GST for Milling industry products in India

 

Rate of GST on Milling industry products


Click here to know GST exempted list

 

Milling industry products falls under HSN code chapter 11 of GST commodity tariff schedule.  The details about GST rate changes for sale of Milling industry products are being updated here.  The notification changes on exemptions for GST for sale of Milling industry products and other circulars related to GST for Milling industry products are updated in this website.

 

Update on 18th May, 2017: GST rates for goods

 

NIL GST RATE;

1. Flour [GST HSN chapter code 1101, GST HSN chapter code 1102, GST HSN chapter code 1105, GST HSN chapter code 1106] Aata, maida, besan etc. [other than those put up in unit container and bearing a registered brand name].

2. GST HSN chapter code 1101 Wheat or meslin flour.

3. GST HSN chapter code 1102 Cereal flours other than of wheat or meslin i.e. maize (corn) flour, Rye flour, etc.

4. GST HSN chapter code 1103 Cereal groats, meal and pellets, other than those put up in unit container and bearing a registered brand name.

5. GST HSN chapter code 1105 Flour, of potatoes.

6. GST HSN chapter code 1106 Flour, of the dried leguminous vegetables of heading GST HSN chapter code 0713 (pulses), of sago or of roots or tubers of heading GST HSN chapter code 0714 or of the products of Chapter 8 i.e. of tamarind, of singoda, mango flour, etc.

Reduced GST rates on 11 June 2017, click here for details

 

5 GST RATE;

All goods not specified elsewhere.

1. GST HSN chapter code 1103 Cereal groats, meal and pellets, put up in unit container and bearing a registered brand name.

2. GST HSN chapter code 1104 Cereal grains otherwise worked (for example, hulled, rolled, flaked, pearled, sliced or kibbled), except rice of heading 1006; germ of cereals, whole, rolled, flaked or ground [i.e. of oats, maize or other cereals]

Reduced GST Rates on 11th June 2017

                                                                      Earlier rate          new rate

1104   Cereal grains hulled                            5%                         0%

 

3. GST HSN chapter code 1105 Meal, powder, flakes, granules and pellets of potatoes.

4. GST HSN chapter code 1106 Meal and powder of the dried leguminous vegetables of heading GST HSN chapter code 0713 (pulses), of sago or of roots or tubers of heading 0714 or of the products of Chapter 8 i.e. of tamarind, of singoda, etc.

Revised GST Rates on 10th November, 2017

                                                                                   Present rate           new rate

1106 10 10          Guar meal                                                5%                   Nil

 

5. GST HSN chapter code 1109 00 00 Wheat gluten, whether or not dried

6. Flour [GST HSN chapter code 1101, GST HSN chapter code 1102, GST HSN chapter code 1105, GST HSN chapter code 1106] Aata, maida, besan, etc., put up in unit container and bearing a registered brand name.

 

Reduced GST rates on 11 June 2017, click here for details


12% GST RATE;

1. Starches; inulin [GST HSN chapter code 1108]

 

18% GST RATE;

1. Malt, whether or not roasted [GST HSN chapter code 1107]

Revised GST Rates on 10th November, 2017

                                                                                                Present rate           new rate

1105       1.        Flour  of  potatoes  put  up  in  unit                         18%                5%

                                container and, -               

                                (a) bearing a registered brand name; or                     

                                                                                                                                        

                               (b) bearing a brand name on which                         

                                an actionable claim or enforceable                         

                                right in a court of law is available                             

                                (other   than   those   where   any                             

                                Actionable claim or enforceable               

                                right in respect of such brand name                        

                                has been foregone voluntarily),                

                                subject to the conditions as in the                           

                                given below note                                                                                                                                        

                2.            Meals, powder, flakes, granules and                      

                                pallets of potatoes other than those                      18%          Nil

                                put up in unit container and, -                                   

                                (a) bearing a registered brand name;  or                    

                                (b) bearing a brand name on which                         

                                an actionable claim or enforceable                         

                                right in a court of law is available                             

                                (other   than   those   where   any                             

                                Actionable claim or enforceable               

                                right in respect of such brand name                        

                                has been foregone voluntarily),                

                                subject to the conditions as in the

                                given below note

                                (i)            The phrase “unit container” means a package, whether large or small (for example, tin, can, box, jar, bottle, bag, or carton, drum, barrel, or canister) designed to hold a pre-determined quantity or number, which is indicated on such package.

 

(ii)           (a) The phrase “brand name” means brand name or trade name, that is to say, a name or a mark, such as symbol, monogram, label, signature or invented word or writing which is used in relation to such specified goods for the purpose of indicating, or so as to indicate a connection in the course of trade between such specified goods and some person using such name or mark with or without any indication of the identity of that person.

