GST on agricultural farm produce for packages exceeding 25 kg/ltrs is exempt

NN.03/2024 – Central Tax (Rate) dated July 12, 2024June 28, 2017 amends Notification No.2/2017-Central Tax (Rate), dated June 28, 2017 that after the Schedule, in the Explanation, in clause (ii), after the entries relating thereto, supra proviso to be inserted.

The effect of that insertion of para is previously, GST was applicable to such food items when “pre-packaged and labelled” as defined by the Legal Metrology Act, 2009. Notwithstanding the provisions of the Legal Metrology Act, 2009, the supply of agricultural farm produce in packages exceeding 25 kilograms or 25 liters shall not be considered as “pre-packaged and labelled” and thus, is exempt from GST.

Source : https://www.cbic.gov.in/