Section 9 - Levy and collection
Chapter III - Levy and Collection of Tax
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Source control: The text/status on this page is tied to the official source gateway and the Phase 1 legal-review register. Open official source.
Finin2min Summary - Section in 2 Minutes
Creates the CGST charge on intra-State supplies and shifts liability in notified reverse-charge and e-commerce cases. Charge is on intra-State supply, value under section 15 and notified rate. Alcohol for human consumption and specified ENA/rectified spirit are outside the charge. Five petroleum products await a notified commencement for GST levy.
Exact operative text
9. Levy and collection.-(1) Subject to the provisions of sub-section
(2), there shall be levied a tax called the central goods and services tax on all intra-State supplies of goods or services or both,
except on the supply of alcoholic liquor for human consumption and un-denatured extra neutral alcohol or rectified spirit used
for manufacture of alcoholic liquor, for human consumption, on the value determined under section 15 and at such rates, not
exceeding twenty per cent., as may be notified by the Government on the recommendations of the Council and collected in
such manner as may be prescribed and shall be paid by the taxable person.
(2) The central tax on the supply of petroleum crude, high speed diesel, motor spirit (commonly known as petrol), natural gas
and aviation turbine fuel shall be levied with effect from such date as may be notified by the Government on the
recommendations of the Council.
(3) The Government may, on the recommendations of the Council, by notification, specify categories of supply of goods or
services or both, the tax on which shall be paid on reverse charge basis by the recipient of such goods or services or both and
all the provisions of this Act shall apply to such recipient as if he is the person liable for paying the tax in relation to the supply
of such goods or services or both.
(4) The Government may, on the recommendations of the Council, by notification, specify a class of registered persons who
shall, in respect of supply of specified categories of goods or services or both received from an unregistered supplier, pay the
tax on reverse charge basis as the recipient of such supply of goods or services or both, and all the provisions of this Act shall
apply to such recipient as if he is the person liable for paying the tax in relation to such supply of goods or services or both.
(5) The Government may, on the recommendations of the Council, by notification, specify categories of services the tax on
intra-State supplies of which shall be paid by the electronic commerce operator if such services are supplied through it, and all
the provisions of this Act shall apply to such electronic commerce operator as if he is the supplier liable for paying the tax in
relation to the supply of such services:
Provided that where an electronic commerce operator does not have a physical presence in the taxable territory, any person
representing such electronic commerce operator for any purpose in the taxable territory shall be liable to pay tax:
Provided further that where an electronic commerce operator does not have a physical presence in the taxable territory and also
he does not have a representative in the said territory, such electronic commerce operator shall appoint a person in the taxable
territory for the purpose of paying tax and such person shall be liable to pay tax.
Paragraph-wise decode
Creates the CGST charge on intra-State supplies and shifts liability in notified reverse-charge and e-commerce cases. Charge is on intra-State supply, value under section 15 and notified rate. Alcohol for human consumption and specified ENA/rectified spirit are outside the charge. Five petroleum products await a notified commencement for GST levy.
Section-Rule-Form-Notification bridge
No direct Rule certified in Phase 1. Check notifications, circulars, forms and corresponding State law.
The mapping is a legal concordance, not a round-robin related-link list. It is limited to instruments certified in this phase.
Practical example
A professional first identifies whether the facts trigger section 9, fixes the relevant period, checks the mapped subordinate instruments and preserves evidence before filing or advising.
Professional alert
Confirm the transaction-date amendment and commencement position before reliance.
Implementation checklist
- Fix the transaction, taxable period and jurisdiction.
- Read every subsection, proviso, explanation and omission marker.
- Open the mapped Rule, form, notification and circular.
- Test State/UT variation and portal version.
- Preserve evidence, approvals, working papers and acknowledgements.
- Record the conclusion, assumptions, source date and reviewer.
Evidence and retention checklist
- Contract, purchase order, invoice or underlying transaction document.
- Registration, return, ledger, challan and portal acknowledgement.
- Official Act/Rule/notification version used and effective date.
- Internal tax position paper, computation and management approval.
- Correspondence, notices, replies, orders and appeal papers where applicable.
Practical Q&A
- What does section 9 regulate?
- It regulates levy and collection. Read the exact text, conditions, exceptions and transaction date together.
- Which subordinate law should be checked?
- No direct CGST Rule has been certified in this phase. Notifications, circulars, forms and the corresponding SGST/UTGST layer may also apply.
- What evidence should be retained?
- Preserve the contract or transaction record, invoice or form, portal acknowledgement, payment/ledger evidence, correspondence, legal working and the official source version used.
- Can portal behaviour override the statute?
- No. Portal functionality is operational evidence; legal entitlement and liability remain controlled by the Act, Rules, notifications and binding decisions.