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Uniform GST rate of 12% on PP-polyethylene bags, sacks

Sep '19
Pic: Shutterstock
Pic: Shutterstock
A uniform goods and services tax (GST) rate of 12 per cent will now be imposed on polypropylene (PP)-polyethylene woven and non-woven bags and sacks—both laminated and otherwise—of the kind used for packing goods, the 37th GST Council meeting in Goa decided yesterday. The present GST rates on these items have three slabs: 5 per cent, 12 per cent and 18 per cent.

The council met under the chairmanship of finance and corporate affairs minister Nirmala Sitharaman.

It was decided to offer GST exemption to services provided by an intermediary to a supplier of goods or recipient of goods when both the supplier and recipient are located outside the taxable territory, according to an official release.

In the transportation sector, the validity of conditional exemption of GST on export freight by air or sea was extended by another year, till September 30, 2020.

Services of storage or warehousing of cereals, pulses, fruits, nuts, vegetables, spices, copra, sugarcane, jaggery, raw vegetable, indigo and fibres like cotton, flax and jute, are now exempted from GST as well. (DS)

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October 2019

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