GST on atta depends on whether the manufacturer of the atta has a registered brand with an actionable claim on the brand. An actionable claim is a legal term that refers to a demand or request considered valid and able to be pursued in a court of law. The GST on different wheat flour types, maida and sooji or rawa, is the same as that of atta. Continue reading as we define what atta is and then explain the scope of GST on atta.
Flours are categorised depending on how much grain has been stripped away. Following this, wheat flour means a whole grain containing the seed’s germ, endosperm, and bran. Its major variants are called atta, maida, and sooji or rawa.
Wheat flour or atta packed in a unit container with a registered brand name attracts a GST of 5%. The unit container here can refer to anything from tin, cans, bags, cartons, drums, canisters, or barrels. This container has been specifically designed to hold a specific quantity of atta.
A registered brand name means a mark, signature, symbol, label, monogram, or any invented word or marking used to indicate a connection between the atta and the person to whom the brand belongs. As of May 2017, the brand name should be registered under the Trade Marks Act of 1999 and the Copyright Act of 1957, and the brand should be registered under any law in any country.
As per an amendment in the article, the person owning such a registered brand name can forego it if they do the following:
For unregistered manufacturers of atta, its sale is exempt from GST. Moreover, the supply of atta is exempted from GST under the following conditions:
Category | Atta GST Rate | HSN Code |
Branded atta (pre-packaged and labelled) | 5% | 1101 |
Unbranded atta (other than pre-packaged and labelled) | Exempted from GST | 1101 |
Flour mill machinery products like Atta Chakki attract a GST rate of 5%, and it has an HSN Code of 8437.
The unbranded atta is exempt from the purview of GST.
Since Aashirvaad Atta comes in branded unit containers, it is levied a GST rate of 5%.
GST on atta depends on the presence of a registered brand. Defining atta as whole grain, GST rates vary based on packaging and branding. Unbranded atta is exempt from GST. Users can ask: What determines GST rates on atta? How is atta defined for GST purposes? What conditions exempt atta from GST?