No GST on Hostels, Old Golds, Used Cars, Office Gifts: Here's a list of Governments Clarifications

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It's been two weeks after the Goods and Services Tax was rolled out on the intervening night of June 30 -July 1.

The GST was meant to simplify the whole taxation system, however, it has created some confusion among traders and people as to how it will be calculated on some services.

The Ministry of Finance has since taken to Twitter to clarify some of the doubts over GST and its applicability. Here are some of the goods and services that won't attract GST.

GST on sale of old gold jewellery by individuals: If you hold jewellery and want to sell it to any gold shop, it won't come under GST.

Revenue Secretary Hasmukh Adhia had said that 'purchase of old gold jewellery by a jeweller from a consumer will be subject to GST at the rate of 3 percent under reverse charge mechanism.'

"Accordingly, the sale of old jewellery by an individual to a jeweller will not attract the provisions of Section 9(4) and jeweller will not be liable to pay tax under reverse charge mechanism on such purchases," it said.

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