GST on Paints: What You Should Know

If you’re building a new home, renovating, or running a paint business, it’s important to understand how the Goods and Services Tax (GST) affects the cost of paints. This blog breaks down everything you need to know about gst on paints in India—from rates to billing and impact on pricing.

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    GST Rate on Paints

    Paints are classified under HSN Code 3208 and are taxed at a 28% GST rate, which is one of the highest slabs under GST. This rate applies to most types of paints, including:

    • Water-based paints
    • Oil-based paints
    • Emulsions
    • Distempers
    • Varnishes
    • Enamels
    • Primers

    Whether you’re buying paint for home use or stocking up as a dealer, this paint GST rate is uniform across India.

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    HSN Code and GST Classification

    Product HSN Code GST Rate
    Paints and varnishes (based on synthetic polymers or acrylics) 3208 28%
    Water-based pigments 3209 28%
    Dyes and coloring matter 3204 18%
    Artist and school colors 3213 12%

    Note: Basic industrial colorants may fall under lower tax rates depending on use.

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    GST Impact on Paint Prices

    Since GST for paint is charged at 28%, the final price increases significantly, especially when buying in bulk or purchasing premium brands.

    Example:

    • Paint Base Price: ₹1,000
    • GST @28%: ₹280
    • Final Price: ₹1,280

    So, if you’re repainting your house, the overall material cost will go up due to this high GST rate.

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    GST Compliance for Paint Dealers

    • You must charge 28% GST on all invoices
    • You can claim Input Tax Credit (ITC) on GST paid for purchases (raw materials, transport, etc.)
    • Make sure your bills clearly mention the correct HSN code and GST breakup

    Staying compliant ensures smoother operations and helps you avoid tax penalties.

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    GST on Industrial Paints

    The GST on paints used in the industrial sector (like for machinery, automotive bodies, etc.) also falls under the same 28% bracket. However, businesses can recover this tax through ITC if the paints are used in the course of business or manufacturing.

    Are There Any Exemptions?

    Currently, there are no GST exemptions on paints. Whether it’s household paint or commercial-grade material, GST is charged without exception.

    Conclusion

    Understanding gst on paints helps you plan your home projects or business pricing better. Whether you’re a consumer or a dealer, knowing the tax rate ensures you’re not caught off guard at the billing counter.

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