1....what is tha diff b/w nil rated ,zero rated and non taxable supply
plzz elaboratee clearly as i had seen from net but not able to understand clearly
2....and why alcoholic liquor for human consumption covers under non taxable supplyy
3....why money is neither good nor servicee
i had search this also .and i see that it may cause double taxation
but i not understnd how it may cause double taxatiin
plzzz clearr my all 3 pointss with more and clear.
explnaton.
Nil Rate This type of supply attracts a GST of 0%. Input tax credit cannot be claimed on such supplies. Some items which are nil rated include grains, salt, jaggery, etc.
Zero-Rated Supplies made overseas and to Special Economic Zones (SEZs) or SEZ Developers come under the zero-rated supplies. This supply attracts a GST of 0%. For such supplies, the ITC can be claimed.
non-taxable supply” means a supply of goods or services or both which is not leviable to tax under CGST Act or under the IGST Act.
A transaction must be a ‘supply’ as defined under the GST law to qualify as a non-taxable supply under the GST.
Note: Only those supplies that are excluded from the scope of taxation under GST are covered by this definition – i.e., alcoholic liquor for human consumption, articles listed in section 9(2) or in schedule III.
- It must also be noted that the following items are not out of scope of GST. That means GST Rate has not yet been announced or notified for them.
- petroleum crude
- high-speed diesel
- motor spirit (commonly known as petrol)
- natural gas and
- aviation turbine fuel
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