GST · Breaking

Psyllium Seeds Granted Complete GST Exemption Effective From First November Twenty Twenty Six

Originally reported by A2Z Taxcorp LLP as: Psyllium seeds (Isobgul/Isabgol) exempted from GST by insertion of S. No. 87A in the exemption notification for goods, irrespective of whether fresh, chilled, frozen or dried, w.e.f. 01.11.2026

28 Oct 2026, 10:28 pm IST · Xecute.finance News Desk

The crisp read

Psyllium seeds, commonly known as Isobgul or Isabgol, have been exempted from Goods and Services Tax through the addition of serial number 87A to the official goods exemption notification. This relief applies regardless of whether the seeds are in fresh, chilled, frozen, or dried form. The exemption takes effect starting on the first of November, twenty twenty six.

Xecute Impact Breakdown

For CAs

  • Advise clients in the agricultural supply chain that psyllium seeds (Isobgul/Isabgol) are exempted from GST via the new serial number 87A.
  • Note that this exemption applies uniformly to fresh, chilled, frozen, or dried variations prior to final commercial packaging, removing previous classification friction.

For businesses

  • Expect fiscal relief and reduced domestic consumer prices as psyllium seeds (Isobgul/Isabgol) become exempt from GST, preventing cascading tax effects.
  • Ensure compliance systems reflect the exemption across all common states of harvest, storage, or transport prior to final commercial packaging.

Effective 01.11.2026

Deep dive - the full story

Psyllium seeds, commonly known as Isobgul or Isabgol, are exempted from Goods and Services Tax by the insertion of serial number 87A in the exemption notification for goods, irrespective of whether fresh, chilled, frozen or dried, with effect from 01.11.2026. This amendment provides clear fiscal relief to the agricultural supply chain dealing in this specific commodity. The classification covers all common states in which the commodity is harvested, stored, or transported prior to final commercial packaging.

In the architecture of indirect taxation, specific agricultural produce and raw herbs are frequently evaluated for tax exemptions to support farmers, reduce domestic consumer prices, and ease compliance burdens for agricultural cooperatives. Tax exemptions on essential farm produce prevent cascading tax effects through the supply chain. Under the previous tax treatment, various commercial preparations or forms of agricultural seeds faced ambiguous classification or taxable rates depending on processing stages. The introduction of a dedicated serial number removes this classification friction by providing uniform relief across fresh, chilled, frozen, and dried variations of the product.

Tax practitioners and accountants representing agricultural exporters or processors must update their billing systems to reflect zero-rated tax invoices for psyllium seeds starting 01.11.2026. Business owners need to maintain proper documentation verifying the product description to support the newly granted exemption during audits. Bottom line: proper implementation of this exemption will eliminate past tax disputes and optimize cash flow for traders dealing in Isabgol.

Source: news.google.com

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