Notification No. 02/2017 - Integrated Tax (Rate)

(Previous Year Notification from 01/07/2017 - 31/03/2024)
[TO BE PUBLISHED IN PART II, SECTION 3, SUB-SECTION (i) OF THE GAZETTE OF INDIA, EXTRAORDINARY]

GOVERNMENT OF INDIA
MINISTRY OF FINANCE
(Department of Revenue)

Notification No.2/2017-Integrated Tax (Rate)
(as on 01-04-2024)

New Delhi, the 28th June, 2017

G.S.R. (E).- In exercise of the powers conferred by sub-section (1) of section 6 of the Integrated Goods and Services Tax Act, 2017 (13 of 2017), the Central Government, being satisfied that it is necessary in the public interest so to do, on the recommendations of the Goods and Services Tax Council, hereby exempts inter-State supplies of goods, the description of which is specified in column (3) of the Schedule appended to this notification, falling under the tariff item, sub-heading, heading or Chapter, as the case may be, as specified in the corresponding entry in column (2) of the said Schedule, from the whole of the integrated tax leviable thereon under section 5 of the Integrated Good and Services Tax Act, 2017 (13 of 2017).

Schedule

S. No.	Chapter / Heading / Sub-heading / Tariff item	Description of Goods
(1)	(2)	(3)
1.	0101	Live asses, mules and hinnies
2.	0102	Live bovine animals
3.	0103	Live swine
4.	0104	Live sheep and goats
5.	0105	Live poultry, that is to say, fowls of the species Gallus domesticus, ducks, geese, turkeys and guinea fowls.
6.	0106	Other live animal such as Mammals, Birds, Insects
7.	0201	Meat of bovine animals, fresh and chilled.
8.	0203, 0204, 0205, 0206, 0207, 0208, 0209	All goods, fresh or chilled
9.	0202, 0203, 0204, 0205, 0206, 0207, 0208, 0209, 0210	All goods [other than fresh or chilled, other than pre-packaged and labelled
18.	3	Fish seeds, prawn / shrimp seeds whether or not processed, cured or in frozen state [other than goods falling under Chapter 3 and attracting 5%]
19.	0301	Live fish.
20.	0302	Fish, fresh or chilled, excluding fish fillets and other fish meat of heading 0304
21.	0304, 0306, 0307, 0308	All goods, fresh or chilled
22.	0303, 0304, 0305, 0306, 0307, 0308, 0309	All goods [other than fresh or chilled] and, other than pre-packaged and labelled
25.	0401	Fresh milk and pasteurised milk, including separated milk, milk and cream, not concentrated nor containing added sugar or other sweetening matter, excluding Ultra High Temperature (UHT) milk
26.	0403	Curd, Lassi, Butter milk, other than pre-packaged and labelled
27.	0406	Chena or paneer, other than pre-packaged and labelled
28.	0407	Birds' eggs, in shell, fresh, preserved or cooked
29.	0409	Natural honey, , other than pre-packaged and labelled
30.	0501	Human hair, unworked, whether or not washed or scoured; waste of human hair
30A	0504	All goods, fresh or chilled
30B	0504	All goods other than fresh or chilled, other than pre-packaged and labelled
31.	0506	All goods i.e. Bones and horn-cores, unworked, defatted, simply prepared (but not cut to shape), treated with acid or gelatinised; powder and waste of these products
32.	0507 90	All goods i.e. Hoof meal; horn meal; hooves, claws, nails and beaks; antlers; etc.
33.	0511	Semen including frozen semen
34.	6	Live trees and other plants; bulbs, roots and the like; cut flowers and ornamental foliage
35.	0701	Potatoes, fresh or chilled.
36.	0702	Tomatoes, fresh or chilled.
37.	0703	Onions, shallots, garlic, leeks and other alliaceous vegetables, fresh or chilled.
38.	0704	Cabbages, cauliflowers, kohlrabi, kale and similar edible brassicas, fresh or chilled.
39.	0705	Lettuce (Lactuca sativa) and chicory (Cichorium spp.), fresh or chilled.
40.	0706	Carrots, turnips, salad beetroot, salsify, celeriac, radishes and similar edible roots, fresh or chilled.
41.	0707	Cucumbers and gherkins, fresh or chilled.
42.	0708	Leguminous vegetables, shelled or unshelled, fresh or chilled.
43.	0709	Other vegetables, fresh or chilled.
43A	0710	Vegetables (uncooked or cooked by steaming or boiling in water), frozen]
43B	0711	Vegetables provisionally preserved, but unsuitable in that state for immediate consumption
