Applicability of GST on export of pre-packaged and labelled rice upto 25 kg :

cwhich means that the exports are exempt from GST.

In India, the export of goods and services is also considered as "zero-rated" under the GST regime. This means that when goods are exported, they are treated as a "zero-rated supply" and no GST is applicable on such exports.

Therefore, if you export pre-packaged and labelled rice up to 25 kg from India, then you should be able to avail of the "zero-rated" supply provisions under the GST law. This means that you will not have to pay GST on the export of such rice, and you can claim a refund for any GST paid on the inputs used in the production of the rice.

However, it is important to note that the specific details of GST applicability on exports can vary depending on various factors such as the nature of the goods, the destination country, and the specific GST regulations in force. Therefore, it is recommended that you consult a tax expert or refer to the relevant GST regulations and guidelines before exporting any goods from India.

Discussion and finding :

As I mentioned earlier, exports of goods and services in India are considered as "zero-rated supplies" under the GST regime, which means that no GST is applicable on such exports. This includes the export of pre-packaged and labelled rice up to 25 kg.

The relevant law governing the export of goods under GST is the Integrated Goods and Services Tax (IGST) Act, 2017. Section 16 of the IGST Act provides that a registered person making a "zero-rated supply" (i.e., an export of goods or services) is eligible for a refund of the GST paid on the inputs used in the production or manufacture of the exported goods or services.

In the case of pre-packaged and labelled rice up to 25 kg, it is important to ensure that the rice meets the relevant quality and safety standards prescribed by the importing country. It is also important to comply with any relevant labeling and packaging requirements prescribed by the importing country.

Furthermore, it is important to note that the specific details of GST applicability on exports can vary depending on various factors such as the nature of the goods, the destination country, and the specific GST regulations in force. Therefore, it is recommended that you consult a tax expert or refer to the relevant GST regulations and guidelines before exporting any goods from India.

In summary, the export of pre-packaged and labelled rice up to 25 kg from India should be considered as a "zero-rated supply" under the GST regime, and no GST is applicable on such exports. However, it is important to ensure compliance with relevant quality, safety, labeling, and packaging requirements, as well as consult with a tax expert or refer to the relevant GST regulations and guidelines to ensure compliance with any specific requirements or regulations.

Effect of the above order will be as under :

The effect of the applicability of GST on the export of pre-packaged and labelled rice up to 25 kg is that no GST will be levied on such exports. As I mentioned earlier, exports of goods and services in India are considered as "zero-rated supplies" under the GST regime, which means that no GST is applicable on such exports.

Therefore, if you export pre-packaged and labelled rice up to 25 kg from India, you will not have to pay GST on such exports, and you can claim a refund of the GST paid on the inputs used in the production or manufacture of the exported rice.

This exemption from GST on exports is intended to promote and facilitate the export of goods and services from India, making them more competitive in the international market. This, in turn, can lead to increased foreign exchange earnings, higher economic growth, and job creation.

Overall, the effect of the applicability of GST on the export of pre-packaged and labelled rice up to 25 kg is a positive one, as it promotes and facilitates the export of such goods from India, and helps to increase economic growth and development.