TERRACOTTA IDOLS –
GST RATE OF TAX
The Goods and Services Tax
Act, 2017 came into force with effect from 1.7.2017.
The Central Government has
clarified that terracotta idols made of clay will be eligible for NIL rate
under Sl.No. 135A of notification 2/2017 dated 28.6.2017 including repairs and
maintenance done for such goods.
The Central Government
Notification is given below for ready reference.
Circular No. 20/20/2017-IGST
F. No. 354/320/2017 –TRU (Pt) Government of India Ministry of
Finance
Department of Revenue
Tax Research
Unit
North Block, New Delhi
Dated
the 22nd of November,
2017
To,
The Principal Chief Commissioner/Chief Commissioners/ Principal Commissioner/
Commissioner of Central
Tax
(All) / Director General of Systems
Subject: Issue related
to classification
and GST rate on Terracotta idols
– regarding
The GST rate on Idols made of clay is nil. (S.No.
135A of Schedule notification 2/2017 dated
28.06.2017).
2. In this connection, references have been received as to whether this entry would cover
idols made of terracotta.
3. The matter has been examined. As terracotta is clay based, terracotta idols will be eligible for Nil rate
under Sl. No.135A
of notification 2/2017 dated 28.06.2017.
maybe,
is leviable on repairs and
maintenance done for such goods.
4. Difficulty if any, in the implementation of the circular should be brought to the notice of the
Board. Hindi version
would follow.
(Ruchi Bisht) Under
Secretary (TRU)