The Circulars as initially published is presented. Subsequent amendments is not updated in the respective Circulars.

CGST Circulars

Circular No. 206/18/2023-GST, Dated 31^st October, 2023

This Circular provides Clarifications as hereunder regarding applicability of GST on the certain Services based on the recommendations of 52nd Meeting of GST Council held on 09/10/2023.

 1. Leasing of buses without operator

Leasing of motor vehicles without operator (SAC 9973) is not covered under the category of input services in the same line of business and attracts GST and/or compensation cess at the same rate as supply of motor vehicles by way of sale 

2. GST liability on reimbursement of electricity charges received by real estate companies, malls, airport operators etc. from their lessees/occupants

Where the electricity is supplied by the Real Estate Owners, Resident Welfare Associations (RWAs), Real Estate Developers etc., charging for electricity on actual basis from their lessees or occupants as charged by the State Electricity Boards or DISCOMs from them, they will be deemed to be acting as pure agent for this supply and it will not form part of value of their supply.

 3. GST rate applicable for job work for processing of “Barley” into “Malted Barley”

Job work services in relation to manufacture of malt are covered by the entry at Sl. No. 26 (i) (f) as “job work in relation to all food and food products falling under chapters 1 to 22 of the customs tariff” irrespective of the end use of that malt and attracts 5% GST.

4. Whether District Mineral Foundations Trusts (DMFTs) set up by the State Governments are Governmental Authorities

DMFT set up by the State Governments are Governmental Authorities and thus eligible for the same exemptions from GST as available to any other Governmental Authority .

5. Supply of pure services and composite supplies by way of horticulture/horticulture works (where the value of goods constitutes not more than 25 per cent of the total value of supply) made to CPWD

Supply of pure services and composite supplies by way of horticulture/horticulture works (where the value of goods constitutes not more than 25 per cent of the total value of supply) made to CPWD are eligible for exemption from GST under Sr. No. 3 and 3A of Notification no 12/2017-CTR dated 28.06.2017

Circular No. 205/17/2023-GST, Dated 31^st October, 2023

It has been clarified vide this Circular that Imitation zari thread or yarn made from metallised polyester film/ plastic film falling under HS 5605 are covered by Sl No. 218AA of Schedule I attracting 5% GST based on the recommendation of the GST Council in its 52ndmeeting held on 7th October, 2023.

Circular No. 204/16/2023-GST, Dated 27^th October, 2023

The CBIC has clarified on the taxability of providing personal bank guarantees by Directors to banks and by Holding Company to its subsidiary Companies as follows:

(1) In the case of guarantee provided by the Directors, when no consideration is paid by the Company, the open market value of the said transaction/ supply may be treated as zero and therefore, taxable value of such supply may be treated as zero. In such a scenario, no tax is payable on such supply of service by the director to the company.

(2) Regarding cases of supply of services by a related person to another person, or by a holding company to a subsidiary company, in the form of providing corporate guarantee on their behalf to a bank/ financial institution, the taxable value of such supply of services, will henceforth be determined as per the provisions of the sub-rule (2) of Rule 28 of CGST Rules, i.e 1% of the guarantee Value or consideration paid whichever is higher irrespective of whether full ITC is available to the recipient of services or not.

Circular No. 203/15/2023-GST , Dated 27^th October, 2023

The CBIC has clarified that with effect from 01/10/2023 for services related to the transportation of goods, except for mail and courier, when either the service provider or recipient is located outside India, the place of supply will be determined using the default rule outlined in section 13(2) and not as performance based services under sub-section (3) of section 13 of IGST Act due to omission of sub-section (9) of section 13 of IGST Act vide section 162 of Finance Act, 2023

Circular No. 202/14/2023-GST-GST , Dated 27^th October, 2023

The circular clarifies that when Indian exporters of services are paid in INR from Special Rupee Vostro Accounts of correspondent banks in partner trading countries, opened by AD banks, it fulfills the conditions of sub-clause (iv) of Section 2(6) of the IGST Act, 2017.

Circular No. 201/13/2023-GST , Dated 01^st August, 2023

Clarifications regarding applicability of GST on certain services.

Circular No. 200/12/2023-GST , Dated 01^st August, 2023

clarification regarding GST rates and classification of certain goods based on the recommendations of the GST Council in its 50th meeting held on 11th July, 2023.

Circular No. 199/11/2023-GST , Dated 17^th July, 2023

CBIC clarifies the taxability of services provided between offices of the same organization located in different states, treating them as distinct persons, and provides guidelines on the distribution of credit for common input services

Circular No. 198/10/2023-GST, Dated 17^th July, 2023

CBIC Clarifies on various issues pertaining to e-invoice.

Circular No. 197/09/2023-GST , Dated 17^th July, 2023

CBIC clarifies on various refund-related issues

Circular No. 196/08/2023-GST , Dated 17^th July, 2023

CBIC clarifies that the holding of shares of a subsidiary company by a holding company is not considered a supply of services and is not taxable under GST.

Circular No. 195/07/2023-GST, Dated 17^th July, 2023

CBIC issues clarification on the availability of Input Tax Credit (ITC) for warranty replacement of parts and repair services during the warranty period.

Circular No. 194/06/2023-GST, Dated 17^th July, 2023

CBIC issues clarification on TCS liability under Section 52 of the CGST Act, 2017 in cases involving multiple E-commerce Operators in a single transaction.

Circular No. 193/05/2023-GST, Dated 17^th July, 2023

CBIC issues clarification on dealing with the difference in ITC availed in FORM GSTR-3B and FORM GSTR-2A for the period from 01.04.2019 to 31.12.2021.

Circular No. 192/04/2023-GST, Dated 17^th July, 2023

CBIC clarifies that in the case of wrong availment of ITC in IGST no interest liability will be imposed under section 50(3) of the CGST Act, 2017 if the combined credit of IGST, CGST, and SGST has never been lower than the amount of wrongly availed IGST credit.

Circular No. 191/03/2023-GST, Dated 27^th March, 2023

GST rate and classification of ‘Rab’ with effect from 01/03/2023 based on the recommendation of the GST Council in its 49th meeting held on 18th February 2023 clarified.

Circular No. 190/02/2023-GST, Dated 13^th January, 2023

In this Circular it is clarified that the following services are not taxable

Circular No. 189/01/2023-GST, Dated 13^th January, 2023

Clarifications, with reference to GST levy, related to the following goods are being issued through this circular on the basis of recommendation of GST Council 48th Meeting: