1) Cartons, Boxes, Cases of Corrugated or Non-Corrugated Paper or Paper Board – GST Rate 18%

Notification No. 8/2021-Central Tax (Rate) dated 30.09.2021 makes the following changes w.e.f. 01.10.21:

Serial No. b) ii) of the notification in Schedule II – 6% - omits serial no. 122, thereby removing Chapter Heading 4819, "Cartons, boxes and cases of corrugated paper or paper board from CGST rate of 6%"

Serial No. c) iii) of the notification in Schedule III – 9%, substitutes the old entry of serial no. 153A – HSN 4819 20, "Cartons, boxes and cases of non-corrugated paper or paper board" already in CGST rate of 9%, with the following -

Chapter Heading 4819 – "Cartons, boxes, cases, bags and other packing containers, of paper, paperboard, cellulose wadding or webs of cellulose fibres; box files, letter trays, and similar articles, of paper or paperboard of a kind used in offices, shops or the like."; thereby bringing Cartons, Boxes, Cases, Bags and other packing material (whether corrugated or non-corrugated); of paper or paper board, under CGST rate of 9%.

Hence, Cartons, Boxes etc. falling under Heading 4819, made from corrugated/non-corrugated paper, paper board etc. will fall under GST Rate of 18% w.e.f. 01.10.21.

[CGST Rate effected by this notification will be matched by similar notification by States, IGST rate of 18% also effected vide Notification No. 8/2021 – Integrated Tax (Rate)]

2) Corrugated Paper & Paper Board – GST Rate – 12%

Chapter Heading 4808 - "Paper and paperboard, corrugated (with or without glued flat surface sheets), creped, crinkled, embossed or perforated, in rolls or sheets, other than paper of the kind described in heading 4803" continues to be under CGST Rate of 6% as per serial no. 118 of Schedule II - 6% of CGST Rate Notification No. 01/2017 dated 28.06.2017.

3) Waste/Scrap of Paper or Paper Board – 5%

Chapter Heading 4707 - "Recovered waste or scrap of paper or paperboard", continues to be under CGST Rate of 2.5% as per serial no. 198B OF Schedule I – 2.5% CGST Rate Notification No. 01/2017.

4) Kraft Paper, Paper & Board – 12%

Chapter Heading 4804 - "Uncoated kraft paper and paperboard, in rolls or sheets, other than that of heading 4802 or 4803" continues to be under CGST Rate of 6% as per serial no. 113 of Schedule II – 6% of CGST Rate Notification No. 01/2017.

Chapter Heading 4805 - "Other uncoated paper and paperboard, in rolls or sheets, not further worked or processed than as specified in Note 3 to this Chapter" continues to be under CGST Rate of 6% as per serial no. 114 of Schedule II – 6% of CGST Rate Notification No. 01/2017.

Chapter Heading 4810 – "Paper and paperboard, coated on one or both sides with kaolin (China clay) or other inorganic substances, with or without a binder, and with no other coating, whether or not surface-coloured, surface-decorated or printed, in rolls or rectangular (including square) sheets of any size" " continues to be under CGST Rate of 6% as per serial no. 119 of Schedule II – 6% of CGST Rate Notification No. 01/2017.

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- Courtesy
FCBM Taxation Sub-committee