Important Keyword: Notification No. 20/2023 - Union Territory Tax (Rate), UT GST Refund, imitation zari thread GST, polyester film ITC refund, GST council decisions 2023, UT Tax amendment, GST Notification October 2023, Finodha GST Compliance, GST textile refund rule,
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Table of Contents
[F. No. CBIC-190354/195/2023-TO(TRU-II)-CBEC]
GOVERNMENT OF INDIA
MINISTRY OF FINANCE
(Department of Revenue)
New Delhi, the 19th October, 2023
Notification No. 20/2023 - Union Territory Tax (Rate): Seeks to amend Notification No 05/2017- Union Territory Tax (Rate) dated 28.06.2017.
GST: [TO BE PUBLISHED IN PART II, SECTION 3, SUB-SECTION (i) OF THE GAZETTE OF INDIA, EXTRAORDINARY]
G.S.R. (E).- In exercise of the powers conferred by clause (ii) of the proviso to sub-section (3) of section 54 of the CGST Act, 2017 (12 of 2017) read with section 21 of the Union Territory Goods and Services Tax Act, 2017 (14 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. 5/2017-Union Territory 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. 714(E), dated the 28th June, 2017, namely :-
In the said notification, in the TABLE, after S. No. 6A and the entries relating thereto, following S. No. and the entries shall be inserted, namely: -
| (1) | (2) | (3) |
| “6AA. | 5605 | Imitation zari thread or yarn made out of Metallised polyester film /plastic film; Explanation: This entry shall apply for refund of input tax credit only on polyester film /plastic film”; |
2. This notification shall come into force with effect from the 20th day of October, 2023.
Vikram Wanere
Under Secretary
Note: - The principal notification No.5/2017- Union Territory 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. 714(E)., dated the 28th day of June, 2017, and was last amended by notification No. 9/2022 – Union Territory Tax (Rate), dated the 13th July, 2022, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 561(E)., dated the 13th July, 2022.
📚 Frequently Asked Questions (FAQs): Notification No. 20/2023 - Union Territory Tax (Rate)
🧵 Q1: What is Notification No. 20/2023 - Union Territory Tax (Rate)?
Answer:
Notification No. 20/2023 - Union Territory Tax (Rate), issued on 19th October 2023, amends Notification No. 5/2017. It introduces a new entry (6AA) for refund eligibility of input tax credit (ITC) related to imitation zari thread or yarn made from metallised polyester film or plastic film. This change applies specifically for refund of ITC on polyester film/plastic film, effective from 20th October 2023.
🌟 Q2: What product has been added under this notification for ITC refund eligibility?
Answer:
The product added under entry 6AA is imitation zari thread or yarn made from metallised polyester film or plastic film. It is now eligible for refund of input tax credit under specified conditions.
📅 Q3: From when is this amendment effective?
Answer:
The amendment brought by Notification No. 20/2023 comes into force from 20th October 2023.
📜 Q4: Which original notification is amended by Notification No. 20/2023 - UT Tax (Rate)?
Answer:
This notification amends the original Notification No. 5/2017 - Union Territory Tax (Rate) dated 28th June 2017, which outlines the tax structure and conditions for specified goods.
🧾 Q5: What is the significance of “Explanation” added in entry 6AA?
Answer:
The explanation clarifies that the refund of input tax credit is restricted only to polyester film/plastic film used in making the imitation zari thread/yarn, ensuring accurate compliance and limiting refund claims.
🏛 Q6: Under which legal provisions is this amendment made?
Answer:
The amendment is made under clause (ii) of the proviso to sub-section (3) of Section 54 of the CGST Act, 2017 read with Section 21 of the Union Territory Goods and Services Tax Act, 2017.
🌐 Q7: How can businesses involved in zari trade stay GST compliant?
Answer:
Businesses dealing in imitation zari thread can ensure GST compliance through Finodha’s expert services. Visit: 👉 GST Compliance or consult a GST Professional to handle refunds and eligibility criteria.
🛠️ Q8: Is the refund available for all raw materials used in imitation zari thread?
Answer:
No. As per the explanation, the refund of input tax credit is limited to polyester film/plastic film only. Other materials used in production are not eligible under this entry.
📎 Q9: Where can one file GST returns for such categories efficiently?
Answer:
For smooth GST return filing for imitation zari goods or similar materials, use Finodha’s platform here: 👉 GST Return Filing
🏢 Q10: Want to register your business that deals in zari production?
Answer:
You can quickly register your business with Finodha’s hassle-free process. Explore Business Setup Services or register as a Private Limited Company.
Download PDF: Notification No. 20/2023 - Union Territory Tax (Rate)
More Information: https://taxinformation.cbic.gov.in/
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