The Central Board Indirect Taxes and Customs (CBIC) notified that the no GST exemption on seeds meant for any use other than sowing.
In exercise of the powers conferred by sub-section (1) of section 11 of the Central Goods and Services Tax Act, 2017, the Central Government, on the recommendations of the Council, amended notification of the Government of India in the Ministry of Finance (Department of Revenue), No.2/2017-Central Tax (Rate), dated the 28th June 2017 wherein GST is exempted intra State supplies of goods.
The government has inserted the explanation which said that Seeds, fruit and spores, of a kind used for sowing are exempted from GST but this entry does not cover seeds meant for any use other than sowing.”
The notification shall come into force on the 1st October 2021.
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