(b)          The phrase “registered brand name” means, -

(A)          a brand registered as on the 15th May 2017 or thereafter under the Trade Marks Act, 1999 irrespective of whether or not the brand is subsequently deregistered;

(B)          a brand registered as on the 15th May2017 or thereafter under the Copyright Act, 1957(14 of 1957);

(C)          a brand registered as on the 15th May2017 or thereafter under any law for the time being in force in any other country.

 

(iii)          For foregoing an actionable claim or enforceable right on a brand name, -

 

(a)          the person undertaking packing of such goods in unit containers which bears a brand name shall file an affidavit to that effect with the jurisdictional commissioner of Central tax that he is voluntarily foregoing his actionable claim or enforceable right on such brand name as defined in Explanation (ii)(a); and

 

(b)          the person undertaking packing of such goods in unit containers which bear a brand name shall, on each such unit containers, clearly print in indelible ink, both in English and the local language, that in respect of the brand name as defined in Explanation (ii)(a) printed on the unit containers he has foregone his actionable claim or enforceable right voluntarily.

 

Provided that, if the person having an actionable claim or enforceable right on a brand name and the person undertaking packing of such goods in unit containers are two different persons, then the person having an actionable claim or enforceable right on a brand name shall file an affidavit to that effect with the jurisdictional Commissioner of Central tax of the person undertaking packing of such goods that he is voluntarily foregoing his actionable claim or enforceable right on such brand name as defined in Explanation (ii)(a); and he has authorised the person [undertaking packing of such goods in unit containers bearing said brand name] to print on such unit containers in indelible ink, both in English and the local language, that in respect of such brand name he [the person owning the brand name] is voluntarily foregoing the actionable claim or enforceable right voluntarily on such brand name.

GST for Milling industry products in India

In some countries, GST/VAT is imposed against sale of Milling industry products.      In India, GST for sale of Milling industry products is expected to be imposed.   The exemption list of GST in India is expected to be released soon by GST authorities.  Since most of the products from Milling industry fall under agriculture sectors and standard commodities, the GST tax is expected to be charged at minimum level.

Since some of milling industry products   are food products and most of the items are commonly used for human consumption as essential commodities, such milling industry commodities expected to be included in GST exemption list where in nil rate of GST is applicable.   Some of the processed foods also are also expected to be fallen under exempted list of GST or with minimum GST tariff slab.

 

Agriculture is the root of Economy hence government focuses with top priority to encourage agriculture sectors.   So agriculture commodities and agricultural services is expected to be exempted from paying GST.  The GST exemption list is being published soon by GST authorities in India.  The products and services fall under GST exemption category can be known soon after publishing by GST authority.

 

GST rates in India is being finalized within a couple of months, as Goods and Service Tax is being implemented from July 01,2017 in India.   The discussion on rate of GST to various products is also finalized soon.  The GST rates are imposed in India under 4 slabs.  Each category of slabs is being declared soon by the GST authorities.

The GST authorities has set four slabs for the rates - 5 percent, 12 percent, 18 percent and 28 percent.  According to the government, essential items including food, which presently constitute roughly half of the consumer inflation basket, will be taxed at zero rate.

 

Click here to know GST rate of your goods or service

 

Click here to know GST exemption list of goods and service

 

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The above information about GST rate on commodities under HSN code mentioned above commonly clarifies on questions explained under:

Amount of GST tax on cereal flours, except of wheat or of meal

What is the GST rate on cereal groats, meal and pellets?

How much GST on cereal grains, worked etc. not elsewhere mentioned, cereal germs, work?

GST tariff on flour, meal and flakes of potatoes

Indian GST charges on charges payable for flour & meal of dry, legume vegs, sago, fruit

GST duty on flour & meal of dry, legume vegs, sago, fruit

GST tax on malt, whether or not roasted


Nil rate of GST on Flour Aata, maida, besan etc. [other than those put up in unit container and bearing a registered brand name] is nil rate

No GST payable on sale of Wheat or meslin flour

1102 Cereal flours other than of wheat or meslin i.e. maize (corn) flour, Rye flour, etc falls under GST exemption list

No GST on Cereal groats, meal and pellets, other than those put up in unit container and bearing a registered brand name

Flour, of potatoes.fall under GST exempted items

No GST payable for sale of Flour, of the dried leguminous vegetables of heading (pulses), of sago or of roots or tubers of heading or of the products of Chapter 8 i.e. of tamarind, of singoda, mango flour, etc


Comments


Nikita: We are manufacturers of maida, sooji, wheat flour and bran. We have applied for trademark but our brand is not registered yet. Will gst be applicable on us? We have 25kg and 50 kg packing.

Pawan kumar: Wheat Bran used as cattle feed is GST liable or not & HSNcode.Please clearfy it .

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