Amendment to Exemption Notification No. 2/2017 for Gene Therapy and Pre-Packaged Commodities

Act Name/Rule Name:

Central Goods and Services Tax Act, 2017,

Integrated Goods and Services Tax Act, 2017,

Union Territory Goods and Services Tax Act, 2017

Type of Document: Notification

Date: January 16, 2025

Circular No./Notification No.:

Notification No. 02/2025-Central Tax (Rate)

Notification No. 02/2025-Integrated Tax (Rate)

Notification No. 02/2025-Union Territory Tax (Rate)

The Government of India, on the recommendation of the GST Council, has introduced amendments to Notification No. 2/2017-Central Tax (Rate), which governs exemptions under GST. These changes aim to include new exemptions and refine definitions for retail sale packaging.

Description:

  1. New Exemption Added:
    • A new entry, S. No. 105A, has been added to the exemption schedule, providing GST exemption for “Gene Therapy” under HSN Code 30.
  2. Definition of ‘Pre-Packaged and Labelled’:

“(ii) The expression ‘pre-packaged and labelled’ means all commodities that are intended for retail sale and containing not more than 25 kg or 25 litre, which are ‘pre-packed’ as defined in clause (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. Effective Date:
    • The notification comes into effect immediately upon its issuance.

This amendment expands GST exemptions to cover Gene Therapy, promoting access to advanced medical treatments. Additionally, the refined definition of “pre-packaged and labelled” provides clarity for businesses, ensuring better compliance with GST regulations.

Disclaimer: The information contained in this Article is intended solely for personal non-commercial use of the user who accepts full responsibility of its use. The information in the article is general in nature and should not be considered to be legal, tax, accounting, consulting or any other professional advice. We make no representation or warranty of any kind, express or implied regarding the accuracy, adequacy, reliability or completeness of any information on our page/article. 

To stay updated Subscribe to our newsletter today

Explore other Legal updates on the 1-Comply and follow us on LinkedIn to stay updated 

Schedule A Demo