Water Cooler GST Rate: Domestic and Industrial Use
Water coolers are essential for homes, offices, schools, hospitals, and factories—providing access to cold drinking water, especially during hot Indian summers. But whether you’re buying one for home or business, it’s important to know the water cooler GST rate. This blog explains how GST applies to different types of water coolers, from household dispensers to industrial chillers.
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Is GST Applicable on Water Coolers?
Yes. Under the GST (Goods and Services Tax) regime, water coolers are classified as electrical appliances under HSN Code 8418, which includes:
- Water coolers
- Refrigerated dispensers
- Cooling cabinets
- Industrial chillers
GST on Water Cooler in India
| Water Cooler Type | HSN Code | GST Rate |
|---|---|---|
| Domestic water coolers (small units) | 8418 | 18% |
| Bottled water dispensers | 8418 | 18% |
| Industrial water coolers/chillers | 8418 | 18% |
| Solar-powered water cooling systems | 8418 / 8419 | 12% or 18% |
Domestic vs Industrial Water Cooler GST Comparison
| Category | Usage | GST Rate | Remarks |
|---|---|---|---|
| Domestic | Homes, small offices | 18% | Plug-and-use coolers |
| Industrial | Factories, large canteens | 18% | High-capacity cooling machines |
| Water dispenser | Offices, reception areas | 18% | Includes heating/cooling combo |
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Input Tax Credit on Water Cooler Purchases
If you’re a business buying water coolers for:
- Office premises
- Hospitals or clinics
- Retail or factory floors
- Schools, colleges, or institutions
You can claim Input Tax Credit on the GST paid, as long as it’s for business use.
GST on Water Cooler Repair and AMC Services
| Service Type | SAC Code | GST Rate |
|---|---|---|
| Water cooler repair | 9987 | 18% |
| AMC or maintenance plans | 9987 | 18% |
Whether you’re a homeowner buying a dispenser or a facility manager purchasing industrial coolers, understanding the GST on water cooler helps with pricing, GST invoices and returns, and claiming Input Tax Credit (ITC) where applicable.
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I am a chartered accountant with over 14 years of experience. I understand income tax, GST, and balancing financial records. I analyze financial statements and tax codes effectively. However, I also have a passion for writing, which is different from working with numbers. Recently, I started writing articles and blog posts. My goal is to make finance easier for everyday people to understand.
Frequently Asked Questions (FAQs)
- What is the GST rate on water cooler in India?The standard GST rate is 18%, regardless of whether it’s used for home or industrial purposes.
- Can I claim ITC on water coolers bought for office?Yes, businesses can claim Input Tax Credit on water coolers used for work purposes.
- Is GST applicable on water cooler repairs or AMC services?Yes. These are taxable at 18% GST as per service tax norms.
- Are solar or eco-friendly water coolers taxed differently?Some solar-based models may fall under 12% GST, but classification depends on technical composition and invoice details.
- What HSN code is used for water coolers?HSN Code 8418 is used for all refrigerating and water cooling appliances.
