Supply of R&D Goods Exempted
[Notification
No. 47-Integrated Tax (Rate) dated 14 November 2017]
Exemption from GST on supply of specified
goods, such as scientific or technical instruments, software, prototype supplied
to public funded research institution or a university or IISc, or IITs or NIT.
In
exercise of the powers conferred by sub-section (1) of section 6 of the
Integrated Goods and Services Tax Act, 2017 (13 of 2017) ( hereafter in this
notification referred to as “the said Act”), the Central Government, on being
satisfied that it is necessary in the public interest so to do, on the
recommendations of the Council, hereby exempts the goods specified in column
(3) of the Table below, from the so much of the integrated tax leviable thereon
under section 5 of the said Act, as in in excess of the amount calculated at
the rate of 5 per cent., when supplied to the institutions specified in the
corresponding entry in column (2) of the Table, subject to the conditions
specified in the corresponding entry in column (4) of the said Table-
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Table |
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S.
No. |
Name
of the Institutions |
Description
of the goods |
Conditions
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|
(1)
|
(2)
|
(3)
|
(4)
|
|
1.
|
Public
funded research institution other than a hospital or a University or an
Indian Institute of Technology or Indian Institute of Science, Bangalore or a
National Institute Technology/ Regional Engineering College |
(a)
Scientific and technical instruments, apparatus, equipment (including
computers); (b)
accessories, parts, consumables and live animals (experimental purpose); (c)
computer software, Compact Disc-Read Only Memory (CD-ROM), recorded magnetic
tapes, microfilms, microfiches; (d)Prototypes,
the aggregate value of prototypes received by an institution does not exceed
fifty thousand rupees in financial year. |
(i)
The goods are supplied to or for – (a)
a public funded research institution under the administrative control of the
Department of Space or Department of Atomic Energy or the Defence Research
Development Organisation of the Government of India and such institution
produces a certificate to that effect from an officer not below the rank of
the Deputy Secretary to the Government of India or the Deputy Secretary to
the State Government or the Deputy Secretary in the Union Territory in the
concerned department to the supplier at the time of supply of the specified
goods; or (b)
an institution registered with the Government of India in the Department of
Scientific and Research and such institution produces a certificate from an
officer not below the rank of the Deputy Secretary to the Government of India
or the Deputy Secretary to the State Government or the Deputy Secretary in
the Union territory in concerned department to the supplier at the time of
supply of the specified goods; (ii)
The institution produces, at the time of supply, a certificate to the
supplier from the Head of the Institution, in each case, certifying that the
said goods are required for research purposes only; (iii)
In the case of supply of live animals for experimental purposes, the
institution produces, at the time of supply, a certificate to the supplier
from the Head of the Institution that the live animals are required for
research purposes and enclose a no objection certificate issued by the
Committee for the Purpose of Control and Supervision of Experiments on
Animals. |
|
2.
|
Research
institution, other than a hospital |
(a)
Scientific and technical instruments, apparatus, equipment (including
computers); (b)
accessories, parts, consumables and live animals (experimental purpose); (c)
computer software, Compact Disc-Read Only Memory (CD-ROM), recorded magnetic
tapes, microfilms, microfiches; (d)
Prototypes, the aggregate value of prototypes received by an institution does
not exceed fifty thousand rupees in a financial year. |
(1)
The institution is registered with the Government of India in the Department
of Scientific and Research, which- (i)
produces, at the time of supply, a certificate to the supplier from the head
of the institution, in each case, certifying that the said goods are
essential for research purposes and will be used for stated purpose only; (ii)
in the case of supply of live animals for experimental purposes, the
institution produces, at the time of supply, a certificate to the supplier
from the Head of the Institution that the live animals are required for
research purposes and enclose a no objection certificate issued by the Committee
for the Purpose of Control and Supervision of Experiments on Animals. (2)
The goods falling under (1) above shall not be transferred or sold by the
institution for a period of five years from the date of installation. |
|
3.
|
Departments
and laboratories of the Central Government and State Governments, other than
a hospital |
(a)
Scientific and technical instruments, apparatus, equipment (including
computers); (b)
accessories, parts, consumables and live animals (experimental purpose); (c)
Computer software, Compact Disc-Read Only Memory(CD-ROM), recorded magnetic
tapes, microfilms, microfiches; (d)
Prototypes, the aggregate value of prototypes received by an institution does
not exceed fifty thousand rupees in a financial year. |
(i)
The institution produces, at the time of supply, a certificate to the
supplier from the Head of the Institution, in each case, certifying that the
said goods are required for research purposes only; (ii)
in the case of supply of live animals for experimental purposes, the
institution produces, at the time of supply, a certificate to the supplier
from the Head of the Institution that the live animals are required for
research purposes and enclose a no objection certificate issued by the
Committee for the Purpose of Control and Supervision of Experiments on
Animals. |
|
4.
|
Regional
Cancer Centre (Cancer Institute) |
(a)
Scientific and technical instruments, apparatus, equipment (including
computers); (b)
accessories, parts, consumables and live animals (experimental purpose); (c)
Computer software, Compact Disc-Read Only Memory(CD-ROM), recorded magnetic
tapes, microfilms, microfiches. |
(i)
The goods are supplied to the Regional Cancer Centre registered with the
Government of India, in the Department of Scientific and Research and such
institution produces a certificate from an officer not below the rank of the
Deputy Secretary to the Government of India or the Deputy Secretary to the
State Government or the Deputy Secretary in the Union territory in concerned
department to the supplier at the time of supply of the specified goods; (ii)
the institution produces, at the time of supply, a certificate to the
supplier from the Head of the Institution, in each case, certifying that the
said goods are required for research purposes only; (iii)
in case of supply of live animals for experimental purposes, the institution
produces, at the time of supply, a certificate to the supplier from the Head
of the Institution that the live animals are required for research purposes
and enclose a no objection certificate issued by the Committee for the
Purpose of Control and Supervision of Experiments on Animals. |
Explanation.
- For
the purposes of this notification, the expression, -
(a)
"Public funded research institution" means a research institution in
the case of which not less than fifty per-cent. of the recurring expenditure is
met by the Central Government or the Government of any State or the
administration of any Union territory;
(b)
"University" means a University established or incorporated by or
under a Central, State or Provincial Act and includes -
(i)
an institution declared under section 3 of the University Grants Commission
Act, 1956 (3 of 1956) to be a deemed University for the purposes of this Act;
(ii)
an institution declared by Parliament by law to be an institution of national
importance;
(iii)
a college maintained by, or affiliated to, a University;
(c)
"Head" means -
(i)
in relation to an institution, the Director thereof (by whatever name called);
(ii)
in relation to a University, the Registrar thereof (by whatever name called);
(iii)
in relation to a college, the Principal thereof (by whatever name called);
(d)
"hospital" includes any Institution, Centre, Trust, Society,
Association, Laboratory, Clinic or Maternity Home which renders medical,
surgical or diagnostic treatment.
2.
This notification shall come into force with effect from the 15th day of
November, 2017.
[F.
No. 354/320/2017-TRU]