Section 2 – Definitions
Section 2 of CGST Act, 2017 – Definitions Updated on: February 2026 Prepared by: Yours Tax Consultant 1. Bare Act Overview – Section 2 Section 2 of the CGST Act, 2017 contains definitions of key terms used throughout the Act and the CGST Rules. Unless the context otherwise requires, the meanings assigned under Section 2 apply to the entire CGST law. 2. Importance of Section 2 Section 2 is one of the most important provisions of the CGST Act because: Every charging, procedural and penal section depends on defined terms Wrong interpretation of definitions leads to disputes and litigation Courts heavily rely on Section 2 while deciding GST cases If a word is defined in Section 2, that definition must be applied strictly , unless the context demands otherwise. 3. Important Definitions under Section 2 (Selected) (a) “Business” – Section 2(17) The term business includes any trade, commerce, manufacture, profession, vocation, adventure or wager...