GST rates in India

Quick overview

Standard Rate	Reduced Rate	Other Rates
18%	0.25%, 3%, 5%, 12%	28%

The local name for VAT in India is Maal aur Seva Kar.

There are basically 6 VAT rates in India: 0.25%, 3%, 5%, 12%, 18%, 28%

• Standard GST rate is 18%

Recent developments

For more information about (recent) rate change developments in India, please click HERE.

GST Standard rate of 18%

• Applicable to the majority of goods and services

GST Rate of 0.25% and 3%

• Diamonds and other precious stones
• Gold
• Silver

GST Rate of 5%

• Branded cereals
• Air transport of passengers in economy class
• Restaurants
• Construction services of residential apartment

GST Rate of 12%

• Second main rate
• Electrical apparatus for radio and television broadcasting
• Luxury hotels (greater than INR1,000 per unit per day)
• Intellectual property rights
• Construction services (other than residential apartments)
• Banking services

GST Rate of 28%

• Vehicles
• Air-conditioners
• Aerated drinks
• Access to race clubs and casinos

Goods and services taxable at 0%

• Exports
• Supplies to a special economic zone (SEZ) unit of SEZ developer

Exempt supplies of goods and services

• Unbranded cereals
• Fruits and vegetables
• Non-luury hotels (below INR1,000, per unit per day)
• Renting of residential dwelling for use as residence
• The transfer of a going concern

A global VAT/GST rate overview can be found here (note this is a work in progress).

This post was last updated on October 18, 2021.

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