5% GST Applicable on Supply of Aggregates made from Boulders: AAR

The Authority for Advance Rulings (AAR) confirmed that a 5% GST rate applies to the supply of aggregates made from boulders. Aggregates, a construction material, undergo minimal processing, and hence attract a lower GST rate compared to finished products. This ruling provides clarity for businesses in the construction and mining sectors, ensuring they comply with the correct tax rates. The ruling also helps streamline taxation for suppliers of raw construction materials, reducing confusion around classification and applicable GST rates.