The GST intelligence unit has stated that a number of the sugar mills and distilleries are engaged hand in manufacturing and supplying alcohol-based hand sanitisers and are misclassifying them as gadgets underneath HSN Code 3004, that are taxed at 12 per cent underneath GST
DGGI has ready a listing of 62 producers/suppliers by figuring out them with the assistance of on-line buying platforms like Amazon, Flipkart, Snapdeal, PayTm, and many others
The Director Normal of GST Intelligence (DGGI) has alerted the GST officers of enormous evasion by alcohol-based hand sanitiser producers by misclassifying the identical as items underneath 12% tax as an alternative of 18%.
In a letter to Principal Chief Commissioners and Chief Commissioners, the GST intelligence unit has stated that a number of the sugar mills and distilleries are engaged in manufacturing and supplying alcohol-based hand sanitisers and are misclassifying them as gadgets underneath HSN Code 3004, that are taxed at 12 per cent underneath GST as an alternative of HSN Code 3808, that are taxed at 18 per cent.
Objects of medicinal and therapeutic use are stored underneath HSN code 3004, whereas gadgets like fungicides, pesticides, biodiesel, and many others are stored underneath HSN Code 3808.
The letter of the DGGI hints at giant GST evasion as a consequence of misclassification of hand sanitisers.
It has ready a listing of 62 producers/suppliers by figuring out them with the assistance of on-line buying platforms like Amazon, Flipkart, Snapdeal, PayTm, and many others.
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