Classification of goods— The present appeal has been filed  against the Advance Ruling order pronounced by the Maharashtra Authority for Advance Ruling .

the Appellant had sought Advance Ruling in respect of the following questions:

Question No. 1: -

Whether the Turmeric (Turmeric in Whole form - not in powder form) is covered under the definition of 'Agricultural Produce' and exempted from GST? If not, what is the HSN code of Turmeric and the rate of GST on the Turmeric?

Question No. 2: -

Whether services rendered by the Appellant as a Commission Agent in APMC, Sangli, are liable to GST in terms of Sl. 54 Heading 9986 of Notification No. 12/2017 CT(R) dated 28.06.2017 read with Sl. No. 24 of Notification No.11/2017-C.T. (Rate) dated 28.06.2017?

Question No. 3: -

Whether the Appellant is required to be registered under the CGST Act, 2017 for his activities specified under Annexure-I? If yes, under which section of the GST Act, he is required to be registered?

The MAAR Authority has answered the questions as under:

(a) Dried and Polished Turmeric, as in the instant case, is not covered under the definition of 'Agriculture Produce 'and is not exempted from GST. The HSN code of the impugned product is 0910 30 20 and the rate of GST is 5% (2.5% each of CGST and SGST).

(b) The impugned services rendered by the applicant are taxable under GST and not exempt in ternis of Sl. 54 Heading 9986 of Notification No. 12/2017 CT(R) dated 28.06.2017 read with Sl. No. 24 of Notification No. 11/2017-C.T. (Rate) dated 28.06.2017.

(c) The applicant is required to be registered under the relevant provisions of the CGST Act, 2017

Held that— 

(i)  The Turmeric (Turmeric in Whole form - not in powder form) is covered under the definition of 'Agricultural Produce'. The HSN code of Turmeric is 0910 30 20 and the applicable rate of GST is 5% (CGST @ 2.5%+ SGST@ 2.5%). However, the first supply of Turmeric (Turmeric in Whole form -not in powder form) by farmers, being supply by non-taxable person in Agricultural Produce and Marketing Committee, is not liable to GST by virtue of provisions of Section 23 (1) (b) and 2 (107) of the CGST Act, 2017.

(ii) Services rendered by the Appellant as a Commission Agent in APMC, Sangli, are not liable to GST in terms of Sl. 54 Heading 9986 of Notification No.12/2017 CT(R) dated 28.06.2017 read with Sl. No. 24 of Notification No.11/2017-C.T. (Rate) dated 28.06.2017.

(iii) The Appellant is required to be registered in terms of Section 22(1) of the CGST Act, 2017.