(a) whether many agricultural equipments also come under the ambit of Goods and Services Tax (GST);
(b) if so, the details of equipments which come under the ambit of GST;
(c) whether the Government intends to remove the agriculture equipments out of the ambit of GST by keeping in mind the welfare of farmers; and
(d) if so, the time by which it is likely to be done?
MINISTER OF FINANCE
(Ms. NIRMALA SITHARAMAN)
(a) & (b): Yes Sir. The GST rate for agricultural equipment has been notified based on the recommendation of the GST Council. At present, agricultural related hand tools, equipment, implements and machineries attract nil, 5% or 12% GST rates and detailed as under:
S.No.
GST Rate
Description of Goods
1
Nil
Hand tools, such as spades, shovels, hoes, axes, mattocks, hedge shears, hay knives, timber wedges, etc.
2
5%
Flour mill machinery, Rice mill machinery, machines for cleaning, sorting or grading, etc. and parts thereof
3
12%
Other item such as tractor, harvester, tillers, balers, mowers, threser, drip and sprinkler irrigation system, machines for preparation of animal feed, etc.
(c) & (d): GST rates have been prescribed on the recommendation of the GST Council. At present, there is no recommendation for removing the agricultural equipment (which attracts GST) from the ambit of GST.
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