The poultry business produces countless work opportunities in the nation and is vital for the public economy. The poultry business is to a great extent absolved by the provisions of the Central Goods and Services Tax Act, 2017.
Sale of Poultry eggs
Poultry Eggs are covered under Chapter 4 of Section I under heading “Dairy produce; birds’ eggs; natural honey; edible products of animal origin, not elsewhere specified or included” of Customs Tariff Act, 1975.
| S. No. | Type of Meat | GST Applicability |
| 1 | Layer eggs for broiler production | Exempt |
| 2 | Table eggs for human consumption- fresh (with shell) | Exempt |
| 3 | Table eggs for human consumption- fresh (with shell) | Exempt |
| 4 | Eggs without shell | 5% |
| 5 | Egg yolk whether fresh, dried, cooked by steaming or by boiling in water, moulded, frozen or otherwise preserved, whether or not containing added sugar or other sweetening matter | 5% |
Sale of live Poultry
Offer of live poultry is made in the accompanying circumstances:
- Sale by hatcher to poultry farmer for the additional raising of Day-Old Chicks.
- Sale by poultry farmer to the merchant of grill chicken available to be purchased to retailers.
- Sale by the trader to retailers for offering to ultimate customers
Notification No. 2/2017-Central Tax (Rate) dated 28-06-2017 states the GST on live poultry which reads as under:
| S. No. | Chapter / Heading / Sub-heading / Tariff item | Description of Goods | Rate (%) |
| 5 | 0105 | Live poultry, that is to say, fowls of the species Gallus domesticus, ducks, geese, turkeys and guinea fowls. | Exempt |
Sale of Poultry meat
A “unit container” signifies a bundle, regardless of whether enormous or little (for instance, tin, can, box, container, jug, sack, or container, drum, barrel, or canister) intended to hold a pre-decided amount or number, which is demonstrated on such bundle. Such compartments are heat safe and contain all components to keep the meat new and palatable.
| S. No. | Type of Meat | GST Applicability |
| 1 | Fresh meat (not chilled or frozen) | Exempt |
| 2 | Chilled meat (but not frozen) | Exempt |
| 3 | Frozen meat other than those put up in unit container and (a) bearing a registered brand name; or (b) bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any actionable claim or enforceable right in respect of such brand name has been foregone voluntarily], subject to the conditions as in the ANNEXURE I]
| Exempt |
| 4 | Frozen meat and put up in unit container and
(a) bearing a registered brand name; or (b) bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any actionable claim or enforceable right in respect of such brand name has been foregone voluntarily], subject to the conditions as in the ANNEXURE]” | 5% |
| 5 | Frozen meat and put up in unit container but not (a) bearing a registered brand name; or
(b) bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any actionable claim or enforceable right in respect of such brand name has been foregone voluntarily], subject to the conditions as in the ANNEXURE]” | Exempt |
Hatchery Services
A hatchery service is the essential unit of the poultry business which gives Day Old Bird Chicks by bringing forth the eggs. Hatchery centres might be possessed by poultry farms that after the hatchery is done, place them in farms for additional raising.
Nonetheless, it is a generally expected practice in the business to send the hatched eggs to a hatchery owner who incubates the eggs in the hatcheries incubator and returns Day Old Bird Chicks. The hatchery owner is paid a predetermined rate for each egg put for hatching.
The service of hatching layer eggs into day old bird chicks can be classified under Sl. No. 54 of Notification No. 12/2017- Central Tax (Rate) dated 28-06-2017 as under:
- “It is a service relating to rearing of all life forms of animals as hatchery services are agricultural operations directly related to production of any agricultural produce i.e. Broiler Chicken and
- It is a process carried out at an agricultural farm which does not alter the essential characteristics of agricultural produce but makes it only marketable for the primary market. It is just enabling a natural process to occur in an artificial manner.”
