No Ayush certificate? No GST relief on herbal smoke sticks
Ahmedabad: The Gujarat Appellate Authority for Advance Ruling, Goods and Service Tax, turned down an appeal filed by a firm seeking a reduction from the current 28% GST slab for its ‘herbal smoke'.
The smoke sticks that the firm sells fall neither in the category of ‘medicinal cigarette' nor do they have certification from the ministry of AYUSH that they are ayurvedic products.
The firm involved in this case is Aorom Herbotech, which manufactures and sells Aorom Herbal Smoke, classified under the category to be taxed at 28% GST. The firm sought an advance ruling from the authority and the appellate body, contending that the ingredients used in the smoke sticks are tendu leaves, nutmeg, fennel powder, liquid glucose, propylene glycol, sorbitol, menthol, baking soda, flavouring additive, empty paper tubes, and filter with no tobacco or nicotine.
It submitted that herbal smoke is an ancient practice to address the root cause of diseases, mentioned in ayurveda as dhummapana, a common practice in ayurvedic treatment.
