- GST is not leviable on the sale of unbranded/non packaged Broken Rice.
- The AAR, West Bengal, made this ruling based on a notification and press release regarding GST applicability on pre-packaged and labelled goods.
- The applicant in the case was involved in custom milling of paddy and sold the broken rice produced in an unbranded and unpackaged manner.
- The AAR held that the broken rice falls under the same rate as rice and is exempt from GST if sold in other than pre-packaged and labelled form.
- The applicant is only liable to pay tax if the broken rice is supplied in pre-packaged and labelled form.
Source: a2ztaxcorp.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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