GST Exemption for Certain Fly Ash Products: A Simplified Overview
Government Decision:
G.S.R. (E) issues an exemption under IGST Act, 2017, on interstate supplies of specific goods.
Exempted Goods:
Fly ash bricks or fly ash aggregate with over 90% content; Fly ash blocks, Bricks of fossil meals, Building bricks, Earthen or roofing tiles.
Tax Rate:
Integrated tax levied at 6% on the mentioned goods, reducing the tax burden on these essential construction materials.
Conditions for Exemption:
Conditions include non-availment of input tax credit on goods or services used exclusively for supplying these goods. Partial credit reversal applies for dual-use inputs.
Effective Date:
The exemption comes into force from April 1, 2022, providing relief to the construction sector.
Explanation:
Clarifies technical terms like "Tariff item," "sub-heading," "heading," and "Chapter" in alignment with Customs Tariff Act, 1975.
Simplified Compliance:
Aims to simplify compliance by ensuring straightforward conditions for businesses dealing with these specified goods.
Note: This move supports the construction industry by streamlining tax processes for key materials, contributing to ease of doing business.