44.	0712	Dried vegetables, whole, cut, sliced, broken or in powder, but not further prepared.
45.	0713	Dried leguminous vegetables, shelled, whether or not skinned or split, other than pre-packaged and labelled
46.	0714	Manioc, arrowroot, salep, Jerusalem artichokes, sweet potatoes and similar roots and tubers with high starch or inulin content,fresh or chilled, dried sago pith.
46A	0714	Manioc, arrowroot, salep, Jerusalem artichokes, sweet potatoes and similar roots and tubers with high starch or inulin content, frozen, whether or not sliced or in the form of pellets, other than pre-packaged and labelled
46B	08	Dried makhana, whether or not shelled or peeled , other than pre-packaged and labelled
*47.	0801	Coconuts, fresh or dried, whether or not shelled or peeled
48.	0801	Brazil nuts, fresh, whether or not shelled or peeled
49.	0802	Other nuts, fresh such as Almonds, Hazelnuts or filberts (Corylus spp.), walnuts, Chestnuts (Castanea spp.), Pistachios, Macadamia nuts, Kola nuts (Cola spp.), Areca nuts, Pine nuts, fresh, whether or not shelled or peeled
50.	0803	Bananas, including plantains, fresh or dried
51.	0804	Dates, figs, pineapples, avocados, guavas, mangoes and mangosteens, fresh.
52.	0805	Citrus fruit, such as Oranges, Mandarins (including tangerines and satsumas); clementines, wilkings and similar citrus hybrids, Grapefruit, including pomelos, Lemons (Citrus limon, Citrus limonum) and limes (Citrus aurantifolia, Citrus latifolia), fresh.
53.	0806	Grapes, fresh
54.	0807	Melons (including watermelons) and papaws (papayas), fresh.
55.	0808	Apples, pears and quinces, fresh.
56.	0809	Apricots, cherries, peaches (including nectarines), plums and sloes, fresh.
57.	0810	Other fruit such as strawberries, raspberries, blackberries, mulberries and loganberries, black, white or red currants and gooseberries, cranberries, bilberries and other fruits of the genus vaccinium, Kiwi fruit, Durians, Persimmons, Pomegranates, Tamarind, Sapota (chico), Custard-apple (ata), Bore, Lichi, fresh.
57A	0813	Tamarind dried
58.	0814	Peel of citrus fruit or melons (including watermelons), fresh.
59.	7, 9 or 10	All goods of seed quality
60.	0901	Coffee beans, not roasted
61.	0902	Unprocessed green leaves of tea
62.	0909	Seeds of anise, badian, fennel, coriander, cumin or caraway; juniper berries [of seed quality]
63.	0910 11 10	Fresh ginger, other than in processed form
64.	0910 30 10	Fresh turmeric, other than in processed form
65.	1001	Wheat and meslin, other than pre-packaged and labelled
66.	1002	Rye, other than pre-packaged and labelled
67.	1003	Barley, other than pre-packaged and labelled
68.	1004	Oats, other than pre-packaged and labelled
69.	1005	Maize (corn) , other than pre-packaged and labelled
70.	1006	Rice, other than pre-packaged and labelled
71.	1007	Grain sorghum, other than pre-packaged and labelled
72.	1008	Buckwheat, millet and canary seed; other cereals such as Jawar, Bajra, Ragi] ,other than pre-packaged and labelled
73.	1101	Wheat or meslin flour , other than pre-packaged and labelled
74.	1102	Cereal flours other than of wheat or meslin, [maize (corn) flour, Rye flour, etc.], other than pre-packaged and labelled
75.	1103	Cereal groats, meal and pellets, other than pre-packaged and labelled
76.	1104	Cereal grains hulled
77.	1105	Flour, powder, flakes, granules or pellets of potatoes
78.	1106	Flour, of the dried leguminous vegetables of heading 0713 (pulses) [other than guar meal 1106 10 10 and guar gum refined split 1106 10 90], of sago or of roots or tubers of heading 0714 or of the products of Chapter 8 i.e. of tamarind, of singoda, mango flour, etc., other than pre-packaged and labelled
78A	1106 10 10	Guar meal
79.	12	All goods of seed quality
80.	1201	Soya beans, whether or not broken, of seed quality.
81.	1202	Ground-nuts, not roasted or otherwise cooked, whether or not shelled or broken, of seed quality.
82.	1204	Linseed, whether or not broken, of seed quality.
83.	1205	Rape or colza seeds, whether or not broken, of seed quality.
84.	1206	Sunflower seeds, whether or not broken, of seed quality.
