GOODS AND SERVICES TAX

Frequently Asked Questions on Goods dealt by Department of Food & Public Distribution

Q1. What is the GST rate on Wheat, rice and coarse grains?

Ans. GST rate on Wheat, rice and coarse grains is nil. If sold in unit container and bearing a registered brand name or bearing a brand name on which an actionable claim or enforceable right in a court of law is available, the GST rate is 5%. However, in case where any actionable claim or enforceable right in respect of such brand name has been forgone voluntarily, subject to the conditions specified in relevant notification, the GST rate is nil.

Q2. What is the GST rate on commission/margin paid to Fair Price Shop (FPS) dealers on distribution of food grains, kerosene, sugar, edible oil, etc.?

Ans. GST rate on service provided by Fair Price Shops to (FPS) to Central Government, State Government or Union Territories by way of sale of food grains, kerosene, sugar, edible oil, etc. under Public Distribution System against consideration in the form of commission or margin is nil.

Q3. What is the GST rate on the sugarcane?

Ans. GST rate on sugarcane is Nil.

Q4. What is the GST rate on sugar?

Ans. GST rate on sugar is @ 5%.

Q5. What is the GST rate on Khandsari Sugar?

Ans. GST rate on Khandsari Sugar is Nil.

Q6. What is the GST rate on Refined sugar containing added flavouring or colouring, etc?

Ans. GST rate on refined sugar containing added flavouring or colouring matter, sugar cubes is 12%. Q7. What is the GST rate on by-products of Sugar Industry?

Ans. The GST rate on by-products of Sugar Industry are as under:

Sr. No. Name of by-product GST Rate 1. Molasses 28% 2. Bagasse 5% 3. Press Cake 5% 4. Ethanol 18%

Q8. What is the taxable event for Sugar & Edible Oil under GST?

Ans. GST on sugar and edible oil is taxable at the time of supply of the same. CGST and SGST/ UTGST will be levied on intra-State supplies. IGST will be levied on inter-State supplies.

Q9. Whether supplies of Sugar & Edible Oil made without consideration will also come within the purview of supply under GST?

Ans. Yes.

Q10. What is the GST on edible oils?

Ans. GST on normal and blended edible oil is 5%.

Q.11. What is the GST on Margarine?

Ans. Margarine attracts a GST of 18%.

Q.12. Is there a difference in the GST on packed and loose edible oils?

Ans. Sale of loose edible oil is banned hence the question of difference in GST does not arise.

Q13. What is the GST rate on oil cake?

Ans. GST rate on oil cake is 5% and on de-oiled cake it is Nil.

Disclaimer

: This is for general information of public. For further details, please visit cbec.gov.in. Any part or full cannot be used or produced for legal purposes.