DGGI Investigations on Flour Mills GST Implications and Way Forward

Description:

Taxmann’s Research & Advisory (Indirect Tax) Team analyses the taxability issue of Flour Mills operating under the Public Distribution System ('PDS scheme'). The analysis covers the following:

· Nature of activity carried out by the Flour Mills operating under the PDS scheme

· Value of supply especially considering the treatment of Gunny Bags and By-products

· Exemption available to the said Flour Mills under GST regime

· GST Rate on impugned services (where exemption is not available)

· Suggestive way forward for the Flour Mills operating under PDS Scheme