85.	1207	Other oil seeds and oleaginous fruits (i.e. Palm nuts and kernels, cotton seeds, Castor oil seeds, Sesamum seeds, Mustard seeds, Saffower (Carthamus tinctorius) seeds, Melon seeds, Poppy seeds, Ajams, Mango kernel, Niger seed, Kokam) whether or not broken, of seed quality.
*86.	1209	Seeds, fruit and spores, of a kind used for sowing Explanation: This entry does not cover seeds meant for any use other than sowing.
87.	1210	Hop cones, fresh.
87A	1210 10 00	Hop cones, neither ground nor powdered nor in the form of pellets
88.	1211	Plants and parts of plants (including seeds and fruits), of a kind used primarily in perfumery, in pharmacy or for insecticidal, fungicidal or similar purpose, fresh or chilled.
89.	1212	Locust beans, seaweeds and other algae, sugar beet and sugar cane, fresh or chilled.
90.	1213	Cereal straw and husks, unprepared, whether or not chopped, ground, pressed or in the form of pellets
91.	1214	Swedes, mangolds, fodder roots, hay, lucerne (alfalfa), clover, sainfoin, forage kale, lupines, vetches and similar forage products, whether or not in the form of pellets.
92.	1301	Lac and Shellac
92 A	1401	Sal leaves, siali leaves, sisal leaves, sabai grass”;
93.	1404 90 40	Betel leaves
93A	1404 90 60	coconut shell, unworked
93 B	1404 90 90	Vegetable materials, for manufacture of jhadoo or broom sticks”;
94.	1701 or 1702	(i)Jaggery of all types including Cane Jaggery (gur), Palmyra Jaggery, other than pre-packaged and labelled.; (ii) Khandsari Sugar, other than pre-packaged and labelled (iii) Rab, other than pre-packaged and labelled
94A	1901	Food preparation of millet flour, in powder form, containing at least 70% millets by weight, other than pre-packaged and labelled
95.	1904	Puffed rice, commonly known as Muri, flattened or beaten rice, commonly known as Chira, parched rice, commonly known as khoi, parched paddy or rice coated with sugar or gur, commonly known as Murki , other than pre-packaged and labelled
96.	1905	Pappad, by whatever name it is known, except when served for consumption
97.	1905	Bread (branded or otherwise), except when served for consumption and pizza bread
97A	2009 89 90	Tender coconut water, other than pre-packaged and labelled
98.	2106	Prasadam supplied by religious places like temples, mosques, churches, gurudwaras, dargahs, etc.
99.	2201	Water [other than aerated, mineral, purified, distilled, medicinal, ionic, battery, de-mineralized and water sold in sealed container]
100.	2201	Non-alcoholic Toddy, Neera including date and palm neera
102.	2301,2302, 2308, 2309	Aquatic feed including shrimp feed and prawn feed, poultry feed and cattle feed, including grass, hay and straw, supplement and additives, wheat bran and de-oiled cake [other than rice bran]
102A	2306	De-oiled rice bran Explanation: The exemption applies to de-oiled rice bran falling under heading 2306 with effect from 25th January, 2018”;
102B	2306	Cotton seed oil cake
102C	2302, 2309	Husk of pulses including Chilka, Concentrates including chuni or churi, Khanda
103.	2501	Salt (including table salt and denatured salt) and pure sodium chloride, whether or not in aqueous solutions or containing added anti-caking or free flowing agents; sea water
103A	26	Uranium Ore Concentrate
104.	2716 00 00	Electrical energy
105.	2835	Dicalcium phosphate (DCP) of animal feed grade conforming to IS specification No.5470 : 2002
106.	3002	Human Blood and its components
107.	3006	All types of contraceptives
108.	3101	All goods and organic manure, other than pre-packaged and labelled
109.	3304	Kajal [other than kajal pencil sticks], Kumkum, Bindi, Sindur, Alta
110.	3825	Municipal waste, sewage sludge, clinical waste
111.	3926	Plastic bangles
112.	4014	Condoms and contraceptives
113.	4401	Firewood or fuel wood
114.	4402	Wood charcoal (including shell or nut charcoal), whether or not agglomerated
114A	44 or 68	Deities made of stone, marble or wood
114B	46	Khali Dona; Goods made of sal leaves, siali leaves, sisal leaves, sabai grass, including sabai grass rope”;
114C	46	Plates and cups made up of all kinds of leaves/ flowers/bark;
