What should a battery invoice include?

Additionally, the invoice should feature the Harmonized System of Nomenclature (HSN) code assigned to batteries for standardized classification and ease of identification. The GST rates on batteries are subject to change and manufacturers should regularly verify and stay updated with the latest applicable rates.

Are lead-acid batteries taxed under GST?

Lead-Acid Batteries: Commonly used in vehicles and for industrial applications, lead-acid batteries are taxed at a rate of 28% under GST. This high rate is due to their environmental impact and the extensive recycling needed for their disposal.

Are alkaline batteries subject to GST?

Alkaline Batteries: Often used in consumer electronics, alkaline batteries are subject to an 18% GST rate. Their widespread use in everyday products makes this a standard rate. The GST-provided uniform tax rate has aided in streamlining the manufacturing and trading procedures within the battery industry.

Are lithium ion batteries taxed?

Lithium-ion batteries, crucial for modern electronics and electric vehicles, are taxed at a GST rate of 18%. HSN codes for batteries vary based on their chemical composition and usage, ensuring accurate tax classification. To find the correct HSN code for a specific battery, consult the GST tariff schedule or seek advice from a tax professional.

What are HSN codes in battery taxation?

Harmonized System of Nomenclature (HSN) codes play a significant role in battery taxation under GST. HSN codes are internationally accepted codes used to classify traded products. Batteries have specific HSN codes assigned to them based on their type and composition.

Does GST apply to lithium ion batteries?

Currently, GST is applicable to a wide array of batteries including lead-acid and lithium-ion variants. The GST rate is determined by both the intended use of the battery and its specific type. To curb tax evasion, the government mandates the issuance of e-way bills for the movement of goods within India.