Rice is not an agricultural produce

This query is : Resolved 

17 February 2017

Why rice is not an agricultural produce?

Saji Mathew (Expert)
17 February 2017

Section 65B(5) of the Finance Act, 2012, had excluded certain commodities including Rice from the earlier definition of agricultural produce, in their understanding Rice as an agricultural product continued to be exempt from the levy of Service Tax. However, they also indicated that they had sought a clarification from their Administrative Ministry and the Ministry of Finance on the correctness of their interpretation. -

Tony John (Expert)
17 February 2017

Rice is harvested from paddy and is hence not a direct agricultural produce.

Tony John (Expert)
17 February 2017

But processing/ milling of rice from paddy on job work basis is exempt from service tax levy vide Entry 30 of Mega Exemption Notification.

You need to be the querist or approved CAclub expert to take part in this query .

Click here to login now

Similar Resolved Queries :

× Online Coaching My Enrolled Courses
Articles Forum News Experts Exams Share Files Income Tax Accounts Career Corporate Law Service Tax Video Judgements Rewards Top Members Events Albums Find Friends Featured Feed Scorecard Bookmarks Mock Test Poll Notification Knowledge Finder Coaching Institutes Trainee Corner Jobs
close x
Download GST App    |    x