Important Keyword: Notification No. 04/2023 - Integrated Tax (Rate), GST on Rab, GST Council Notification March 2023, GST Amendment Rab 2023, GST Rab exemption, Notification 04/2023 IGST, GST rates 2023, Rab non-packaged GST, GST Council amendments, GST sugar products,
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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, dated the 28th February, 2023
Notification No. 04/2023 - Integrated Tax (Rate): Seeks to amend notification no. 2/2017-Integrated Tax (Rate), dated 28.06.2017.
[TO BE PUBLISHED IN THE GAZETTE OF INDIA, EXTRAORDINARY, PART II, SECTION 3, SUB- SECTION (i)]
G.S.R. .....(E).- In exercise of the powers conferred by sub-section (1) of section 6 of the IGST Act, 2017 (13 of 2017), the Central Government, being satisfied that it is necessary in the public interest so to do, on the recommendations of the Council, hereby makes the following further amendments in the notification of the Government of India, Ministry of Finance (Department of Revenue), No.2/2017- 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. 667(E), dated the 28th June, 2017, namely:-
In the said notification, in the Schedule, against S. No. 94, in Column (3), after the item (ii) and the entries relating thereto, the following item and entry shall be inserted, namely: -
“(iii) Rab, other than pre-packaged and labelled”.
2. This notification shall come into force on the 1st day of March, 2023.
(RAJEEV RANJAN)
Under Secretary
Note: - The principal notification No.2/2017- Integrated Tax (Rate), dated the 28th day of June, 2017, was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 667(E)., dated the 28th day of June, 2017 and was last amended by notification No. 13/2022 – Integrated Tax (Rate), dated the 30th December, 2022 published in the Gazette of India, Extraordinary, Part II, Section 3, Sub- section (i) vide number G.S.R. 920(E)., dated the 30th December, 2022.
📚 Frequently Asked Questions (FAQs): Notification No. 04/2023 - Integrated Tax (Rate)
Q1: What is Notification No. 04/2023 - Integrated Tax (Rate) about?
Answer:
Notification No. 04/2023 – Integrated Tax (Rate), dated 28th February 2023, amends the earlier Notification No. 2/2017 to introduce a tax exemption for “Rab” when sold other than in pre-packaged and labelled form. This update is based on the recommendations of the GST Council.
Q2: What change has been made in S. No. 94 of the GST rate schedule?
Answer:
A new item “(iii) Rab, other than pre-packaged and labelled” has been added under S. No. 94. This means unlabelled and loose Rab is now exempt from GST.
Q3: What is 'Rab' and why is it relevant in this notification?
Answer:
'Rab' is a traditional form of sugar (a type of jaggery syrup). The notification provides clarity and relief to sellers and producers of Rab sold in non-branded bulk form by exempting it from GST.
Q4: When does Notification No. 04/2023 come into effect?
Answer: The notification came into force on 1st March 2023.
Q5: Does GST apply to pre-packaged Rab after this amendment?
Answer:
Yes, GST will still apply to Rab if it is pre-packaged and labelled, as this exemption applies only to non-packaged forms.
Q6: How does this notification benefit small Rab producers or traders?
Answer:
Small-scale or unorganized Rab sellers who deal in unpackaged goods will not be burdened with GST, reducing their compliance load and promoting traditional trade.
Q7: How is this update aligned with GST Council recommendations?
Answer:
The GST Council in its recommendations aimed to simplify tax compliance for traditional goods, and Notification No. 04/2023 is a direct implementation of those reforms.
Q8: Which sectors or businesses should take note of Notification No. 04/2023?
Answer:
Farmers, small traders, mandis, and unorganized food product sellers who produce or sell Rab in loose form should be particularly attentive to this notification.
Q9: What does this imply for GST classification and invoicing?
Answer:
Businesses need to clearly classify Rab as “pre-packaged and labelled” or “other than pre-packaged and labelled” while invoicing to apply the correct GST treatment.
Q10: Where can I get professional help to ensure correct GST compliance for this change?
Answer:
You can consult a GST Expert via Finodha at www.Finodha.in or check GST Compliance support at: https://finodha.in/gst-compliance/.
📌 Related Resources & Smart Interlinks for Better Compliance:
🔹 GST Registration for Rab Sellers → https://finodha.in/online-gst-registration/
🔹 GST Return Filing Help → https://finodha.in/gst-return-filing/
🔹 Setup Traditional Business → https://finodha.in/setup-business/
🔹 Private Limited Company Registration → https://finodha.in/private-limited-company/
🔹 Digital Signature for GST Filings → https://finodha.in/online-dsc-digital-signature-certificate/
🔹 MSME/Udyam Registration for Agro-Sector → https://finodha.in/online-udyam-udyog-aadhar-msme-registration/
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🎯 Summary:
Notification No. 04/2023 - Integrated Tax (Rate) offers a targeted GST relief to unbranded, loose Rab producers and sellers. By amending Notification No. 2/2017, the government has promoted ease of business in traditional food sectors. Businesses should ensure proper classification to benefit from the exemption.
Download PDF: Notification No. 04/2023 - Integrated Tax (Rate)
More Information: https://taxinformation.cbic.gov.in/
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