SCHEDULE III

[See section 7]

ACTIVITIES OR TRANSACTIONS WHICH SHALL BE TREATED NEITHER AS A SUPPLY OF GOODS NOR A SUPPLY OF SERVICES

1.  Services by an

employee to the employer

in the course of

or in relation to his employment.

2.  Services by

any court

or Tribunal

established under any law for the time being in force.

Explanation 1—For the purposes of paragraph 2, the term "court" includes District Court, High Court and Supreme Court.

3. (a) the functions performed by the

Members of Parliament,

Members of State Legislature,

Members of Panchayats,

Members of Municipalities and

Members of other local authorities;

(b) the duties performed

  by any person

who holds any post

in pursuance of the

provisions of the Constitution in that capacity; or

(c) the duties performed by

any person as a

Chairperson or

a Member or

a Director

in a body established

by the Central Government

or a State Government

or local authority

and who is not deemed as an employee before the commencement of this clause.

4. Services of funeral,

burial,

crematorium

or mortuary

including transportation of the deceased.

5. Sale of land and,

subject to paragraph 5(b) of Schedule II,

sale of building.

6.  Actionable claims,

other than

lottery,betting and gambling.

7.  Supply of goods

from a place in the non-taxable territory

to another place in the non-taxable territory

without such goods entering into India.

8.  (a) Supply of warehoused goods

 to any person

before clearance for home consumption;

    (b) Supply of goods

    by the consignee

    to any other person,

    by endorsement of documents of title to the goods,

    after the goods have been dispatched

    from the port of origin located outside India

    but before clearance for home consumption.

Explanation 2: For the purposes of paragraph 8, the expression “warehoused goods” shall have the same meaning as assigned to it in the Customs Act, 1962.

(Point 7 And 8 and Explanation 2 has been inserted by CGST Amendment Act 2018 w.e.f 1-02-2019)

Thanks

CA Rahul Gupta