115.	4802 / 4907	Judicial, Non-judicial stamp papers, Court fee stamps when sold by the Government Treasuries or Vendors authorized by the Government
116.	4817 / 4907	Postal items, like envelope, Post card etc., sold by Government
117	48 or 4907 or 71	Rupee notes or coins when sold to Reserve Bank of India or the Government of India”;
119.	4901	Printed books, including Braille books
120.	4902	Newspapers, journals and periodicals, whether or not illustrated or containing advertising material
121.	4903	Children's picture, drawing or colouring books
121A	4904 00 00	Music, printed or in manuscript, whether or not bound or illustrated
122A	4907	Duty Credit Scrips
123.	5001	Silkworm laying, cocoon
124.	5002	Raw silk
125.	5003	Silk waste
126.	5101	Wool, not carded or combed
127.	5102	Fine or coarse animal hair, not carded or combed
128.	5103	Waste of wool or of fine or coarse animal hair
129.	52	Gandhi Topi
130.	52	Khadi yarn
130A	50 to 55	Khadi fabric, sold through Khadi and Village Industries Commission(KVIC) and KVIC certified institutions/outlets
131.	5303	Jute fibres, raw or processed but not spun
132.	5305	Coconut, coir fibre
132A	53	Coir pith compost, other than pre-packaged and labelled
133.	63	Indian National Flag
134.	6703	Human hair, dressed, thinned, bleached or otherwise worked
135.	6912 00 40	Earthen pot and clay lamps
135A	69	Idols made of clay
136.	7018	Glass bangles (except those made from precious metals)
136A	7117	Bangles of lac/ shellac
137.	8201	Agricultural implements manually operated or animal driven i.e. Hand tools, such as spades, shovels, mattocks, picks, hoes, forks and rakes; axes, bill hooks and similar hewing tools; secateurs and pruners of any kind; scythes, sickles, hay knives, hedge shears, timber wedges and other tools of a kind used in agriculture, horticulture or forestry other than ghamella
138.	8445	Charkha for hand spinning of yarns, including amber charkha
139.	8446	Handloom [weaving machinery
140.	8802 60 00	Spacecraft (including satellites) and suborbital and spacecraft launch vehicles
142.	9021	Hearing aids
143.	92	Indigenous handmade musical instruments as listed in ANNEXURE II
144.	9603	Muddhas made of sarkanda, Brooms or brushes, consisting of twigs or other vegetable materials, bound together, with or without handles
145.	9609	Slate pencils and chalk sticks
146.	9610 00 00	Slates
146A	9619 00 10 or 9619 00 20	Sanitary towels (pads) or sanitary napkins; tampons”;
147.	9803	Passenger baggage
148.	Any chapter	Puja samagri namely,- (i) Rudraksha, rudraksha mala, tulsi kanthi mala, panchgavya (mixture of cowdung, desi ghee, milk and curd); (ii) Sacred thread (commonly known as yagnopavit); (iii) Wooden khadau; (iv) Panchamrit, (v) Vibhuti, (vi) Unbranded honey (vii) Wick for diya. (viii) Roli (ix) Kalava (Raksha sutra) (x) Chandan tika
149.	-	Supply of lottery by any person other than State Government, Union Territory or Local authority subject to the condition that the supply of such lottery has suffered appropriate central tax, State tax, Union territory tax or integrated tax, as the case may be, when supplied by State Government, Union Territory or local authority, as the case may be, to the lottery distributor or selling agent appointed by the State Government, Union Territory or local authority, as the case may be.
150.	-	Supply of goods by a Government entity to Central Government, State Government, Union territory, local authority or any person specified by Central Government, State Government, Union territory or local authority, against consideration received from Central Government, State Government, Union territory or local authority in the form of grants
151	Any chapter	Parts for manufacture of hearing aids
152	Any Chapter except 71	Rakhi (other than those made of goods falling under Chapter 71)
153	Any Chapter	Supply of gift items received by the President, Prime Minister, Governor or Chief Minister of any State or Union territory, or any public servant, by way of public auction by the Government, where auction proceeds are to be used for public or charitable cause

