Camphor GST Rate in India: Tax on Religious and Household Use
Camphor (or kapoor) is widely used across India for religious rituals, aromatherapy, and even as a household repellent. But is it taxed under GST? And does it matter whether it’s in tablet, crystal, or powder form? In this blog, we’ll explain the camphor GST rate, including usage-based classification and how it’s taxed for religious or commercial use.
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Is Camphor Taxable Under GST?
Yes, camphor is taxable under Goods and Services Tax (GST), but the rate depends on its composition and use. The key factor is whether it’s classified as:
- A medicinal/pharmaceutical product
- A religious or household item
- A cosmetic or industrial product
GST Rate on Camphor in India
| Camphor Type | HSN Code | GST Rate |
|---|---|---|
| Religious camphor (used in puja) | 3307 | 12% |
| Camphor powder (non-medicinal use) | 3307 | 12% |
| Camphor in medicinal formulations | 3003 / 3004 | Exempt / 5% |
| Synthetic camphor (industrial grade) | 2914 | 18% |
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GST on Camphor Powder
| Form | Purpose | GST Rate |
|---|---|---|
| Camphor powder | Puja & fragrance use | 12% |
| Camphor tablets | Puja rituals | 12% |
| Camphor powder (cosmetic) | Added in creams | 18% |
Who Needs to Know the Correct Camphor GST Rate?
- Religious supply stores
- Ayurvedic product makers
- Cosmetic and fragrance brands
- FMCG distributors and wholesalers
- Online platforms selling puja items
Input Tax Credit (ITC) Eligibility
If you’re a retailer or business dealing in camphor:
- You can claim Input Tax Credit on GST paid for wholesale purchases
- Ensure invoices mention the correct HSN code and GST rate
- Maintain records of product purpose and buyer classification
Understanding the camphor GST rate is especially important for sellers, buyers, and resellers of spiritual and daily-use household goods. Whether you’re buying for rituals or for resale, 12% is the standard slab, unless the product is medicinal or industrial.
I am a Chartered Accountant with over 20 years of experience and a finance content writer. I focus on educating people about finance and taxation. I have written many blog posts on finance, taxation, trading, and investment on the BUSY website. My goal is to increase financial understanding by making complex concepts easier to grasp and to support educational programs in India.
Frequently Asked Questions (FAQs)
- What is the GST on camphor in India?The standard rate is 12% for religious and household use camphor.
- What is the GST on camphor powder?Camphor powder used for puja or fragrance is taxed at 12%. Cosmetic or medicinal blends may vary.
- Is camphor used in puja GST-free?No, it is taxable at 12% under HSN 3307, even if used for religious purposes.
- Are medicinal camphor products taxed differently?Yes. If camphor is part of a medical preparation, it may attract 5% GST or be exempt, depending on the formulation.
- Can retailers claim ITC on camphor purchases?Yes, if they’re GST-registered and selling taxable camphor products, Input Tax Credit can be claimed.
