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Published on:
February 25, 2023
By
Paramita

GST Rates and HSN Code for Electric Generating Sets in India

Electric generating sets are an essential part of any business operation that requires reliable and continuous power supply. In India, electric generating sets are classified under HSN code 8502 and are subject to GST rates. In this article, we'll discuss the GST rates and HSN code for electric generating sets in India.

HSN Code for Electric Generating Sets

The HSN code for electric generating sets is 8502. This includes generators, alternators, and other types of electric generating sets. The HSN code is used to classify goods for taxation purposes.GST Rates for Electric Generating SetsThe GST rates for electric generating sets in India depend on the type of generating set and its capacity. The GST rates for electric generating sets are as follows:- For electric generating sets with an output capacity of up to 75 KVA, the GST rate is 5%.- For electric generating sets with an output capacity of more than 75 KVA but less than or equal to 375 KVA, the GST rate is 12%.- For electric generating sets with an output capacity of more than 375 KVA, the GST rate is 18%.

It's important to note that the GST rates for electric generating sets are subject to change. Business owners and startup founders should stay up-to-date with any changes in GST rates to avoid any legal and financial implications.

Calculation of GST on Electric Generating Sets

The calculation of GST on electric generating sets is based on the value of the goods. The value of goods is determined based on the transaction value, which is the price paid or payable for the goods. The GST amount is calculated by multiplying the transaction value by the applicable GST rate. For example, if you purchase an electric generating set with an output capacity of up to 75 KVA for Rs. 1,00,000, the GST amount will be calculated as follows: GST amount = Rs. 1,00,000 x 5% = Rs. 5,000Therefore, the total cost of the electric generating set will be Rs. 1,05,000 (Rs. 1,00,000 + Rs. 5,000 GST).

Conclusion

Electric generating sets are classified under HSN code 8502 and are subject to GST rates in India. The GST rates for electric generating sets depend on the type of generating set and its capacity. Business owners and startup founders should be aware of the GST rates for electric generating sets and stay up-to-date with any changes to avoid any legal and financial implications.

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Updated on:
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