GST Rate & HSN Code for Live Animals; Animal products - Chapter1
GST Rates & HSN Codes for Live Animals – Horses, Asses, Mules , Bovine & Poultry Animals , Mammals, Reptiles, Birds & Insects – Chapter 1
| HSN Code | Description | Rate (%) | CESS (%) | Effective Date | Rate Revision |
|---|---|---|---|---|---|
| 65 | LIVE HORSES, ASSES, MULES AND HINNIES – HORSES: | Nil | 01/07/2017 | ||
| 266760 | LIVE HORSES, ASSES, MULES AND HINNIES PURE-BRED BREEDING ANIMALS HORSES | Nil | 01/07/2017 | ||
| 266768 | ` | Nil | 01/07/2017 | ||
| 1011090.0 | LIVE HORSES, ASSES, MULES AND HINNIES PURE-BRED BREEDING ANIMAL S OTHER | Nil | 01/07/2017 | ||
| 1019010.0 | LIVE HORSES, ASSES, MULES AND HINNIES – OTHER – HORSES FOR POLO | Nil | 01/07/2017 | ||
| 1019020.0 | LIVE HORSES, ASSES, MULES AND HINNIES – OTHER – ASSES, MULES AND HINNIES AS LIVE STOCK | Nil | 01/07/2017 | ||
| 1019090.0 | LIVE HORSES, ASSES, MULES AND HINNIES – OTHER – OTHER | Nil | 01/07/2017 | ||
| 66 | LIVE BOVINE ANIMALS – CATTLE: | Nil | 01/07/2017 | ||
| 270856 | LIVE BOVINE ANIMALS – BULLS – PURE-BRED BREEDING ANIMALS : ADULT | Nil | 01/07/2017 | ||
| 270864 | LIVE BOVINE ANIMALS – BULLS – PURE-BRED BREEDING ANIMALS COWS, ADULT | Nil | 01/07/2017 | ||
| 270872 | LIVE BOVINE ANIMALS- BULLS – PURE-BRED BREEDING ANIMALS BUFFALOES, ADULT AND CALVES | Nil | 01/07/2017 | ||
| 1021090.0 | LIVE BOVINE ANIMALS – BULLS – PURE-BRED BREEDING ANIMALS OTHER | Nil | 01/07/2017 | ||
| 1029010.0 | LIVE BOVINE ANIMALS – OTHER – BULLS – ADULT | Nil | 01/07/2017 | ||
| 1029020.0 | LIVE BOVINE ANIMALS – OTHER – BUFFALOES, ADULT AND CALVES | Nil | 01/07/2017 | ||
| 1029090.0 | LIVE BOVINE ANIMALS – OTHER – OTHER | Nil | 01/07/2017 | ||
| 67 | LIVE SWINE | Nil | 01/07/2017 | ||
| 274944 | LIVE SWINE PURE-BRED BREEDING ANIMALS | Nil | 01/07/2017 | ||
| 1039100.0 | LIVE SWINE – OTHER – WEIGHING LESS THAN 50 KG. | Nil | 01/07/2017 | ||
| 1039200.0 | LIVE SWINE- OTHER WEIGHING 50KG. OR MORE | Nil | 01/07/2017 | ||
| 68 | LIVE SHEEP AND GOATS | Nil | 01/07/2017 | ||
| 279048 | LIVE SHEEP AND GOATS – SHEEP : SHEEP INCLUDING LAMB FOR BREEDING PURPOSE | Nil | 01/07/2017 | ||
| 1041090.0 | LIVE SHEEP A ND GOATS SHEEP OTHER | Nil | 01/07/2017 | ||
| 279552 | LIVE SHEEP AND GOATS GOATS | Nil | 01/07/2017 | ||
| 69 | LIVE POULTRY, THAT IS TO SAY, FOWLS OF THE SPECIES GALLUS DOMESTICUS, DUCKS, GEESE, TURKEYS AND GUINEA FOWLS – WEIGHING NOT MORE THAN 185 G: | Nil | 01/07/2017 | ||
| 283200 | SPECIES GALLU SDOMESTICUS, DUCKS, GEESE, TURKEYS AND GUINEA FOWLS WEIGHING NOT MORE THAN 185G : FOWLSOFTHESPECIESGALLUSDOMESTICUS | Nil | 01/07/2017 | ||
