Cereal Flours: Understanding the GST rates and HSN code (1102)

Flour is an essential ingredient used in many dishes around the world. Cereal flours, in particular, are widely used in India for various purposes. Whether it is making bread, cakes, or other baked goods, cereal flours are a staple in every kitchen. With the implementation of GST in India, it is essential to understand the GST rates and HSN code for cereal flours.

What are Cereal Flours?

Cereal flours are a type of flour derived from various grains. These grains include wheat, maize, rice, barley, millet, and oats. The flour is typically produced by grinding the grains into a fine powder. The end product is then used in various food items, such as bread, cakes, and pastries.

GST Rates for Cereal Flours

Under the GST regime, cereal flours are taxed at different rates depending upon the type of flour. Different GST rates have been assigned to different types of cereal flours. The GST rates for cereal flours are as follows:

Wheat flour - 5%
Maida flour - 5%
Cornflour - 5%
Rice flour - 5%
Bajra flour - 5%
Ragi flour - 5%
Jowar flour - 5%
Maize flour - 5%
Sooji or semolina - 5%

It is important to note that the GST rate for cereal flours is subject to change. Therefore, it is recommended that you check the latest GST rates before making any purchases.

HSN Code for Cereal Flours (1102)

The Harmonized System of Nomenclature (HSN) code is a standardized system used for classifying goods for taxation purposes. The HSN code for cereal flours is 1102. This code is used for all types of cereal flours, including wheat flour, rice flour, and cornflour.

HSN code 1102 is further divided into different subheadings based on the type of cereal flour. For example, HSN code 1102 90 is used for other cereal flours that are not listed under any other subheading. It is important to ensure that you use the correct HSN code when filing your GST returns.

Conclusion

Understanding the GST rates and HSN code for cereal flours is essential for small and medium-sized businesses in India. By knowing the GST rates and HSN code, you can calculate your tax liabilities more accurately and avoid any potential penalties for non-compliance. Always make sure to stay up-to-date with the latest GST rates and HSN codes to ensure compliance with the law.