describe Nil rated tax And Zero rated tax?
5 Replies
Pankaj Rawat
(GST Practitioner)
(55057 Points)
Replied 01 July 2018
Nil Rated It is the supply of goods and services that have 0% GST.
Example: Grains, salt, jaggery etc.
Exempted It is the supply of goods and services that does not attract GST and allows no claim on ITC.
Example: Bread, fresh fruits, fresh milk and curd etc.
Example: Grains, salt, jaggery etc.
Exempted It is the supply of goods and services that does not attract GST and allows no claim on ITC.
Example: Bread, fresh fruits, fresh milk and curd etc.
vinayak malladad
(34 Points)
Replied 01 July 2018
liquor, petrol and deisel nil rated/0% rated/non gst
Vinod Babu
(24196 Points)
Replied 01 July 2018
Nil Rated Supply - Nil rated supply is the supply which is chargeable to nil rate of tax or 0% of tax. So goods or service which are said to be covered under nil rated supply are the ones which are chargeable to 0% GST.
Zero Rated Supply - There is a common understanding that supplies liable to 0% tax rate are the zero rated supplies which is wrong. In GST, Zero rated supplies are the ones which are executed under Section 16 of the IGST Act. It includes :
Export of goods or services or both
Supply of goods or services or both to a SEZ developer or SEZ Unit
Exempt Supplies - Exempt supplies are the supplies which are wholly exempt from tax under GST Act.
Zero Rated Supply - There is a common understanding that supplies liable to 0% tax rate are the zero rated supplies which is wrong. In GST, Zero rated supplies are the ones which are executed under Section 16 of the IGST Act. It includes :
Export of goods or services or both
Supply of goods or services or both to a SEZ developer or SEZ Unit
Exempt Supplies - Exempt supplies are the supplies which are wholly exempt from tax under GST Act.
Vinod Babu
(24196 Points)
Replied 01 July 2018
Yes, you are right.
Sales tax on petrol diesel is one of the major revenue sources of State Govts. These State govts are reluctant to get into new GST. Hence petroleum products are not brought under GST.
Sales tax on petrol diesel is one of the major revenue sources of State Govts. These State govts are reluctant to get into new GST. Hence petroleum products are not brought under GST.
Recent Topics
- GST registration -rent Agreement
- Study partner for CA Final- Jan 26
- Sir, ITC is not showing in GSTR-3B, what to do
- Capital Gains on Industrial Property...
- While making correction in form-26QB getting - Maj
- Late interest penalty of missed invoice forgot to
- LONG TERM CAPITAL GAIN ON HOUSE
- WOS in Mauritius, LRS,Accounting
- AP of Business under gst
- PAYING RCM AND AVAILING INPUT ON TRANSPORT CHARGES
Related Threads
Trending Online Classes
-
GST LIVE Certification Course - 42nd Weekend Batch(With Govt Certificate)
Industry Expert17 May 2025
CAclubindia
