Revised GST rate on 18th January, 2018

Posted on 21 April 2023 Category : GST

Revised GST rate by GST council meet on 18th January, 2018 as below:

The following details of extract explaining the changes in GST as per 25^th GST council meet held on 18th January, 2018.

29 Items, 53 Services have been put under the GST lower category

A. LIST OF GOODS ON WHICH GST RATE RECOMMENDED FOR REDUCTION FROM 28% TO 18%:

S. No.	Chapter/Heading/Sub-	Description
	heading/Tariff item
1.	87	Old and used motor vehicles [medium and large cars
		and SUVs] on the margin of the supplier, subject to the
		condition that no input tax credit of central excise
		duty/value added tax or GST paid on such vehicles has
		been availed by him.
2.	8702	Buses, for use in public transport, which exclusively
		run on bio-fuels.

B. LIST OF GOODS ON WHICH GST RATE RECOMMENDED FOR REDUCTION FROM 28% TO 12%:

S.		Chapter/Heading/Sub-				Description
No.		heading/Tariff item
1.		87			All types of old and used motors vehicles [other than
					medium and large cars and SUVs] on the margin of the
					supplier of subject to the conditions that no input tax
					credit of central excise duty /value added tax or GST
					paid on such vehicles has been availed by him.
C. LIST OF GOODS ON			WHICH GST RATE RECOMMENDED FOR
	REDUCTION FROM 18% TO 12%:

S.		Chapter/Heading/Sub-				Description
No.		heading/Tariff item
1.		1704		Sugar boiled confectionary

2.		2201		Drinking water packed in 20 litters bottles

3.		2809		Fertilizer grade Phosphoric acid

4.		29 or 38		Bio-diesel

5	38	The following Bio-pesticides, -

			S.	Name of the bio pesticide
			No.
			1	Bacillus thuringiensis var.
				israelensis
			2	Bacillus thuringiensis var.
				kurstaki
			3	Bacillus thuringiensis var.
				galleriae
			4	Bacillus sphaericus
			5	Trichoderma viride
			6	Trichoderma harzianum
			7	Pseudomonas fluoresens
			8	Beauveriabassiana
			9	NPV of Helicoverpaarmigera
			10	NPV of Spodopteralitura
			11	Neem based pesticides
			12	Cymbopogan
6.	4418	Bamboo wood building joinery

7.	8424	Drip irrigation system including laterals, sprinklers

8.	8424	Mechanical Sprayer

D. LIST OF GOODS ON WHICH GST RATE RECOMMENDED FOR REDUCTION FROM 18% TO 5%:

S.	Chapter/Heading/Sub-	Description
No.	heading/Tariff item
1.	13	Tamarind Kernel Powder

2.	1404/3305	Mehendi paste in cones

3.	2711	LPG supplied for supply to household domestic
		consumers by private LPG distributors
4.	88 or any other chapter	Scientific and technical instruments, apparatus,
		equipment, accessories, parts, components, spares,
		tools, mock ups and modules, raw material and
		consumables required for launch vehicles and satellites
		and payloads

E. LIST OF GOODS ON WHICH GST RATE RECOMMENDED FOR REDUCTION FROM 12% TO 5%:

S.	Chapter/Heading/Sub-	Description
No.	heading/Tariff item
1.	4601, 4602	Articles of straw, of esparto or of other plaiting
		materials; basketware and wickerwork
		2

F.	LIST OF GOODS ON WHICH GST RATE RECOMMENDED FOR INCREASE
	FROM 12% TO 18%:

S.		Chapter/Heading/Sub-	Description
No.		heading/Tariff item
1.		5601 22 00	Cigarette filter rods

LIST OF GOODS ON WHICH GST RATE RECOMMENDED FOR REDUCTION FROM 12% TO 5% WITH NO REFUND OF UNUTILISED INPUT TAX CREDIT:

S.	Chapter/Heading/Sub-	Description
No.	heading/Tariff item
1.	5801 37 20	Velvet fabric

H. LIST OF GOODS ON WHICH GST RATE RECOMMENDED FOR REDUCTION FROM 3% TO 0.25%:

S.	Chapter/Heading/Sub-	Description
No.	heading/Tariff item
1.	7102	Diamonds and precious stones

I. NIL GST RATE:

(i) Vibhuti

(ii) Parts and accessories for manufacture of hearing aids.

(iii) De-oiled rice bran

J. LIST OF GOODS ON WHICH GST RATE RECOMMENDED FOR INCREASE FROM NIL TO 5%:

S.	Chapter/Heading/Sub-	Description
No.	heading/Tariff item
1.	2302	Rice bran (other than de-oiled rice bran)

K. CHANGES IN COMPENSATION CESS ON CERTAIN GOODS:

S.	Chapter/	Description				Present	Compensation
No	Heading/					Compens	Cess Rate
	Sub-					ation Cess	Recommended
	heading/					Rate
	Tariff item
1.	8702	Motor vehicles	[falling	under	heading	15%	Nil
		8702, as it was in excise regime] cleared
		as ambulances,	duly	fitted	with all
			3

		fitments, furniture and accessories
		necessary for an ambulance from the
		factory manufacturing such vehicles.10-
		13 seater buses and ambulances, subject
		to specified conditions.
2.	87	Old and used motor vehicles [medium	Applicable	Nil
		and large cars and SUVs], on the margin	rate
		of the supplier, subject to the condition
		that no input tax credit of central excise
		duty/value added tax or GST paid on
		such vehicles has been availed by him.
3.	87	All types of old and used motors vehicles	Applicable	Nil
		[other than medium and large cars and	rate
		SUVs] on the margin of the supplier of
		subject to the conditions that no input tax
		credit of central excise duty /value added
		tax or GST paid on such vehicles has
		been availed by him.

L. CHANGES IN IGST RATE RECOMMENDED ON CERTAIN GOODS:

S.	Chapter/		Description	Present	IGST Rate
No	Heading/			IGST	Recommended
	Sub-			Rate
	heading/
	Tariff item
1.	88or	any	Satellites and payloads and Scientific and	18%	5%
	other		technical instruments, apparatus, equipment,
	chapter		accessories, parts, components, spares, tools,
			mock ups and modules, raw material and
			consumables required for launch vehicles
			and satellites and payloads

M. MODIFICATION IN DEFINITION/ CLARIFICATION IN RESPECT OF CHANGES IN GST/IGST RATES ON GOODS:

S.	Chapter/	Description		Present GST	Modification/clarification
No	Heading/			Rate		Recommended
	Sub-
	heading/
	Tariff item
1.	27	Poly	Butylene Feed	18%	The GST to apply only on the net
		Stock	& Liquefied		quantity of Poly Butylene Feed
		Petroleum Gas			Stock	or Liquefied	Petroleum
					Gases	retained	for	the
					manufacture of Poly Iso Butylene
					or Propylene or di-butyl para
					cresol	respectively,	subject	to
					specified conditions.
				4

2.	Any chapter	Rail coach industry	Applicable	Only the goods falling under
			GST rate	chapter 86 attract 5% GST rate
				with no refund of unutilised
				ITC.Goods falling in any other
				chapter will attract applicable
				GST rate under the respective
				chapters, even if supplied to the
				Indian railways.
3.	2701	Coal rejects	5% + Rs. 400	Coal rejects fall under heading
			PMT	2701 and attract 5% GST and Rs.
			Compensation	400 PMT Compensation Cess.
			Cess

It is proposed to issue notification giving effect to the recommendations of the Council on 25^th January, 2018 to be effective from 00 HRS on 25^th January, 2018

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