| 283264 | SPECIES GALLU SDOMESTICUS, DUCKS, GEESE, TURKEYS AND GUINEA FOWLS WEIGHING NOT MORE THAN 185G : TURKEYS | Nil | 01/07/2017 | ||
| 1051900.0 | SPECIES GALLU SDOMESTICUS, DUCKS, GEESE, TURKEYS AND GUINEA FOWLS WEIGHING NOT MORE THAN 185G : OTHER | Nil | 01/07/2017 | ||
| 1059200.0 | LIVE POULTRY, THAT IS TO SAY, FOWLS OF THE SPECIES GALLUS DOMESTICUS, DUCKS, GEESE, TURKEYS AND GUINEAFOWLS – OTHER – FOWLS OF THE SPECIES GALLUS DOMESTICUS WEIGHING NOT MORE THAN 2000G | Nil | 01/07/2017 | ||
| 1059300.0 | LIVE POULTRY, THAT IS TO SAY, FOWLS OF THE SPECIES GALLUS DOMESTICUS, DUCKS, GEESE, TURKEYS AND GUINEAFOWLS – OTHER – FOWLS OF THE SPECIES GALLUSDOMESTICUS WEIGHING MORE THAN 2000G, | Nil | 01/07/2017 | ||
| 1059400.0 | LIVE POULTRY, THAT IS TO SAY, FOWLS OF THE SPECIES GALLUS DOMESTICUS, DUCKS, GEESE, TURKEYS AND GUINEAFOWLS – OTHER – FOWLS OF THE SPECIES GALLUS DOMESTICUS | Nil | 01/07/2017 | ||
| 1059900.0 | SPECIES GALLUSDOMESTICUS, DUCKS, GEESE,TURKEYS AND GUINEA FOWLS – OTHER – OTHER | Nil | 01/07/2017 | ||
| 70 | OTHER LIVE ANIMALS – MAMMALS: | Nil | 01/07/2017 | ||
| 287296 | OTHER LIVE ANIMALS MAMMALS : PRIMATES | Nil | 01/07/2017 | ||
| 287360 | OTHER LIVE ANIMALS MAMMALS WHALES,DOLPHINS AND PORPOISES (MAMMALS OF THE ORDER CETACEA); MANATEES AND DUGONGS(MAMMALS OF THE ORDER SIRENIA) | Nil | 01/07/2017 | ||
| 1061900.0 | OTHER LIVE ANIMALS MAMMALS OTHER | Nil | 01/07/2017 | ||
| 287744 | OTHER LIVE ANIMALS REPTILES (INCLUDING SNAKES AND TURTLES) | Nil | 01/07/2017 | ||
| 288320 | OTHER LIVE ANIMALS BIRDS : BIRDS OF PREY | Nil | 01/07/2017 | ||
| 288384 | OTHER LIVE ANIMALS BIRDS PSITTACIFORMES(INCLUDING PARROTS, PARAKEETS,MACAWS AND COCKATOOS) | Nil | 01/07/2017 | ||
| 1063900.0 | OTHER LIVE ANIMALS BIRDS OTHER | Nil | 01/07/2017 | ||
| 1069010.0 | OTHERLIVE ANIMALS- OTHER – BEESANDOTHERINSECTS,NOTELSEWHEREINCLUDEDORSPECIFIED | Nil | 01/07/2017 | ||
| 1069020.0 | OTHER LIVE ANIMALS – OTHER – PURE LINE STOCK | Nil | 01/07/2017 | ||
| 1069090.0 | OTHER LIVE ANIMALS – OTHER – OTHER | Nil | 01/07/2017 |
FAQs
How does GST impact the purchase of equipment and machinery for poultry farming?
The purchase of equipment and machinery for poultry farming is generally subject to GST. Input tax credit may be available for the GST paid on such purchases.
Is GST applicable to poultry farming?
Yes, GST is applicable to various aspects of poultry farming, including the purchase of feed, equipment, and other supplies, as well as the sale of poultry products.
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