GST Rates in 2021 – Complete List of Goods and Service Tax Rates, Slab & Revision
GST Rates News
GST Exempt For Hotels With Price Less Than ₹1,000/- Per Day
The vendors have received some relief from the confusion related to the exemption from GST.
The Authority for Advance Ruling (AAR) recently concluded that a hostel that charges a residential fee of less ₹1,000/- per day will be exempt from the application of Goods and Services Tax. The session was concluded by the Maharashtra Bench. It added that the return filing would appear as ‘nil’ under the 14th Entry.
The case came to light when Ghodawat Eduserve sought an explanation from the authorities about the implementation of GST. The Kolkata-based education service provider charges an additional fee to offer residential accommodation to the students of 11th and 12th standards. It had set a fee of ₹94/- per day and implementation of GST would have unnecessarily increased the price. The exemption was confirmed by the Central Board of Indirect Taxes and Customs (CBIC) in its notification dated February 12, 2018. – Updated Date: 14-09-2021
There has been much debate on GST tax rates recently amongst the trading community and the GST council. The GST council of members has held several rounds of meetings to revise GST rates. The latest GST rates show a reduction of 6% to 18% in GST rates for various commodities across most categories.
GST is a tax levied for the consumption of goods and services. The tax is applied by the supplier of products and services while billing customers. GST is a unified and simplified taxation system that replaced the earlier goods and services taxation system of VAT. GST is applied in a simplified structure along the supply chain.
Latest GST tax slab rates for goods categories
Official GST portal publishes information on the latest GST tax slab rates. The list is large, and sellers would have to find the rates applicable to their trade. For example, if a home appliances seller wants to know the latest applicable GST rates, then the rate would have to be searched under a specific category. Below is the information based on the last published GST rates for broad categories of commodities.
- GST on food and beverages items
Several items under the category have reduced GST rates. Those with 12% GST have 5% GST, those with 18% earlier now have 12% GST, and those with 28% have 18% GST.
- GST on household goods of daily use
New GST rates stand reduced for several items under the category of household goods. Those with earlier 18% GST now have 12% or 5% GST. Those with 28% of GST have 18%, 5%, and even nil GST rates.
- GST on educational items
For several goods under the category, GST rates have been reduced from 28% to 12%
- GST on medical and health items
For goods under medical and health category, GST stands reduced from 12 % to 5% and 0% for separate items.
- GST on agriculture items
Agriculture items with an earlier GST of 12% have 5% GST. Items under the category with earlier GST rate 18% now have reduced GST of 12%.
- GST on infrastructure/fuel/environment items
Items in this category with earlier GST of 28% now have GST of 18%. Items having a GST rate of 18% previously now have 12%.
- GST on safety and security items
No major changes have been announced from earlier prevailing rates of 18%.
- GST on miscellaneous items
Several items with GST of 28% now have 18% GST, those with 18% now have 12%, and those with 5% now have 0% GST.
Latest GST tax slab rates for services category
Unlike goods categories, services are categorized under the applicable tax slab rates. No major changes in GST service rates have been announced for service category items. To know the GST rate applicable, the service provider can start from nil GST rates which has the largest number of listed services under it. Several services may become eligible for 0% GST rate after submission of necessary forms or fulfillment of required processes.
Services with 0% GST rates
Comprise of a long list of service items that include:
- Services by autonomous bodies, government bodies, educational institutions, religious institutions, medical, and health care institutions.
- Services provided for charity purpose, arts or culture, charitable sports defined u/s 12 AA of IT act.
- Folk culture performances, performance arts, circus, dance, drama shows for which ticket is not more than Rs. 250 per person.
- Services rendered to a foreign diplomat, UN organizations, and the Indian consulate
- Services of socially benefitting nature.
Services with 5% GST rates
Include the following services:
- Aircrafts leasing by scheduled airline for scheduled operations
- Space selling for print media advertisement
- Tour operator services
- Book printing, newspaper printing
- Natural textile yarn, natural fiber making, animal skin processing
- Polishing and made of precious metals and stones.
Services with 12% GST rates
Include the following services:
- Food and drinks supply at restaurants having AC, central heating but not a liquor license
- Accommodation services charging Rs. 1000 per day and above but less than Rs. 2500 per day.
Services with 18% GST rates
- Air transport of passengers in non-economy class
- Foreman services for chit fund
- Intellectual property rights transfer (permanent/temporary) services barring IT software
- Buildings constructed for sale purpose
- Food and drinks supply at restaurants with liquor serving license, AC, central heating, outdoor catering.
- Accommodation services with charges above Rs 2500 per day but less than Rs 7500 per day.
- Services under bundled foods and drinks supply and accommodation services
- Services listed under section 2 clause 119 of GST Act
- Circus, Indian classical dance, folk dance, theatre performances, cinema with tickets less than Rs. 100
Services with 28% GST rates
Includes accommodation services that charge Rs. 7500 per day or more, entertainment services, sports, race-course, casino, ballet, films.
New GST Rates Table:
Earlier GST rates (%)
New GST rates (%)
Food and Beverages
Household goods of daily use
Medical and health
Infrastructure, fuel, environment
Safety and security
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