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.
