My organisation has tax exempted as per Tamilnadu Goverment GO dated 1991. We are supplying products manufactured by leprosy and other disabled persons like Micro Cellular Rubber sheet which is used for making footwear for leprosy patients and diabetics patients.
It comes under catagroy 4008, vulganised soft rubber product and GST is 18%.What will happen now? Sould we pay GST now?.
or we should get order from the govt.now?
State based exemptions were controlled by state governments under earlier VAT law, which in turn were regulated by states.
GST is a centralised levy along with states getting their shares.
Everything is taxed under GST unless specifically exempted or grouped under Nil tax rate.
If your product is neither of these than you have to charge tax on outward supplies. Tamilnadu government cannot do anything except representing to central government.
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