The Union Territory Goods and Services Tax Act, 2017 (Act No. 14 of 2017) provides for the levy and collection of tax on intra-State supplies of goods or services or both by the Union territories of Andaman and Nicobar Islands, Lakshadweep, Dadra and Nagar Haveli and Daman and Diu, Ladakh, Chandigarh and other territory. It works alongside the Central Goods and Services Tax Act by borrowing most of that Act’s substantive machinery — registration, returns, assessment, refunds, audit and offences — and imposing a mirror-image “Union territory tax” (UTGST) in place of State tax, so that supplies within a Union territory attract central tax plus Union territory tax, just as supplies within a State attract central tax plus State tax.
CHAPTER I — PRELIMINARY
CHAPTER II — ADMINISTRATION
- Section 3 — Officers under this Act
- Section 4 — Authorisation of officers
- Section 5 — Powers of officers
- Section 6 — Authorisation of officers of central tax as proper officer in certain circumstances
CHAPTER III — LEVY AND COLLECTION OF TAX
- Section 7 — Levy and collection
- Section 8 — Power to grant exemption from tax
- Section 8A — Power not to recover Goods and Services Tax not levied or short-levied as a result of general practice
CHAPTER IV — PAYMENT OF TAX
- Section 9 — Payment of tax
- Section 9A — Utilisation of input tax credit
- Section 9B — Order of utilisation of input tax credit
- Section 10 — Transfer of input tax credit
CHAPTER V — INSPECTION, SEARCH, SEIZURE AND ARREST
CHAPTER VI — DEMANDS AND RECOVERY
- Section 12 — Tax wrongfully collected and paid to Central Government or Union territory Government
- Section 13 — Recovery of tax
CHAPTER VII — ADVANCE RULING
- Section 14 — Definitions
- Section 15 — Constitution of Authority for Advance Ruling
- Section 16 — Constitution of Appellate Authority for Advance Ruling
CHAPTER VIII — TRANSITIONAL PROVISIONS
- Section 17 — Migration of existing tax payers
- Section 18 — Transitional arrangements for input tax credit
- Section 19 — Transitional provisions relating to job work
- Section 20 — Miscellaneous transitional provisions
CHAPTER IX — MISCELLANEOUS
- Section 21 — Application of provisions of Central Goods and Services Tax Act
- Section 22 — Power to make rules
- Section 23 — General power to make regulations
- Section 24 — Laying of rules, regulations and notifications
- Section 25 — Power to issue instructions or directions
- Section 26 — Removal of difficulties
Note: Sections 1, 2, 3, 4, 5, 17, 21 and 22 came into force on 22 June 2017; the remaining sections came into force on 1 July 2017. The Act was substantially amended by the Union Territory Goods and Services Tax (Amendment) Act, 2018 (with effect from 1 February 2019, inserting sections 9A and 9B and the proviso to section 9(b)), the Finance Act, 2020 (extending the removal-of-difficulties window and updating the list of Union territories to reflect the merger of Dadra and Nagar Haveli with Daman and Diu and the creation of Ladakh), and the Finance (No. 2) Act, 2024 (excluding un-denatured extra neutral alcohol from the levy under section 7 and inserting section 8A, a general-practice non-recovery provision, both with effect from 1 November 2024).