Explanation.- For the purposes of this Schedule,-

(i) The phrase "unit container" means a package, whether large or small (for example, tin, can, box, jar, bottle, bag, or carton, drum, barrel, or canister) designed to hold a pre-determined quantity or number, which is indicated on such package.

(ii) The expression ‘pre-packaged and labelled’ means a ‘pre-packaged commodity’ as defined in clauses (l) of section 2 of the Legal Metrology Act, 2009 (1 of 2010) where, the package in which the commodity is pre-packed or a label securely affixed thereto is required to bear the declarations under the provisions of the Legal Metrology Act, 2009 (1 of 2010) and the rules made thereunder.

¹[Provided that notwithstanding anything contained in the Legal Metrology Act, 2009 (1 of 2010) and the rules made thereunder, as amended from time to time, the supply of agricultural farm produce in package(s) of commodities containing quantity of more than 25 kilogram or 25 litre shall not be considered as a supply made within the scope of expression ‘pre-packaged and labelled’]

(iii) "Tariff item", "sub-heading" "heading" and "Chapter" shall mean respectively a tariff item, heading, sub-heading and Chapter as specified in the First Schedule to the Customs Tariff Act, 1975 (51 of 1975).

(iv) The rules for the interpretation of the First Schedule to the said Customs Tariff Act, 1975, including the Section and Chapter Notes and the General Explanatory Notes of the First Schedule shall, so far as may be, apply to the interpretation of this notification.

(v) The phrase "Government Entity" shall mean an authority or a board or any other body including a society, trust, corporation, which is:

(a) set up by an Act of Parliament or State Legislature; or

(b) established by any Government,

with 90 percent or more participation by way of equity or control, to carry out a function entrusted by the Central Government, State government, Union territory or a local authority.

2. This notification shall come into force with effect from the 1st day of July, 2017.

ANNEXURE I

For foregoing an actionable claim or enforceable right on a brand name,-

(a) the person undertaking packing of such goods in unit containers which bears a brand name shall file an affidavit to that effect with the jurisdictional commissioner of Central tax that he is voluntarily foregoing his actionable claim or enforceable right on such brand name as defined in Explanation (ii)(a); and

(b) the person undertaking packing of such goods in unit containers which bear a brand name shall, on each such unit containers, clearly print in indelible ink, both in English and the local language, that in respect of the brand name as defined in Explanation (ii)(a) printed on the unit containers he has foregone his actionable claim or enforceable right voluntarily.

Provided that, if the person having an actionable claim or enforceable right on a brand name and the person undertaking packing of such goods in unit containers are two different persons, then the person having an actionable claim or enforceable right on a brand name shall file an affidavit to that effect with the jurisdictional Commissioner of Central tax or jurisdictional Commissioner of State tax, of the person undertaking packing of such goods that he is voluntarily foregoing his actionable claim or enforceable right on such brand name as defined in Explanation (ii)(a); and he has authorised the person [undertaking packing of such goods in unit containers bearing said brand name] to print on such unit containers in indelible ink, both in English and the local language, that in respect of such brand name he [the person owning the brand name] is voluntarily foregoing the actionable claim or enforceable right voluntarily on such brand name."

