within hotels, and room tariff greater than Rs. 7,500 the GST rate is 18% and credit of  ITC paid on inward supplies can be availed.
• Outdoor catering continues to be charged at 18% with the availability of ITC on inward supplies.

We already know that the GST slabs are pegged at 5%, 12%, 18% & 28%. According to the GST latest news from the GST council, the tax structure for common-use goods are as under:

GST Rates Structure for Goods and services under 5%, 12%, 18% & 28%

Tax GRates	Products
0%	Milk	Kajal
0%	Eggs	Educations Services
0%	Curd	Health Services
0%	Lassi	Children’s Drawing & Colouring Books
0%	Unpacked Foodgrains	Unbranded Atta
0%	Unpacked Paneer	Unbranded Maida
0%	Gur	Besan
0%	Unbranded Natural Honey	Prasad
0%	Fresh Vegetables	Palmyra Jaggery
0%	Salt	Phool Bhari Jhadoo
5%	Sugar	Packed Paneer
5%	Tea	Coal
5%	Edible Oils	Raisin
5%	Domestic LPG	Roasted Coffee Beans
5%	PDS Kerosene	Skimmed Milk Powder
5%	Cashew Nuts	Footwear (< Rs.500)
5%	Milk Food for Babies	Apparels (< Rs.1000)
5%	Fabric	Coir Mats, Matting & Floor Covering
5%	Spices	Agarbatti
5%	Coal	Mishti/Mithai (Indian Sweets)
5%	Life-saving drugs	Coffee (except instant)
12%	Butter	Computers
12%	Ghee	Processed food
12%	Almonds	Mobiles
12%	Fruit Juice	Preparations of Vegetables, Fruits, Nuts or other parts of Plants including Pickle Murabba, Chutney, Jam, Jelly
12%	Packed Coconut Water	Umbrella
18%	Hair Oil	Capital goods
18%	Toothpaste	Industrial Intermediaries
18%	Soap	Ice-cream
18%	Pasta	Toiletries
18%	Corn Flakes	Computers
18%	Soups	Printers
28%	Small cars (+1% or 3% cess)	High-end motorcycles (+15% cess)
28%	Consumer durables such as AC and fridge	Beedis are NOT included here
28%		Luxury & sin items like BMWs, cigarettes and aerated drinks (+15% cess)