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March 5, 2025

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GST Rates and HSN Code 0105 for Live Poultry: Ducks, Geese, Turkeys, and Guinea Fowls

It has been initiated concerning the Goods and Services Tax (GST), the one that changed India's tax design. The goods and services will now be classified with HSN codes. Live poultry has its own HSN code; these include ducks, geese, turkeys, and guinea fowls. For poultry farmers, it is important knowledge to have concerning the GST rate charged on these birds. Suppliers and livestock businesses need this information as well. Knowledge of the HSN code and GST rate is vital for them since it affects their business operations and tax compliance.

This article explains HSN codes related to live poultry. It will discuss the applicable GST rates in detail. We will analyze the implications of these rates for the poultry sector. This helps the farmers and businesses to be well-informed, following which they can comply with the tax regulations.

Understanding HSN Code for Live Poultry

These codes are useful in tracking the movement of goods themselves. India uses the GST system for taxation. GST therefore rests on HSN codes. Live birds are classified under their own HSN code in the GST. Because of this code, the poultry business can operate within tax regulations. Knowledge of HSN code is the essence. It ensures correct payment. The trade of live birds becomes easier.

HSN Code for Live Poultry

1. HSN Code: 0105

2. Description: Live poultry, comprising fowls of the species Gallus domesticus (chickens), ducks, geese, turkeys, and guinea fowls.

GST Rates for Live Poultry

The Goods and Services Tax (GST) system in India is different from one another in a way to tax livestock and poultry. The same approach applies to classification-based tax rates for animals. This is affecting the farmers and businesses and prices paid by consumers. Also important for managing tax and planning business finances is the knowledge of the GST rates. It would be beneficial, for instance, to notice that live chicken usually attracts a zero percent GST, although processed chicken meat can be put under another tax bracket.

This kind of difference, according to the GST rules, can also change with the government. Being current on these rates is vital, as it will ensure accurate tax payments and make financial planning easier. The GST Council will decide on the rates. Their consideration includes its essential nature and the needs of the industry.

Type of Live Poultry	HSN Code	GST Rate
Live Chickens	105	Exempt
Live Ducks	105	Exempt
Live Geese	105	Exempt
Live Turkeys	105	Exempt
Live Guinea Fowls	105	Exempt

Key Highlights

1. Birds are dearly exempt from the GST shadow, no price for sales or buys, ever.

2. Differentiating concerning the process, whether it's processed or frozen, the poultry products may charge you 5% or 12% GST, depending on the product category and packaging type.

Why GST Exemption on Live Poultry Matters?

GST exemption on live poultry can benefit the agricultural and poultry farming sector in manifold ways:

1. Lower tax liability for farmers: The poultry farmer does not have to pay that extra bit of GST on live birds, making operations more economical.

2. Stimulates growth in the poultry industry: GST exemption encourages investment in poultry farming.

3. Ensures affordability: Keeping poultry products tax-free at the live-to-dead stage keeps their prices buoyant for consumers.

Tax Implications for Poultry Businesses

Despite the GST exemption applicable to live poultry, businesses must comply with various tax requirements.

1. Input Tax Credit: Live poultry exemption under GST disallows poultry farmers and traders from claiming ITC on expenses incurred by them on poultry feed, medicines, or infrastructure.

2. GST on Processed Poultry Products: Processed or frozen poultry products attract 5% or 12% GST depending on their classification.

3. Proper Documentation: Even when the goods sold are exempt from GST, the businesses must maintain appropriate documentation of the transactions.

Comparison with Other Livestock HSN Codes

This is how live poultry fits into the entire livestock category under the GST.

Livestock Category	HSN Code	GST Rate
Live Poultry (Ducks, Geese, Turkeys, etc.)	105	Exempt
Live Cattle and Buffaloes	102	Exempt
Live Sheep and Goats	104	Exempt
Processed Meat (Frozen)	207	Exempt

GST Compliance for Poultry Farmers & Traders

Follow these best practices for GST compliance for poultry farmers and businesses,

1. Register for GST in case you are selling taxable products.

2. Retention of sales records even for any exempt goods.

3. Check GST rates for poultry feed, medicines, and equipment as they may not be exempt.

4. Proper filing of GST returns if you sold both exempt (live poultry) and taxable (processed poultry).

Conclusion

In any case, the reader learns that live poultry like ducks, geese, turkeys, and guinea fowls have all been classified under HSN Code 0105 and so are not subject to GST, which is a benefit for farmers and traders. On the other hand, businesses dealing with processed poultry products should be subject to the GST rates of 5% or 12%. Thus, staying abreast with the current GST policies would require relevant substantiation and availing of necessary professional tax advice by all poultry businesses.

FAQs

1. Is GST imposed on live ducks, geese, turkeys, and guinea fowls?

No, live poultry items under HSN Code 0105 are exempted from GST.

2. State the HSN code of live poultry.

According to HS Code 0105, live poultry means ducks, geese, turkeys, and guinea fowls.

3. Will a poultry farmer be able to obtain the Input Tax Credit (ITC)?

No, as live poultry are GST-exempt; the related purchase cannot be claimed in an ITC.

4. What's the probable GST rate on processed poultry?

The GST rate for processed poultry is linked to the classification under HSN Code - 0207, and there will be a 5% or 12% GST rate levied depending on the extent and nature of processing and packing.

5. Should a poultry farmer register under GST?

Concerning poultry farmers selling live poultry, fresh meat, or fresh eggs (exempted goods), they need not register under GST as long as they do not undertake taxable sales of processed poultry products.

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