GST exemption of intra-State supply of gold, silver or platinum – CGST Notification No. 26/2018 – Central Tax (Rate) dated 31.12.2018

MINISTRY OF FINANCE
(Department of Revenue)

NOTIFICATION
New Delhi, the 31st December, 2018

No. 26/2018 – Central Tax (Rate)

G.S.R. 1263(E).—In exercise of the powers conferred by sub-section (1) of section 11 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central Government, on being satisfied that it is necessary in the public interest so to do, on the recommendations of the Council, hereby exempts the intra-State supply of ¹[gold, silver or platinum] falling in ²[Chapter 71] of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), when supplied by Nominated Agency under the scheme for “Export Against Supply by Nominated Agency” as referred to in ³[paragraph 4.40] of the Foreign Trade Policy, read with relevant provisions of Chapter 4 of Handbook of Procedures, to a registered person (herein referred to as “recipient”), from the whole of the central tax leviable thereon, under section 9 of the Central Goods and Services Tax Act, 2017, subject to following conditions, namely:-

(i) the Nominated Agency and the recipient shall follow the conditions and observe the procedures as specified in the Foreign Trade Policy read with Handbook of Procedures;

(ii) the recipient shall export the jewellery made out of such ¹[gold, silver or platinum] within a period of 90 (ninety) days from the date of supply of ¹[gold, silver or platinum] to such recipient and shall provide copy of shipping bill or bill of export containing details of Goods and Services Tax Identification Number (GSTIN) alongwith the invoice for exports to the Nominated Agency within a period of 120 (one hundred and twenty) days from the date of supply by the Nominated Agency;

(iii) wherever such proof of export is not produced within the period mentioned in condition (ii), the Nominated Agency shall pay the amount of central tax payable on the quantity of ¹[gold, silver or platinum] not exported, along with interest from the date when the said tax on such supply was payable, but for the exemption.

Explanation. – For the purpose of this notification, –

⁴[(a) “Foreign Trade Policy” means the Foreign Trade Policy, 2023, notified by the Government of India in the Ministry of Commerce and Industry vide notification No. 1/2023 dated the 31st March, 2023, published in the Gazette of India, Extraordinary, Part-II, Section 3, Sub-Section (ii) vide S.O. 1565 (E). dated the 31st March, 2023;]

⁵[(b) “Handbook of Procedures” means the Handbook of Procedure, notified by the Government of India in the Ministry of Commerce and Industry vide Public Notice No. 01/2023 dated the 1st April, 2023, Extraordinary, Part-I, Section 1 vide F. No. 01/75/171/00016/AM-23/FTP Cell dated the 1st April, 2023;]

(c) “Nominated Agency” means entities mentioned in List ⁶[34] of Notification No. 50/2017-Customs, dated the 30th June 2017 published Gazette of India, Extraordinary, Part-II, Section 3 sub-section (i),vide, number G. S. R. 785 (E), dated the 30th June, 2017;

⁷[(d) “Chapter” means heading as specified in the First Schedule to the Customs Tariff Act, 1975 (51 of 1975).]

2. This notification shall come into force on the 1st January, 2019.

[F. No. 354/432/2018-TRU]
GUNJAN KUMAR VERMA, Under Secy.

Reference:

1. Substituted by Notification No. 17/2019-Central Tax (Rate) dated 30th September, 2019, w.e.f. 01.10.2019, for the word “gold”.

2. Substituted by Notification No. 17/2019-Central Tax (Rate) dated 30th September, 2019, w.e.f. 01.10.2019, for the word “heading 7108”.

3. Substituted by Notification No. 10/2023-Central Tax (Rate) dated 26th July, 2023, w.e.f. 27.07.2023, for the words “paragraph 4.41”.

4. Substituted by Notification No. 10/2023-Central Tax (Rate) dated 26th July, 2023, w.e.f. 27.07.2023, for the clause:

“(a) “Foreign Trade Policy ” means the Foreign Trade Policy, 2015-2020, notified by the Government of India in the Ministry of Commerce and Industry vide notification No.41/2015-2020, dated the 5th December, 2017, published in the Gazette of India, Extraordinary, Part-II, Section 3, Sub-Section (ii) vide S.O. 3813, dated the 5th December, 2017;”.

5. Substituted by Notification No. 10/2023-Central Tax (Rate) dated 26th July, 2023, w.e.f. 27.07.2023, for the clause:

“(b) “Handbook of Procedures” means the Handbook of Procedure, notified by the Government of India in the Ministry of Commerce and Industry vide Public Notice No. 43/2015-2020, dated the 5th December 2017, published in the Gazette of India, Extraordinary, Part-I, Section 1, vide F. No. 01/94/180/333/AM 15/PC, dated the 5th December 2017;”

6. Replaced by Corrigendum dated 31st January, 2019, for the number “32”.

7. Substituted by Notification No. 17/2019-Central Tax (Rate) dated 30th September, 2019, w.e.f. 01.10.2019, for the clause:

“(d) “Heading” means heading as specified in the First Schedule to the Customs Tariff Act, 1975 (51 of 1975).”.