The CBIC has issued various notifications dated 26th July, 2023 to give effect to the recommendation as discussed by the GST Council in its 50th GST Council meeting held on 11th July, 2023. These notifications are issued to give effect the decisions taken in the meeting in respect to the GST exemptions, changes in GST rates, changes in rate of compensation cess .
The Notifications are as under:
| Earlier | Now | Notification No. | Effective date |
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A. The option by GTA to itself pay GST on the services supplied by it during a Financial Year shall be exercised by making a declaration in Annexure V on or before the 15th March of the preceding Financial Year.
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The last date of exercising option to pay tax on forward charge mechanism extended from 15th March to 31st March of preceding financial year. 1st January of preceding Financial Year shall be the start date for exercise of option. | 06/2023-CT(Rate) | 27th July, 2023 |
| B. An option is provided to the GTA to itself pay GST on the services supplied by it during a Financial Year. For opting this option GTA needs to make a declaration in Annexure V FORM on or before 15th March of the preceding Financial Year. Option in Annexure V FORM is required to be submitted every year before the commencement of the Financial Year. |
The GTA is not required to file declaration under Annexure V for paying GST under forward charge every year. The option to pay tax under forward charge opted for a particular year, then it would be deemed to be exercised for future years unless declaration in ANNEXURE VI has been filed to revert to reverse charge mechanism on or after 1st January of the preceding F.Y. but not later than 31st March of preceding F.Y. |
06/2023-CT(Rate) | 27th July, 2023 |
| C. Exemption from GST:
Satellite launch services supplied by Indian Space Research Organisation, Antrix Corporation Limited or New Space India Limited. |
GST exemption extended on satellite launch services to private sector organisations, in order to promote start-ups |
07/2023-Central Tax (Rate) | 27th July, 2023 |
| Declaration to exercise the option for paying GST under forward charge mechanism by GTA : In the declaration words reads as “during the Financial year _____under forward charge” | Changes made in Declaration which is to be filed by the GTA for opting to pay GST on services supplied by them under forward charge mechanism: words reads as “from the Financial Year ____under forward charge and have not reverted to reverse charge mechanism” | 08/2023-Central Tax (Rate) | 27th July, 2023 |
| D. GST Rate:
a) Uncooked/unfried snack pellets – 18% b) Imitation Zari thread or yarn – 12% c) LD slag – 18% d) Fish soluble paste – 18% |
a) Uncooked/unfried snack pellets – 5% b) Imitation Zari thread or yarn –5% c) LD slag – 5% d) Fish soluble paste – 5% |
09/2023-Central Tax (Rate) |
27th July, 2023
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E. Notification No. 10/2023-Central Tax (Rate): Foreign Trade Policy and Handbook Procedures Paragraph substituted with a new one introduced.
The Notification can be accessed at https://taxo.online/wp-content/uploads/2023/07/10-2023-CTR-eng.pdf
F. Notification No. 3/2023-Compensation Cess (Rate) : The ad valorem rate for Compensation Cess rate on “Pan masala” and “Tobacco products” notified, where it is not legally required to declare the retail sale price.
The Notification can be accessed at https://taxo.online/wp-content/uploads/2023/07/Cess03-2023-Eng.pdf
