Electronic Integrated Circuits - GST Rates & HSN Code 8542

Integrated circuits are the heart and soul of all electronic devices today. From smart phones to medical devices and even automobiles, integrated circuits have become an essential component of our daily lives. With the introduction of GST in India, it has become necessary for businesses to understand the GST rates and HSN codes for electronic integrated circuits.

GST Rates for Electronic Integrated Circuits

Electronic integrated circuits are classified under Chapter 85 of the GST tariff. The GST rates for electronic integrated circuits vary depending on the type of circuit and its application. Here is a breakdown of the GST rates:

1. 5% GST on electronic integrated circuits used in the manufacture of electronic calculators, computers, printers, and other computer peripherals

2. 12% GST on electronic integrated circuits used in the manufacture of TVs, radios, and other communication equipment

3. 18% GST on electronic integrated circuits used in the manufacture of other electronic equipment not covered under the above categories

HSN Code for Electronic Integrated Circuits

The HSN code for electronic integrated circuits is 8542. The HSN code is a globally recognized system for classifying goods and services for tax purposes. It is a 6-digit code used to identify the product and its classification. The first two digits of the HSN code represent the chapter under which the product falls. In the case of electronic integrated circuits, it is Chapter 85.

The next two digits represent the heading under which the product falls. In the case of electronic integrated circuits, it is Heading 84. The last two digits represent the sub-heading. In the case of electronic integrated circuits, it is Sub-heading 42.

Conclusion

Electronic integrated circuits are an essential component of all electronic devices. It is important for businesses to understand the GST rates and HSN codes for electronic integrated circuits to avoid any confusion or errors in their tax filings. By following the guidelines provided by the GST council, businesses can ensure that they are compliant with the law and avoid any penalties or fines.