What is difference between exempt service and
nil rated service? How it is affected while taking input tax credit. What is
passenger transport to non ac bus service?
it exempt service or nil rated service.?
Nil rated supply is the
supply which is chargeable to nil rate of tax or 0% of tax. So goods or service
which are said to be covered under nil rated supply are the ones which are
chargeable to 0% GST. Exempt supplies are the supplies which are wholly exempt
from tax under GST Act. Exempt supplies also include Nil rated supplies. As per
S.No. 15(b) of Notification 12/2017, Transport of passengers, with or without
accompanied belongings by non-airconditioned contract carriage other than radio
taxi, for transportation of passengers, excluding tourism, conducted tour,
charter or hire is NIL Rated supply.