New Delhi, September 20, 2017

The GST Council in its 21st meeting on September 9 in Hyderabad recommended  5 percent GST rate on pulses cereals, and flours etc. that are put up in unit containers and bearing a registered brand name.

As per the notification by the government, a brand that has been registered as on 15.05.2017 would be considered a registered for the purposes of levy of 5 percent GST, in case of whether or not the brand is subsequently deregistered.

It further said that any brand that has been registered on the same date under the Copyright Act, 1957 should be treated as a registered brand for the purposes of levy of 5 percent GST. The notifications related to changes in GST rates on goods and related conditions are to be proposed on September 22.

These notifications providing 5 percent GST will only apply if an actionable claim or enforceable right in the court of law is available on brand name. However, as per the notification, the 5 percent GST will not apply in case a person voluntarily foregoes any actionable claim or enforceable right on such brand name, under following subject to conditions that the person :

a) Files an affidavit to the effect that he is voluntarily stating his actionable claim or enforceable right on such brand name with the jurisdictional Commissioner of Central Tax or State Tax, or the jurisdictional officer of Union Territory Tax, as the case may be, and

b) Prints in indelible ink, both in English and local language on each of such unit container, that in respect of brand name printed on the unit containers he has voluntarily mentioned his actionable claim or enforceable right.

[The Financial Express]