Poultry Meal to attract 5% GST whereas Poultry Fat to attract 12% GST: Says AAR

Facts of Case

The applicant is engaged in manufacturing / rendering of ‘Poultry Meal’ and ‘Poultry Fat’. Both these products are used as one of the protein raw material for the manufacturing of animal feed industries, aqua feed industries. The major raw material for manufacturing poultry meal and poultry fat is chicken wastages such as chicken legs, chicken head, intestine, feathers, skin etc. which they buy from the chicken stall owners in twin cities and other parts of the State.

The applicant sought for ruling with regard to the HSN codes and the rate of tax in respect of “poultry meal” and “poultry fat” supplied by their unit.

Held by AAR

The product “poultry meal” manufactured and supplied by the applicant attracts GST rate of 5% (2.5 % CGST + 2.5% SGST) under sl. No. 103 of the Schedule-1 of the Notification. No. 01/2017-CT (R), dated 28.06.2017 (as amended) and the product “poultry fat” supplied by the applicant attracts 12% GST (6% CGST + 6% SGST/UTGST) in terms of Notificiation No. 01/2017-CT (R) dated 28.06.2017 (as amended).

Ruling

1. HSN Code and rate of tax in respect of supply of ‘poultry meal’?

The product “poultry meal” is classifiable under Chapter Sub-Heading No. 2301 10 90 of the first schedule to the Customs Tariff Act, 1975 and the supply of the same attracts GST rate of 5% (2.5 % CGST + 2.5% SGST) under Sl. No. 103 of the Schedule-1 of the Not. No. 01/2017-CT (R), dated 28.06.2017 (as amended).

2. HSN Code and rate of tax in respect of supply of ‘poultry fat’?

The product “poultry fat” is classifiable under Chapter Sub-Heading No. 1501 90 00 of the first schedule to the Customs Tariff Act, 1975 and the supply of the same attracts 12% GST (6% CGST + 6% SGST/UTGST)vide entry No. 19 of the Schedule-II of Not. No. 01/2017-CT(R) dated 28.06.2017 (as amended)

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