Tariff rate of GST payable for sale of Pharmaceutical products in India

GST slab on Pharmaceutical products in India

Click here to know GST exempted list

Pharmaceutical Products falls under HSN code chapter 30 of GST commodity tariff schedule.  The details about GST rate changes on sale of Pharmaceutical Products are being updated here.  The notification changes on exemptions on GST on sale of Pharmaceutical Products and other circulars related to GST on Pharmaceutical Products are updated in this website.

Update on 18th May, 2017: GST rates on goods

 

NIL GST RATE;

1. Human Blood and its components [GST HSN chapter code 3002].

2. All types of contraceptives [GST HSN chapter code 3006]

 

GST rate related to COVID-19  has been changed as per 44th GST council meet held on 12th June, 2021.  The details of changed GST rates are given below: 

Medicines required for COVID-19 & Black Fungus treatment:

Items                                   present rate       New rate

Tocilizumab                                  5%                   Nil     

Amphotericin-B                            5%                   Nil           

Remedesivir                                12%                  5%    

Anti-coagulants like Heparin         12%                  5%  

Any other drug (recommended by the Ministry of Health and Family Welfare (MoHFW) and the Dept. of Pharma (DoP) for Covid-19 treatment)                         Existing rate            5%

Specified Inflammatory Diagnostic Kits, namely D-Dimer, IL-6, Ferritin and LDH   12%        5%  

 

Medical equipment required for COVID treatment:

Covid-19 testing kits                   12%                  5%              

 

5% GST RATE;

1. Animal or Human Blood Vaccines [GST HSN chapter code 3002, GST HSN chapter code 3006]

2. Diagnostic kits for detection of all types of hepatitis

3. Desferrioxamine injection or deferiprone

4. Cyclosporin

5. Medicaments (including veterinary medicaments) used in bio-chemic systems and not bearing a brand name

6. Oral re-hydration salts

7. Drugs or medicines including their salts and esters and diagnostic test kits, specified in List 3 or List 4 appended to the notification No.12/2012- Customs, dated the 17th March, 2012, dated the 17th March, 2012.

8. Formulations manufactured from the bulk drugs specified in List 1 of notification No.12/2012-Central Excise, dated the 17th March, 2012, dated the 17th March, 2012.

 

Revised GST Rates with effect from 18th July, 2022

                                                                         Present rate        new rate 

Import of tablets called Diethylcarbamazine (DEC)

free of cost for National Filariasis Elimination

Programme (IGST)                                                 5%                  Nil        

Ostomy Appliances                                                12%                 5%      

 

12%GST RATE;

 All goods not specified elsewhere

1. GST HSN chapter code 3001 Glands and other organs for organo-therapeutic uses, dried, whether or not powdered; extracts of glands or other organs or of their secretions for organo-therapeutic uses; heparin and its salts; other human or animal substances prepared for therapeutic or prophylactic uses, not elsewhere specified or included

2. GST HSN chapter code 3002 Animal blood prepared for therapeutic, prophylactic or diagnostic uses; antisera and other blood fractions and modified immunological products, whether or not obtained by means of biotechnological processes; toxins, cultures of microorganisms (excluding yeasts) and similar products

3. GST HSN chapter code 3003 Medicaments (excluding goods of heading 30.02, 30.05 or 30.06) consisting of two or more constituents which have been mixed together for therapeutic or prophylactic uses, not put up in measured doses or in forms or packings for retail sale, including Ayurvaedic, Unani, Siddha, homoeopathic or Bio-chemic systems medicaments.

4. GST HSN chapter code 3004 Medicaments (excluding goods of heading 30.02, 30.05 or 30.06) consisting of mixed or unmixed products for therapeutic or prophylactic uses, put up in measured doses (including those in the form of transdermal administration systems) or in forms or packings for retail sale, including Ayurvaedic, Unani, homoeopathic siddha or Biochemic systems medicaments, put up for retail sale.

5. GST HSN chapter code 3005 Wadding, gauze, bandages and similar articles (for example, dressings, adhesive plasters, poultices), impregnated or coated with pharmaceutical substances or put up in forms or packings for retail sale on medical, surgical, dental or veterinary purposes.

6. GST HSN chapter code 3006Pharmaceutical goods specified in Note 4 to this Chapter such as Sterile surgical catgut, similar sterile suture materials (including sterile absorbable surgical or dental yarns) and sterile tissue adhesives for surgical wound closure; sterile laminaria and sterile laminaria tents; sterile absorbable surgical or dental haemostatics; sterile surgical or denatal adhesion barriers, whether or not absorbable, etc., Waste pharmaceuticals [other than contraceptives].

