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[TO BE PUBLISHED IN THE GAZZETE OF INDIA, EXTRAORDINARY, PART II,
SECTION 3, SUB-SECTION (i)]
Government of India
Ministry of Finance
(Department of Revenue)
Notification No. 39/2017-Integrated Tax (Rate)
New Delhi, the 13
th
October, 2017
G.S.R......(E).- In exercise of the powers conferred by sub-section (1) of section 5, sub-section
(1) of section 6 and clause (iii) and clause (iv) of section 20 of the Integrated Goods and
Services Tax Act, 2017 (13 of 2017) read with sub-section (5) of section 15 and sub-section (1)
of section 16 of the Central Goods and Services Tax Act, 2017 (12 of 2017), the Central
Government, on the recommendations of the Council, and on being satisfied that it is necessary
in the public interest so to do, hereby makes the following further amendments in the
notification of the Government of India, in the Ministry of Finance (Department of Revenue),
No. 8/2017- Integrated Tax (Rate), dated the 28th June, 2017, published in the Gazette of India,
Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 683(E), dated the 28th
June, 2017, namely:-
In the said notification,
(i) in the Table, -
(a) against serial number 3, -
A. in item (iii), in column (3), for the words “Government, a local authority or a
Governmental authority”, the words “Central Government, State Government,
Union territory, a local authority, a Governmental Authority or a Government
Entity” shall be substituted;
B. in item (vi), in column (3), for the words “a local authority or a Governmental
authority” the words “a local authority, a Governmental Authority or a Government
Entity” shall be substituted;
C. in items (iii) and (vi), in column (5), for the existing entry, the following entry shall
be substituted, namely: -
“Provided that where the services are supplied to a Government Entity, they should
have been procured by the said entity in relation to a work entrusted to it by the
Central Government, State Government, Union territory or local authority, as the
case may be”;
D. for item (vii), in columns (3), (4) and (5) and the entries relating thereto, the
following shall be substituted, namely: -
(3) (4) (5)
“(vii) Composite supply of works contract as
defined in clause (119) of section 2 of the Central
Goods and Services Tax Act, 2017, involving
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Provided that where the
services are supplied to a
Government Entity, they
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predominantly earth work (that is, constituting
more than 75 per cent. of the value of the works
contract) provided to the Central Government,
State Government, Union territory, local
authority, a Governmental Authority or a
Government Entity.
should have been procured by
the said entity in relation to a
work entrusted to it by the
Central Government, State
Government, Union territory or
local authority, as the case may
be
(viii) Composite supply of works contract as
defined in clause (119) of section 2 of the Central
Goods and Services Tax Act, 2017 and
associated services, in respect of offshore works
contract relating to oil and gas exploration and
production (E&P) in the offshore area beyond 12
nautical miles from the nearest point of the
appropriate base line.
12 -
(ix) Construction services other than (i), (ii), (iii),
(iv), (v), (vi), (vii) and (viii) above.
18 -”;
(b) against serial number 8, for item (ii), in column (5), for the word “or” the word “and”
shall be substituted;
(c) against serial number 8, for item (vi), in columns (3), (4) and (5) and the entries relating
thereto, the following shall be substituted, namely: -
(3) (4) (5)
“(vi) Transport of passengers by
any motor vehicle designed to
carry passengers where the cost
of fuel is included in the
consideration charged from the
service recipient.
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Provided that credit of input tax charged on
goods and services used in supplying the
service, other than the input tax credit of
input service in the same line of business
(i.e. service procured from another service
provider of transporting passengers in a
motor vehicle or renting of a motor
vehicle), has not been taken.
[Please refer to Explanation no. (iv)]
or
12 -”;
(d) against serial number 9, for item (v), in columns (3), (4) and (5) and the entries relating
thereto, the following shall be substituted, namely: -
(3) (4) (5)
“(v) Transportation of natural gas
through pipeline
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Provided that credit of input tax charged on
goods and services used in supplying the
service has not been taken
[Please refer to Explanation no. (iv)]
or
12 -
(vi) Goods transport services
other than (i), (ii), (iii), (iv) and
(v) above
18 -”;
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(e) against serial number 10, for item (i), in columns (3), (4) and (5) and the entries relating
thereto, the following shall be substituted, namely: -
(3) (4) (5)
“(i) Renting of any motor vehicle
designed to carry passengers
where the cost of fuel is included
in the consideration charged from
the service recipient. 5
Provided that credit of input tax charged on
goods and services used in supplying the
service, other than the input tax credit of
input service in the same line of business
(i.e. service procured from another service
provider of transporting passengers in a
motor vehicle or renting of a motor vehicle)
has not been taken.,
[Please refer to Explanation no. (iv)]
or
12 -”;
(f) against serial number 15, for item (v), in columns (3), (4) and (5) and the entries
relating thereto, the following shall be substituted, namely: -
(3) (4) (5)
“(v) Leasing of motor vehicles
purchased and leased prior to 1
st
July
2017;
65 per cent. of the rate of integrated
tax as applicable on supply of like
goods involving transfer of title in
goods.
