Gujarat GST Administration & GIFT City Invoicing Landscape
Gujarat is one of India's premier commercial and industrial engines, spanning major manufacturing centers in Ahmedabad, Surat, Vadodara, and Rajkot. The two-digit GST state code for Gujarat is 24, which prefixes every Gujarat GSTIN.
Intra-State vs Inter-State Splits in Gujarat
- Intra-State (Within Gujarat): Supplies where both supplier and recipient are in Gujarat are taxed at 9% CGST + 9% SGST.
- Inter-State (Outside Gujarat): Supplies to entities in Maharashtra (code 27), Rajasthan (code 08), or other states carry the unified 18% IGST.
Special Invoicing Rules for GIFT City SEZ Units
A distinctive regulatory feature in Gujarat is the Gujarat International Finance Tec-City (GIFT City) in Gandhinagar. When supplying consulting, technical, or financial services to a unit located inside the GIFT City Special Economic Zone (SEZ):
- Under Section 16 of the IGST Act, any supply of goods or services to an SEZ developer or SEZ unit is treated as a Zero-rated supply.
- Even though GIFT City is geographically within Gujarat, transactions with SEZ units are deemed inter-state. You can invoice the SEZ unit with 0% GST under a Letter of Undertaking (LUT) or charge IGST and claim a refund.
Gujarat Professional Tax Rules
In Gujarat, Professional Tax is governed under the Gujarat State Tax on Professions, Trades, Callings and Employments Act, 1976 and collected through local municipal corporations:
- Monthly salary/income up to ₹12,000: Nil
- Monthly salary/income above ₹12,000: ₹200 per month (maximum statutory limit of ₹2,400 to ₹2,500 annually).
Commercial Tax Department Portal
Gujarat commercial taxes and circulars are accessible via the state department portal at commercialtax.gujarat.gov.in.