Reduced GST Rates on 11th June 2017

                                              Earlier rate               new rate

30                Insulin                  12%                            5%


Reduced GST Rates on 06th October, 2017

                                                                                             earlier rate         new rate

 30                           Ayurvedic, Unani, Siddha,                           12%             5%

                                Homeopathy medicines, other  than                        

                                those bearing a brand name                                       

 the phrase “brand name” is defined as:

"brand name" or "trade name" means a brand name or a trade name, whether registered or not, that is to say, a name or a mark, such as symbol, monogram, label, signature or invented word or writing which is used in relation to such specified goods for the purpose of indicating, or so as to indicate a connection in the course of trade between such specified goods and some person using such name or mark with or without any indication of the identity of that person.

Revised GST Rates with effect from 1st October, 2019

                                                                   Present rate           new rate 

‘Keytruda’ drug for the treatment of cancer        12%                      5%

                                                 

Reduced GST rates on 11 June 2017, click here for details

18%GST RATE;

 

1. Nicotine polacrilex gum

 

Reduced GST Rates on 11th June 2017

                                                                                                          Earlier rate               new rate

29, 30, 3302                    (i) Menthol and menthol crystals,                    18%                12%

                                        (ii)Peppermint (Mentha Oil),

                                        (iii) Fractionated / de-terpenated mentha oil (DTMO),

                                        (iv) De-mentholised oil (DMO),

                                         (v) Spearmint oil,

                                         (vi) Mentha piperita oil



Reduced GST rates on 11 June 2017, click here for details

 

Tariff rate of GST payable for sale of Pharmaceutical products in India

Goods and Service Tax (GST) rate tariff in India is designed in 6 categories of goods and services.  Four main GST rate slabs framed with Essential goods and services, Standard goods and services and luxury goods and services with 5%, 12%, 18% and 28% respectively.  Commonly used Goods and Services at 5%, Standard Goods and Services fall under 1st slab at 12%, Standard Goods and Services fall under 2nd Slab at 18% and Special category of Goods and Services including luxury - 28%.   The most essential goods and services attract nil rate of GST under Exempted Categories.     Luxury goods and services and certain specific goods and services   attract additional cess than 28% GST.

 

The GST rate on pharmaceutical products are expected to be imposed at 12%.

 

GST on pharmaceutical products are expected to be imposed in India.   Some of the most essential commodities under pharmaceutical products are expected to be included in the Exemption list of GST in India.

 

GST rate payable for goods or service, click here 

 

Click here to know GST exemption list of goods and service

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No need to pay GST on purchase of Human Blood and its components

All types of contraceptives attract nil rate of GST

GST on Oral re-hydration salts business

GST payable rate on sale or purchase of Medicaments used in bio-chemic systems

GST slab rate on Insulin

Rate of GST on Diagnostic kits for detection of hepatitis business

GST amount of rate on Desferrioxamine injection

Payable GST on purchase or sale of Cyclosporin

GST scheduled rate on Animal Blood Vaccines

GST tax for Feather articles and prepared feathers

GST rates for Cement, mica, asbestos and stone

Ceramic products, GST payable in India

Rate of GST for Glass and Glassware

GST for Precious Metals, Precious Pearls and Precious Stones

Rate of GST for sale of headgear and headgear parts

GST rate for Umbrella, walking sticks, whips, seat sticks etc.

Tax wrongfully collected and paid to Central Government or State Government, IGST Act,2017

IGST Act,2017 Application of provisions

CGST Act, Power of inspection, search and seizure

Inspection of goods in movement, CGST Act, 2017

Officers to assist proper officers, CGST Act

Determination of tax not paid, CGST Act, 2017

Tax wrongfully collected and paid to Central Government or State Government, CGST Act

Recovery of tax, CGST Act, 2017

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Process of application for registration under GST Act to obtain GSTIN

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Advantages of registering for GSTIN under Goods and Service Tax Act

 

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The above information about GST rate on commodities under HSN code mentioned above commonly clarifies on questions explained under:

Amount of GST tax on medicaments of mixtures, not dosage etc.

What is the GST rate on medicaments, mixed or not, in dosage etc.?

How much GST on medicaments, mixed or not, in dosage etc.?

GST tariff on glands etc. dry & ext., heparin, hum etc. subs

Indian GST charges on human blood, animal blood, antisera, vaccines etc.

GST duty on bandages etc. coated etc. or in retail medic etc.

GST tax on pharmaceutical goods (specified sterile prod etc.)


No GST payable for sale of Human Blood and its components

  All types of contraceptives fall under GST exemption list



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