Note:- Nothing contained in this entry
shall apply on or after 1
st
July, 2020.
-
(vi) Financial and related services other
than (i), (ii), (iii), (iv), and (v) above.
18
-”;
(g) against serial number 17, for item (vi) in column (3) and the entries relating thereto in
columns (3), (4) and (5), the following shall be substituted, namely: -
(3) (4) (5)
“(vi) Leasing of motor vehicles
purchased and leased prior to 1
st
July
2017;
65 per cent. of the rate of integrated
tax as applicable on supply of like
goods involving transfer of title in
goods.
Note:- Nothing contained in this entry
shall apply on or after 1
st
July, 2020.
-
(vii) Leasing or rental services, with or
without operator, other than (i), (ii),
(iii), (iv), (v) and (vi) above.
Same rate of integrated tax as
applicable on supply of like goods
involving transfer of title in goods
-”;
(h) against serial number 26, in column (3), -
(i) in item (i), for sub-item (c), the following sub-item shall be substituted, namely: -
“(c) all products falling under Chapter 71 in the First Schedule to the Customs
Tariff Act, 1975 (51of 1975);”;
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(ii) in item (i), after sub-item (d), the following sub-item shall be inserted, namely: -
“(da) printing of all goods falling under Chapter 48 or 49, which attract IGST @ 5
per cent. or Nil;”;
(iii) after sub-item (e), the following sub-items shall be inserted, namely: -
“(f) all food and food products falling under Chapters 1 to 22 in the First
Schedule to the Customs Tariff Act, 1975 (51of 1975);
(g) all products falling under Chapter 23 in the First Schedule to the
Customs Tariff Act, 1975 (51of 1975), except dog and cat food put up for retail
sale falling under tariff item 23091000 of the said chapter;
(h) manufacture of clay bricks falling under tariff item 69010010 in the
First Schedule to the Customs Tariff Act, 1975 (51of 1975);”;
(iv) after item (i), in columns (3), (4) and (5) and the entries relating thereto, the
following shall be inserted, namely: -
(3) (4) (5)
“(ia) Services by way of job work in relation to-
(a) manufacture of umbrella;
(b) printing of all goods falling under Chapter 48 or 49, which attract
IGST @ 12 per cent.
12 -”;
(v) in item (ii) after sub-item (b), the following sub-item shall be inserted, namely: -
“(c) printing of all goods falling under Chapter 48 or 49, which attract IGST @ 5
per cent. or Nil.”;
(vi) after item (ii), in columns (3), (4) and (5) in column (3) and the entries relating
thereto, the following shall be inserted, namely: -
(3) (4) (5)
“(iia) Services by way of any treatment or process on goods belonging to
another person, in relation to printing of all goods falling under Chapter 48 or
49, which attract IGST @ 12 per cent.
12 -”;
(vii) in item (iii), for the word, brackets and figures “ and (ii)” the figures, brackets,
letters and word “, (ia), (ii) and (iia)” shall be substituted;
(i) against serial number 27, for item (i), columns (3), (4) and (5) and the entries relating
thereto in, the following shall be substituted, namely: -
(3) (4) (5)
(i) Services by way of printing of all goods falling under Chapter 48 or 49
[including newspapers, books (including Braille books), journals and
periodicals], which attract IGST @ 12 per cent. or 5 per cent. or Nil, where
only content is supplied by the publisher and the physical inputs including
paper used for printing belong to the printer.
12 -”;
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(ii) in paragraph 2, for the words, brackets and figures “at item (i)”, the words, brackets, figures
and letters, “at item (i), item (iv) [sub-item (b), sub-item (c) and sub-item (d)], item (v)
[sub-item (b), sub-item (c) and sub-item (d)], item (vi) [sub-item (c)]” shall be substituted;
(iii) in paragraph 5, after clause (viii), the following clause shall be inserted, namely: -
“(ix) “Governmental Authority” means an authority or a board or any other body, -
(i) set up by an Act of Parliament or a State Legislature; or
(ii) established by any Government,
with 90 per cent. or more participation by way of equity or control, to carry out any
function entrusted to a municipality under article 243 W of the Constitution or to a
Panchayat under article 243 G of the Constitution.
(x) “Government Entity” means an authority or a board or any other body including a
society, trust, corporation,
i) set up by an Act of Parliament or State Legislature; or
ii) established by any Government,
with 90 per cent. or more participation by way of equity or control, to carry out a
function entrusted by the Central Government, State Government, Union Territory or
a local authority.”.
[F. No.354/173/2017 -TRU]
(Ruchi Bisht)
Under Secretary to the Government of India
Note: -The principal notification was published in the Gazette of India, Extraordinary, vide
notification No. 8/2017 - Integrated Tax (Rate), dated the 28
th
June, 2017, vide number
G.S.R. 683 (E), dated the 28
th
June, 2017 and was last amended by notification No. 24/2017-
Integrated Tax (Rate), dated the 21
st
September, 2017 vide number G.S.R. 1182(E), dated the
21
st
September, 2017.
