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Notification No. 13/2023 – CT(R): GST Update Amendment

by Shakshi Bharti | Jan 21, 2024 | GST, 2023 Notifications, Central Tax (Rate) 2023 Notifications, Notifications | 0 comments

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Important Keyword: Notification No. 13/2023 – Central Tax (Rate), GST rate amendment, Government services GST, Indian Railways GST exemption, Central Tax updates October 2023,

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[F. No. CBIC-190354/195/2023-TO (TRU-II)-CBEC]
Government of India
Ministry of Finance
(Department of Revenue)

New Delhi, the 19^th October, 2023

Notification No. 13/2023 - Central Tax (Rate): Seeks to amend Notification No 12/2017- Central Tax (Rate) dated 28.06.2017.

GST: [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-sections (3) and (4) of section 9, sub-section (1) of section 11, sub-section (5) of section 15 and section 148 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on being satisfied that it is necessary in the public interest so to do, on the recommendations of the Council, hereby makes the following amendment further to amend the notification of the Government of India, Ministry of Finance (Department of Revenue), No.12/2017-Central 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. 691(E), dated the 28th June, 2017, namely:—

In the said notification, in the Table, -

(1.) after serial number 3A and the entries relating thereto, the following serial number and entries shall be inserted, namely: -

(1)	(2)	(3)	(4)	(5)
“3B	Chapter 99	Services provided to a Governmental Authority by way of - water supply; public health; sanitation conservancy; solid waste management; and slum improvement and upgradation.	Nil	Nil”;

(2.) against serial number 6, in column (3),in item (a), after the words “Department of Posts”, the words and brackets “and the Ministry of Railways (Indian Railways)” shall be inserted;

(3.) against serial number 7, in column (3), in the Explanation, in item (a), in sub-item(i), after the words “Department of Posts”, the words and brackets “and the Ministry of Railways (Indian Railways)”shall be inserted;

(4.) against serial number 8, in column (3)in the proviso, in item (i), after the words “Department of Posts”, the words and brackets “and the Ministry of Railways (Indian Railways)” shall be inserted;

(5.) against serial number 9,in column (3), in the first proviso, in item (i), after the words “Department of Posts”, the words and brackets “and the Ministry of Railways (Indian Railways)” shall be inserted;

2. This notification shall come into force with effect from the 20^th day of October, 2023.

(Rajeev Ranjan)
Under Secretary to the Government of India

Note: The principal notification no. 12/2017 - Central Tax (Rate), dated the 28th June, 2017 was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 691 (E), dated the 28th June, 2017 and was last amended vide notification no. 07/2023 - Central Tax (Rate), dated the 26^th July, 2023 published in the Gazette of India, Extraordinary, Part II , Section 3 , Sub-section (i) vide number G.S.R. 540(E), dated the 26^th July, 2023.

📚 Frequently Asked Questions (FAQs): Notification No. 13/2023 – Central Tax (Rate)

Q1: What is Notification No. 13/2023 – Central Tax (Rate)?

Answer:
This notification, issued on 19th October 2023, amends Notification No. 12/2017 – Central Tax (Rate). It introduces exemptions on GST for specific services provided to Governmental Authorities and extends exemptions to services by the Ministry of Railways under several categories.

Q2: What services have been exempted under serial number 3B?

Answer:
Under serial no. 3B (Chapter 99), services provided to a Governmental Authority by way of:
Water supply 🚿
Public health 🏥
Sanitation conservancy 🧹
Solid waste management ♻️
Slum improvement and upgradation 🏘️
are now exempt from GST (Nil rate).

Q3: What specific amendment has been made regarding the Ministry of Railways?

Answer:
The Ministry of Railways (Indian Railways) has been explicitly included alongside the Department of Posts in the list of exempted service providers under multiple entries (serial numbers 6, 7, 8, and 9).

Q4: When does Notification No. 13/2023 come into force?

Answer:
The amendments in Notification No. 13/2023 are effective from 20th October 2023.

Q5: How does this impact services provided by Indian Railways?

Answer:
Services rendered by the Ministry of Railways, similar to those already exempted under the Department of Posts, now enjoy GST exemption across the same categories, enhancing operational and tax clarity for these public service departments.

Q6: Where can I get professional assistance for GST classification or exemptions?

Answer:
You can consult GST professionals at Finodha.in for expert assistance on GST rate classification, exemption claims, or filing related to government and railway services. Their specialists are available for:
✅ GST Compliance
✅ GST Return Filing
✅ GST Registration

Q7: What was the previous amendment to Notification No. 12/2017 before this?

Answer:
Prior to Notification No. 13/2023, the last amendment to Notification No. 12/2017 was through Notification No. 07/2023 – Central Tax (Rate) dated 26th July 2023.

Q8: Why are these exemptions significant for public authorities?

Answer:
These exemptions reduce tax burden on essential public services like water supply, sanitation, and waste management, ensuring that such services remain affordable and widely accessible.

📌 Summary:

Notification No. 13/2023 – Central Tax (Rate) expands GST exemptions to essential services provided to government authorities and recognizes the Ministry of Railways as a qualifying exempt entity. This move aligns with the government’s goal of facilitating public service delivery.