GST Exemption Certificate Scheme

The “GST Exemption Certificate Scheme” has been introduced by the Department of Heavy Industries. GST Exemption Certificate Scheme which allows GST concessions to persons with disabilities (PwDs). Such Individuals with a disability (more than 40%) are eligible for GST concessions when purchasing a vehicle.

What is the GST Exemption Certificate Scheme?

Under the GST Exemption Certificate Scheme, persons with 40% or more disability can avail GST tax exemption while purchasing a vehicle. The purpose of providing this exemption is to facilitate transportation and movement to persons with disabilities. The scheme provides GSC Concession to orthopedically disabled persons on purchase of a car.

Who Qualifies for GST Exemptions?

The eligibility for criteria depends on various factors, including turnover, nature of business, and type of goods or services. Here’s who can benefit:

Small Businesses Under the GST Exemption Limit

• Businesses with annual turnover below ₹40 lakh for goods and ₹20 lakh for services are eligible.
• For special category states, the gst threshold is ₹20 lakh for goods and ₹10 lakh for services.
• This helps small businesses avoid unnecessary gst compliance requirements.

Providers of GST-Free Services

• Healthcare services such as hospitals, clinics, and diagnostic labs.
• Educational institutions including schools, colleges, and skill development programs.
• Government and public administration services, which are automatically exempt.

Suppliers of GST Exempted Goods

• Essential items like unprocessed agricultural products.
• Dairy products, including fresh milk, curd, and unbranded paneer.
• Handmade products such as khadi and handloom fabrics.

Religious and Charitable Organizations

• Non-profit entities engaged in social work, education, and healthcare.

Exporters and SEZ Units

• Goods and services exported from India are treated as zero-rated but require adherence to gst compliance guidelines.

To get the GST exemption certificate, an applicant should fulfil the requirement. Knowing whether your business qualifies under the gst exemption limit ensures that you operate smoothly without unnecessary tax burdens.

How to Apply for GST Exemption Certificate

If your business qualifies for, you may need to apply for a GST exemption certificate to prove your tax-free status. The application process for the GST exemption certificate for disable people involves the following steps:

Step 1: Check Eligibility

• Ensure your business turnover is below the gst exemption limit or that you deal with gst exempted goods or gst-free services.

Step 2: Register on the GST Portal

• Visit the GST portal (https://www.gst.gov.in) and create an account.

Step 3: Submit the Application

• Fill in the details related to your business turnover and the nature of your goods/services.

Step 4: Upload Required Documents

• Business registration certificate.
• PAN and Aadhaar details.
• Declaration stating eligibility under gst compliance norms.

Step 5: Verification and Approval

• Once submitted, tax authorities verify the application before issuing the certificate.

Obtaining a GST exemption certificate ensures your business follows proper gst compliance while benefiting from tax relief.

The GST Exemption Certificate Scheme for Disabled person is a significant initiative. Disabled people are getting a lot of help through this scheme.