Important Keyword: Notification No. 02/2023 - Integrated Tax (Rate), GST Council 49th meeting, IGST on services, Courts & Tribunals GST, GST Amendment 2023,
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[F. No.- CBIC-190354/21/2023-TO(TRU-II)-CBEC]
GOVERNMENT OF INDIA
MINISTRY OF FINANCE
(DEPARTMENT OF REVENUE)
New Delhi, the 27th February, 2023
Notification No. 02/2023 - Integrated Tax (Rate): Seeks to amend notification No. 10/2017- Integrated Tax (Rate) so as to notify change in GST with regards to services as recommended by GST Council in its 49th meeting held on 18.02.2023.
[TO BE PUBLISHED IN THE GAZETTE OFINDIA, EXTRAORDINARY, PART II, SECTION 3, SUB-SECTION (i)]
GSR......(E).-In exercise of the powers conferred by sub-section (3) of section 5 of the IGST Act, 2017 (13 of 2017), the Central Government, on the recommendations of the Council, hereby makes the following further amendments in the notification of the Government of India, in the Ministry of Finance (Department of Revenue), No.10/2017-Integrated Tax (Rate), dated the 28th June, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 685(E), dated the 28th June, 2017, namely:-
In the said notification, in the Explanation, in clause (h), for the words “and State Legislatures” the words “, State Legislatures, Courts and Tribunals” shall be substituted.
2. This notification shall come into force with effect from the 01st March, 2023.
(Rajeev Ranjan) Under Secretary
Note: -The principal notification no. 10/2017 -Integrated Tax (Rate), dated the 28thJune, 2017 was published in the Gazette of India, Extraordinary, vide number G.S.R. 685 (E), dated the 28th June, 2017 and was last amended vide notification no. 05/2022 -Integrated Tax (Rate), dated the 13th July, 2022 published in the official gazette vide number
G.S.R. 548(E), dated the 13th July, 2022.
📚 Frequently Asked Questions (FAQs): Notification No. 02/2023 - Integrated Tax (Rate)
Q1: What is Notification No. 02/2023 - Integrated Tax (Rate) about?
Answer: Notification No. 02/2023 - Integrated Tax (Rate) issued on 27th February 2023 seeks to amend the earlier Notification No. 10/2017 - Integrated Tax (Rate). It includes "Courts and Tribunals" in the explanation clause (h) related to taxable services, which previously mentioned only “Parliament and State Legislatures”. This change, recommended by the 49th GST Council Meeting, comes into effect from 01st March 2023.
Q2: What change has been made in clause (h) of the Explanation in Notification No. 10/2017?
Answer: Clause (h) now reads: “Parliament, State Legislatures, Courts and Tribunals”, replacing the earlier wording “Parliament and State Legislatures”. This ensures that services provided to or by Courts and Tribunals are also clearly covered under the IGST framework.
Q3: Why was this amendment required?
Answer: The clarification helps align the tax treatment of services involving Courts and Tribunals with those of legislatures. It removes ambiguity, thereby ensuring smoother compliance and audit clarity under GST regulations.
Q4: From when is Notification No. 02/2023 effective?
Answer: This amendment came into force from 1st March 2023.
Q5: Which stakeholders are most affected by this change?
Answer: Legal practitioners, government contractors, tribunal service providers, and GST professionals dealing with government-related services will find this clarification important for invoicing and tax applicability. If you're unsure how this affects your business, consult a GST Expert at www.Finodha.in.
Q6: Does this mean services by courts and tribunals are now taxable?
Answer: No, this notification merely clarifies the scope under the explanation clause. Courts and Tribunals as public authorities may still enjoy exemptions under specific entries, but the inclusion ensures that when relevant, GST rules apply clearly.
Q7: How can businesses update their GST compliance in light of this notification?
Answer: Businesses should review contracts and service provisions with government entities like courts and tribunals. For streamlined updates, visit Finodha’s GST Compliance portal: https://finodha.in/gst-compliance/
Q8: Is there any link between Notification No. 02/2023 and earlier amendments to Notification No. 10/2017?
Answer: Yes. This is a continuation of clarifications and refinements being made to Notification No. 10/2017 over time. The last prior amendment was via Notification No. 05/2022 - Integrated Tax (Rate).
Q9: How can professionals ensure ongoing compliance with such updates?
Answer: Regular consultation with GST Professionals, subscribing to GST Council updates, and using compliance platforms like https://finodha.in/gst-return-filing/ ensure businesses stay GST-ready at all times.
Q10: Where can I get expert help to understand and implement this notification?
Answer: You can consult verified GST Experts at www.Finodha.in. Their professionals offer tailored support for registration, compliance, GST returns, and advisory services.
🧠 Summary:
Notification No. 02/2023 - Integrated Tax (Rate) extends the applicability of GST explanations to include Courts and Tribunals. It is a precision step for tax clarity, effective from March 1, 2023, and recommended by the 49th GST Council Meeting. Businesses interacting with public authorities must realign their services and tax treatment accordingly.
📌 Stay GST-Updated → https://finodha.in/gst-compliance/
📬 For tailored advice, connect with a GST Expert: www.Finodha.in
Download PDF: Notification No. 02/2023 - Integrated Tax (Rate)
More Information: https://taxinformation.cbic.gov.in/
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