Sections 2(1) to 2(10) of the CGST Act, 2017: Definitions

Definitions of various important terms under Sections 2(1) to 2(10) of the CGST Act, 2017, unless the context otherwise requires:

Section 2(1): Meaning of Actionable Claim

Actionable claim shall have the same meaning as assigned to it in section 3 of the Transfer of Property Act, 1882.

Section 2(2): Meaning of Address of Delivery

Address of delivery means the address of the recipient of goods or services or both indicated on the tax invoice issued by a registered person for delivery of such goods or services or both.

Section 2(3): Meaning of Address on Record

Address on Record means the address of the recipient as available in the records of the supplier.

Section 2(4): Meaning of Adjudicating Authority

Adjudicating Authority means any authority, appointed or authorised to pass any order or decision under this Act, but does not include the Central Board of Excise and Customs Central Board of Indirect Taxes and Customs, the Revisional Authority, the Authority for Advance Ruling, the Appellate Authority for Advance Ruling, the National Appellate Authority for Advance Ruling, the Appellate Authority and the Appellate Tribunal the Appellate Authority, the Appellate Tribunal and the Authority referred to in sub-section (2) of section 171. [Refer Note 1(a), 1(b) & 2]

Section 2(5): Meaning of Agent

Agent means a person, including a factor, broker, commission agent, arhatia, del credere agent, an auctioneer or any other mercantile agent, by whatever name called, who carries on the business of supply or receipt of goods or services or both on behalf of another.

Section 2(6): Meaning of Aggregate Turnover

Aggregate Turnover means the aggregate value of all taxable supplies (excluding the value of inward supplies on which tax is payable by a person on reverse charge basis), exempt supplies, exports of goods or services or both and inter-State supplies of persons having the same Permanent Account Number, to be computed on all India basis but excludes central tax, State tax, Union territory tax, integrated tax and cess.

Section 2(7): Meaning of Agriculturist

Agriculturist means an individual or a Hindu Undivided Family who undertakes cultivation of land (a) by own labour, or (b) by the labour of family, or (c) by servants on wages payable in cash or kind or by hired labour under personal supervision or the personal supervision of any member of the family.

Section 2(8): Meaning of Appellate Authority

Appellate Authority means an authority appointed or authorised to hear appeals as referred to in section 107.

Section 2(9): Meaning of Appellate Tribunal

Appellate Tribunal means the Goods and Services Tax Appellate Tribunal constituted under section 109.

Section 2(10): Meaning of Appointed Day

Appointed Day means the date on which the provisions of this Act shall come into force.

Amendments History:

1. Amendments in Section 2(4) of the CGST Act, 2017 made vide Section 2 of the CGST (Amendment) Act, 2018 (GOI Notification dated 29/08/2018), followed with Notification 2/2019 on commencement date of 01/02/2019:

(a) the words ‘Central Board of Excise and Customs’ substituted with the words ‘Central Board of Indirect Taxes and Customs’; and

(b) the text ‘the Appellate Authority and the Appellate Tribunal’ substituted with the text ‘the Appellate Authority, the Appellate Tribunal and the Authority referred to in sub-section (2) of section 171’.

2. In section 2(4), the text ‘the National Appellate Authority for Advance Ruling’ inserted after the text ‘the Appellate Authority for Advance Ruling‘ vide Section 92 of the Finance Act, 2019 (GOI Notification dated 01/08/2019), pending Notification on commencement date.

Commentary on Sections 2(1) to 2(10) of CGST Act, 2017

The following commentary explains the definitions of important terms in Sections 2(1) to 2(10) of the Central Goods and Services Tax (CGST) Act, 2017:

Section 2(1) of CGST Act, 2017: Actionable Claim

Actionable Claim is defined as per the Transfer of Property Act, 1882 and generally refers to a legal claim on debts, which can be enforced through court action.

Section 2(2) of CGST Act, 2017: Address of Delivery

Address of Delivery is the recipient’s address mentioned on the tax invoice issued by a registered person for delivering goods or services.

Section 2(3) of CGST Act, 2017: Address on Record

Address on Record refers to the recipient’s address available in the supplier’s records.

Section 2(4) of CGST Act, 2017: Adjudicating Authority

Adjudicating Authority refers to any authority authorized to pass orders or make decisions under the CGST Act, except for certain specified authorities such as the Central Board of Indirect Taxes and Customs, and others mentioned in the definition.

Section 2(5) of CGST Act, 2017: Agent

Agent refers to a person or entity that conducts the business of supplying or receiving goods or services on behalf of another party. Agents can have various titles, such as factor, broker, commission agent, etc.

Section 2(6) of CGST Act, 2017: Aggregate Turnover

Aggregate Turnover refers to the total value of all taxable supplies, exempt supplies, exports and inter-State supplies of persons with the same Permanent Account Number, computed on an all-India basis. It excludes certain taxes and cesses.

Section 2(7) of CGST Act, 2017: Agriculturist

Agriculturist refers to an individual or Hindu Undivided Family engaged in cultivating land through their own labour, family labour or hired labour under personal supervision or the supervision of a family member.

Section 2(8) of CGST Act, 2017: Appellate Authority

Appellate Authority refers to an authority appointed or authorized to hear appeals as mentioned in section 107 of the CGST Act.

Section 2(9) of CGST Act, 2017: Appellate Tribunal

Appellate Tribunal refers to the Goods and Services Tax Appellate Tribunal (GSTAT), which is constituted under section 109 of the CGST Act.

Section 2(10) of CGST Act, 2017: Appointed Day

Appointed Day refers to the date when the provisions of the CGST Act come into effect.

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Note: The CGST Act 2017 has been notified vide GOI Notification dt. 12/04/2017, which has subsequently been amended through CGST (Extension to J&K) Act 2017, Finance Act 2018, CGST Amendment Act 2018, Finance Act 2019, Finance Act 2020, Taxation and Other Laws (Relaxation of Certain Provisions) Ordinance 2020, Finance Act 2021, Finance Act 2022 including various Notifications issued by the Govt./ CBIC from time to time, relating to the commencement dates of various Sections/ Provisions in the respective CGST/ Amendment Acts, wherever required. Information on this page is a Section-wise compilation of the Amendments made by various Notifications issued by CBIC from time to time, with best possible efforts for accuracy. In any case, E&OE. For official/ updated information, please visit CBIC website.