Consider the following items:Cereal grains hulledChicken eggs cookedFish processed and cannedNewspap

Question

Consider the following items:Cereal grains hulledChicken eggs cookedFish processed and cannedNewspapers containing advertising materialWhich of the above items is/are exempted under GST (Goods and Services Tax)?

Accepted Answer

The Goods and Services Tax (GST) in India was implemented on July 1, 2017. While cereals, eggs, fish etc. are exempted from GST, the question mentions cooked and processed which in all likelihood will be available at restaurants and factories. These are therefore not exempted from the purview of GST.With reference to newspapers containing advertisements, the government has recently published a clarification that these will be taxed under GST. The newspaper would have to pay 5 per cent GST on the revenue earned from space selling but can avail of input tax credit for the tax paid by the advertisement agency on commission received.