Expanding Essential Oils Horizon: Key Amendments in GST Rates
Essential Oils Inclusion:
Recent GST amendments, under the authority of IGST Act, 2017, usher in changes in the taxation of essential oils. A new entry, 3A, delineates specific oils beyond citrus fruits.
Variety of Mint Oils:
The amendment specifies essential oils from various mints, such as Peppermint, Spearmint, Water Mint, Horsemint, and Bergamot. This expansion reflects a nuanced approach to categorizing these oils.
Applicability to All Entities:
The amended notification applies to both unregistered and registered entities dealing with the specified essential oils, ensuring a comprehensive impact on the industry.
Clarity in Tariff Identification:
The notification provides clear identification with tariff item numbers (33012400, 33012510, 33012520, 33012530, 33012540), streamlining the application of GST rates.
Operational Commencement:
Effective from October 1, 2021, the amendment streamlines the taxation structure for essential oils, aligning it with industry dynamics.
Administrative Authority Reference:
The changes find their legal backing under sub-section (3) of section 5 of the IGST Act, 2017, showcasing adherence to regulatory procedures.
Historical Reference:
Referring to the original notification (No. 4/2017-Integrated Tax), last amended in 2018, the recent modifications respond to evolving industry needs and regulatory considerations.