Importer & Manufacturer | Source: Consumer Affairs
Published On: 22-09-2025
Enforcement Date: 22 September, 2025
Frequently Asked Questions on GST Part-2
The Central Government has released a FAQ addressing key GST-related topics, including the recall or re-labelling of medicines already in the supply chain. It also covers GST rates applicable to bricks, insurance services, beauty and wellness services, multimodal transport, local delivery, and leasing or renting of cars with operators, providing clarity for businesses and stakeholders across these sectors.
The Central Government has released a FAQ addressing key GST-related topics:
- Medicines in Supply Chain: Recalling or re-labelling MRPs before 22nd Sept 2025 is not mandatory if price compliance is ensured at the retailer level.
- Drones GST Rate: All types of drones now attract a uniform GST rate of 5%.
- Bricks GST Rate: Most bricks attract 6% GST without ITC and 12% with ITC; sand lime bricks reduced to 5%.
- Insurance Services: Individual life and health insurance services are exempt; reinsurance services are also exempt.
- Hotel Accommodation: Units priced ≤ ₹7500/day attract 5% GST without ITC; no option for 18% with ITC.
- Beauty & Wellness Services: Mandatory 5% GST without ITC; 18% with ITC not allowed.
- Job Work Services: Bus body building taxed at 18% with ITC; sand lime bricks job work at 5% with ITC.
- Multimodal Transport: 5% GST with limited ITC if no air leg; 18% GST with full ITC if air transport involved.
- Local Delivery via ECO: GST liability falls on ECO if supplier is unregistered; rate is 18%.
- GTA Scope: ECOs providing or facilitating local delivery are excluded from GTA definition.
Applicable For: Importer & Manufacturer
Reference Number: NA
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