Sugar/kerosene sold by public distribution system on ration card holders. It is taxable or nil rated under GST. Pl clarify with proof of documents.
Replies (5)
Quick Summary
This discussion clarifies the GST status of sugar and kerosene distributed through the Public Distribution System (PDS) using ration cards. It confirms that these items are exempt from GST. This exemption is supported by entry no. 11A of the exemption list and notification no. 12/2017 under the CGST Act, which covers services provided by Fair Price Shops for the sale of essential commodities under PDS.
As per entry no. 11A to exemption lists, " Service provided by Fair Price Shops to Central
Government, State Government or Union territory by way of sale of food grains, kerosene, sugar, edible oil, etc. under Public Distribution System against consideration in the form of commission or margin is exempt.