CIRCULAR No 62/36/2018 GST : Levy of GST on Priority Sector Lending Certificates

By | September 12, 2018
(Last Updated On: March 11, 2019)

Refer also Circular No 93/12/2019 GST : IGST on trading of PSLC by banks on e-Kuber portal of RBI

CIRCULAR No 62/36/2018 GST

F. No. 354/124/2018-TRU
Government Of India
Ministry of Finance
Department of Revenue
Central Board of Indirect Taxes and Customs

New Delhi, 12th September, 2018

The Principal Chief Commissioners / Chief Commissioners/ Principal Commissioners/
Commissioner of Central Tax (All) /
The Principal Director Generals/ Director Generals (All).

Subject: Levy of GST on Priority Sector Lending Certificates (PSLC) – regarding

Representations have been received requesting to clarify the following:
(i) Mechanism for discharge of tax liability on trading of Priority Sector Lending
Certificate (PSLC) for the period 1.7.2017 to 27.5.2018.
(ii) GST rate applicable on trading of PSLCs.

2. The representations have been examined. With the approval of the GST Implementation Committee of the GST Council, it is clarified that GST on PSLCs for the period 1.7.2017 to 27.05.2018 will be paid by the seller bank on forward charge basis and GST rate of 12% will be applicable on the supply.

3. Difficulty, if any, in the implementation of this circular may be brought to the notice of the Board immediately.

Yours Sincerely,
(Parmod Kumar)
Tele No.: 011-23092374

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