Which of the following commodities are exempted from GST?

The correct answer is Alcohol for human consumption.

Key Points

• The new Goods and Services Tax (GST) replaced most of the previous taxes in India.
• Now GST will be levied at all stages right from manufacture up to final consumption with credit of taxes paid at previous stages available as setoff.
• Only value addition will be taxed and burden of tax is to be borne by the final consumer.
• However, at present, following items are kept outside the purview of GST in India:
• Alcohol for human consumption:
  • Alcohol for human consumption has been kept outside the purview of GST in India at present.
  • However, the taxes imposed to alcohol for human consumption will continue as per the structure before GST implementation.
• Petroleum products:
  • Petroleum Products such as petroleum crude, motor spirit (petrol), high speed diesel, natural gas and aviation turbine fuel etc. are also kept outside the purview of GST in India.
  • Therefore, Petroleum products is kept outside the purview of GST.

Additional Information

• The GST Council is a constitutional body to make recommendations to the Central and State Government on Goods and Services Tax issues.
• The GST Council has been provided in Article 279A (1) of the Constitution by the 101st Constitution Amendment.
• GST Council is the governing body of GST having 33 members, out of which 2 members are off-center and 31 members are from 28 states and 3 Union territories with legislation.
• The GST Council is headed by the Union Finance Minister.