• 22 Dec 2022 06:14 PM
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GST on Agriculture Equipment

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GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF REVENUE LOK SABHA STARRED QUESTION NO. *175 TO BE ANSWERED ON MONDAY, DECEMBER 19, 2022/AGRAHAYANA 28, 1944 (SAKA) GST ON AGRICULTURE EQUIPMENT *175. SHRI HANUMAN BENIWAL: Will the Minister of Finance be pleased to state:

GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF REVENUE
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LOK SABHA

STARRED QUESTION NO. *175

TO BE ANSWERED ON MONDAY, DECEMBER 19, 2022/AGRAHAYANA 28, 1944 (SAKA)

GST ON AGRICULTURE EQUIPMENT

*175. SHRI HANUMAN BENIWAL:

Will the Minister of Finance be pleased to state:

(a) the details of the agriculture equipment included under the purview of GST, at present;

(b) the details of the percentage of GST applicable on the said items, equipment-wise;

(c) whether the Government proposes to include these equipment in the zero per cent GST category in the interest of farmers;

(d) if so, the details thereof and the time by which it is likely to be done; and

(e) if not, the reasons therefor?

ANSWER

MINISTER OF FINANCE

SHRIMATI NIRMALA SITHARAMAN

(a) to (e): A statement is placed on the Table of the House.

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STATEMENT REFERRED TO IN REPLY TO THE LOK SABHA STARRED QUESTION NO. 175 RAISED BY SHRI HANUMAN BENIWAL FOR 19TH DECEMBER, 2022 ON GST ON AGRICULTURE EQUIPMENT:

(a) & (b): The details of the agriculture implements and equipment under the purview of GST and the rate of GST applicable on such items are as below:

Sl.
No.

Description of Agricultural EquipmentGST Rate
1.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.Nil
2.
  • Agricultural machinery for soil preparation or cultivation;
  • Harvesting or threshing machinery, including straw or fodder balers; grass or hay mowers;
  • Other agricultural machinery, including germination plant fitted with mechanical or thermal equipment
12%
3.
  • Machines for cleaning, sorting or grading fruits, or other agricultural produce;
  • Machines for cleaning, sorting or grading, seed, grain or dried leguminous vegetables.
18%

(c), (d) & (e): The GST rates and exemptions are prescribed based on the recommendations of the GST Council, which is a constitutional body comprising of members from both the Union and State Governments. There is no recommendation from GST Council for change in GST rate in this regard.