ANNEXURE II

List of indigenous handmade musical instruments

1. Bulbul Tarang

2. Dotar, Dotora, or Dotara

3. Ektara

4. Getchu Vadyam or Jhallari

5. Gopichand or Gopiyantra or Khamak

6. Gottuvadhyam or Chitravina

7. Katho

8. Sarod

9. Sitar

10. Surbahar

11. Surshringar

12. Swarabat

13. Swarmandal

14. Tambura

15. Tumbi

16. Tuntuna

17. Magadi Veena

18. Hansaveena

19. Mohan Veena

20. Nakula Veena

21. Nanduni

22. Rudra Veena

23. Saraswati Veena

24. Vichitra Veena

25. Yazh

26. Ranjan Veena

27. Triveni Veena

28. Chikara

29. Dilruba

30. Ektara violin

31. Esraj

32. Kamaicha

33. Mayuri Vina or Taus

34. Onavillu

35. Behala(violin type)

36. Pena or Bana

37. Pulluvan veena - one stringed violin

38. Ravanahatha

39. Folk sarangi

40. Classical sarangi

41. Sarinda

42. Tar shehnai

43. Gethu or Jhallari

44. Gubguba or Jamuku - Percussion string instrument

45. Pulluvan kutam

46. Santoor - Hammered chord box

47. Pepa

48. Pungi or Been

49. Indian Harmonium: Double reed

50. Kuzhal

51. Nadaswaram

52. Shehnai

53. Sundari

54. Tangmuri

55. Alghoza - double flute

56. Bansuri

57. Venu (Carnatic flute) Pullanguzhal

58. Mashak

59. Titti

60. Sruti upanga

61. Gogona

62. Morsing

63. Shruti box

64. Harmonium (hand-pumped)

65. Ekkalam

66. Karnal

67. Ramsinga

68. Kahal

69. Nagphani

70. Turi

71. Dhad

72. Damru

73. Dimadi

74. Dhol

75. Dholak

76. Dholki

77. Duggi

78. Ghat singhari or gada singari

79. Ghumot

80. Gummeta

81. Kanjira

82. Khol

83. Kinpar and Dhopar (tribal drums)

84. Maddale

85. Maram

86. Mizhavu

87. Mridangam

88. Pakhavaj

89. Pakhavaj jori - Sikh instrument similar to tabla

90. Panchamukha vadyam

91. Pung

92. Shuddha madalam or Maddalam

93. Tabala / tabl / chameli - goblet drum

94. Tabla

95. Tabla tarang - set of tablas

96. Tamte

97. Thanthi Panai

98. Thimila

99. Tumbak, tumbaknari, tumbaknaer

100. Daff, duff, daf or duf Dimdi or dimri - small frame drum without jingles

101. Kanjira - small frame drum with one jingle

102. Kansi - small without jingles

103. Patayani thappu - medium frame drum played with hands

104. Chenda

105. Dollu

106. Dhak

107. Dhol

108. Dholi

109. Idakka

110. Thavil

111. Udukai

112. Chande

113. Nagara - pair of kettledrums

114. Pambai - unit of two cylindrical drums

115. Parai thappu, halgi - frame drum played with two sticks

116. Sambal

117. Stick daff or stick duff - daff in a stand played with sticks

118. Tamak'

119. Tasha - type of kettledrum

120. Urumee

121. JaltarangChimpta - fire tong with brass jingles

122. Chengila - metal disc

123. Elathalam

124. Geger - brass vessel

125. Ghatam and Matkam (Earthenware pot drum)

126. Ghungroo

127. Khartal or Chiplya

128. Manjeera or jhanj or taal

129. Nut - clay pot

130. Sankarjang - lithophone

131. Thali - metal plate

132. Thattukazhi mannai

133. Kanch tarang, a type of glass harp

134. Kashtha tarang, a type of xylophone.'.

[F.No.354/117/2017-TRU]

(Mohit Tewari)
Under Secretary to the Government of India

1. Inserted Vide:- Notification No. 03/2024-Integrated Tax (Rate) Dated 12.07.2024 [w.e.f. 15.07.2024]