GST exemption refers to the categories of goods and services that are exempt from the Goods and Services Tax. This means that certain products and services are not subject to the GST rate, thus reducing the tax burden for both businesses and consumers. There are various goods and services that fall under GST exemption, including essential items, services for specific industries, and certain types of organizations.

Types of GST Exemptions in India

1. GST exemption: Goods that are part of basic needs or are intended for public good are generally exempted from GST. For example, some food, medicine and agricultural products have been exempted to lower the cost of living and make them more accessible.

2. GST exemption for services: Various important services are also exempted from GST. These services include health care, education, and some financial services. This helps improve the quality of life and ensures that vital public health and education services remain affordable.

3. GST exemption based on turnover: Small businesses whose turnover falls below specified thresholds can claim GST exemption. This exemption aims to reduce the compliance burden on micro and small enterprises (MSEs), enabling them to focus on their growth without worrying about GST registration and filing requirements