Underlying Concepts in GST
As per GST law, there is no specific exemption for nursery development and maintenance. The law also does not exempt Horticulture services.
Some exempted goods under GST are:
- fish
- egg
- fresh milk
- grapes
- melons
- ginger
- garlic
- coffee beans
- green tea leaves
Also exempted are:
- rice
- cereal grains
- wheat
- corn
As per GST rate schedule, exempted nursery items are:
- plants
- bulbs
- roots
- flowers
Also exempt are fresh fruits, vegetables, potatoes, onions, garlic, coffee beans, tea leaves, and spices. However, if selling fertilizers, pesticides, or landscaping, GST applies.
Impact on Education Sector
The education sector is significantly impacted by GST. Many education services now attract tax, unlike before. This impacts accessibility for economically weaker sections and raises issues in classifying services under GST.
Exempt Supplies for GST
What are exempt supplies for GST?
- GST exemption means no GST levied for specific businesses, goods, and services.
- Exemption is available for bread, fresh fruits, and fresh milk.
- Under section 2(47), exempt supply has nil tax or full exemption under section 11 or IGST Act section 6.
GST on Tractors in India
How much is GST on the tractor in India?
- GST rates on tractors vary. Tractors for agriculture use up to 18HP attract 12%, while those over 18HP are taxed at 18%.
- Road tractors for semitrailers over 1800cc are taxed at the highest peak GST rate of 28% plus cess.
Overview of GST
- The GST Council regularly revises rates that affect industries.
- Tractors fall under GST HSN chapter 8701. The rate on agricultural tractors (except over 1800cc) is 12%.
- Use a GST calculator to efficiently calculate GST-inclusive/exclusive prices. The current standard GST rate is 18%.
- GST levied on the supply of goods and services, replacing most indirect taxes from 1 July 2017. Comprehensive destination-based tax on value addition. Different tax heads under GST are CGST, SGST, IGST.