GST for Electrical Items: Appliances and Wiring Products
Quick Summary
- Electrical items like wires, switches, and appliances have specific GST rates based on their type and usage.
- As of September 22, 2025, most electrical items like wires, switches, and appliances have a GST rate of 18%, while LED lights have a lower rate of 5%.
- Before this update, LED lights had a GST rate of 12%, and high-end electronic appliances like large TVs and ACs had a rate of 28%.
- Businesses can claim Input Tax Credit (ITC) on electrical items if they are used for business purposes and the business is GST-registered.
- GST also applies to electrical installation services, with labour charges taxed at 18% and materials taxed based on their type.
Electrical items are an essential part of every home, office, and industrial setup. From wire HSN codes and gst rate to switches and lighting systems, understanding the GST rate and HSN codes for electrical items helps consumers, retailers, and builders manage costs more effectively and stay GST-compliant.
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What Falls Under Electrical Items?
Electrical items include a wide range of products used for power supply, lighting, installation, and household convenience. These are broadly categorized under electrical goods and electronic appliances , with GST rates differing based on usage and type.
New GST on Electrical Items in India
Electrical items such as wires, switches, fans, air conditioners, and home appliances are widely used in residential, commercial, and industrial settings. Under the Goods and Services Tax (GST) system in India, these products are taxed based on their HSN classification and product category.
With the GST rationalisation effective after 22 September 2025, some electrical products such as LED lights and bulbs moved to a lower 5% GST slab, while most electrical equipment and appliances continue to attract 18% GST.
No compensation cess applies to electrical items.
GST Rate on Electrical Items in India
| Electrical Item | HSN Code | GST Rate (After 22 Sept 2025) |
GST Rate (Before 22 Sept 2025) |
|---|---|---|---|
| Wires and cables (PVC, copper) | 8544 | 18% | 18% |
| Electrical switches and sockets | 8536 | 18% | 18% |
| LED lights and bulbs | 9405 | 5% | 12% |
| Ceiling fans | 8414 | 18% | 18% |
| Exhaust fans | 8414 | 18% | 18% |
| Switchboards | 8537 | 18% | 18% |
| Electric water heaters / geysers | 8516 | 18% | 18% |
| Air conditioners (ACs) | 8415 | 18% | 28% |
| Refrigerators | 8418 | 18% | 18% |
| Inverters and batteries | 8504 | 18% | 18% |
| Distribution boards / circuits | 8537 | 18% | 18% |
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
(After 22 Sept 2025) 5%
(Before 22 Sept 2025) 12%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 28%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
GST Rate on Electronic Appliances
| Electronic Appliance | GST Rate (After 22 Sept 2025) |
GST Rate (Before 22 Sept 2025) |
|---|---|---|
| LED TVs (≤32 inches) | 18% | 18% |
| LED TVs (>32 inches) | 18% | 28% |
| Washing machines | 18% | 18% |
| Air conditioners | 18% | 28% |
| Microwave ovens | 18% | 18% |
| Mixers and grinders | 18% | 18% |
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 28%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 28%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
(After 22 Sept 2025) 18%
(Before 22 Sept 2025) 18%
Input Tax Credit on Electrical Items
Businesses—especially those involved in real estate, manufacturing, or electrical retail—can claim Input Tax Credit (ITC) on electrical items used for business purposes.
ITC is applicable when:
- You’re registered under GST
- The items are used for business operations
- You have valid tax invoices from GST-registered suppliers
Note: ITC is not allowed if the items are for personal or non-commercial use.
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GST on Electrical Installations
If you’re offering electrical installation or maintenance services, GST applies to your labour charges and material supply:
- Labour/service component – 18% GST
- Supply of electrical items – taxed based on item type (as listed above)
If the service is offered as a bundled package (materials + installation), it may be taxed as a composite supply, typically at the rate of the principal item.
How to calculate GST on electrical items
To understand how to calculate GST on electrical items, have a look at an example.
A business owner bought 5 bundles of wire and the Cost of ₹1 bundle of wire is 500, and GST rate is @18%
Now, the total gst is ₹ 100 x 5 = ₹ 500 x 18/100 = ₹ 90
Total amount is = ₹500+ ₹ 90= ₹590
Conclusion
By understanding gst for electrical items, buyers and sellers can ensure correct billing, avoid classification errors, and benefit from available tax credits. Whether you’re wiring a home or stocking up for a store, knowing the applicable GST slab helps you plan better.
