Air Conditioner HSN Code: Understanding HSN Classifications for Air Conditioners
Air conditioners are common in homes, offices, shops and vehicles. Under GST, every air conditioner must be billed with the correct HSN code so that the GST rate, input tax credit and reporting are correct.
This guide explains the main air conditioner HSN code, how it applies to different types of units such as split and window models and how GST is charged on these products in the current slab structure.
What Is the Air Conditioner HSN Code?
In GST, goods are classified using HSN codes. These codes come from the Harmonised System of Nomenclature and help group similar products for tax purposes.
Air conditioners are classified under chapter 84, which covers machinery and mechanical appliances. Within this chapter, the main HSN code for air conditioners is 8415. This heading covers air conditioning machines with a motor driven fan and parts that change the temperature and humidity of air.
Most room air conditioners that you see in houses and offices, whether they are split units, window units or compact wall units, are covered under this heading 8415. Large central air conditioning systems and many vehicle air conditioning units also fall under the same chapter and heading.
When you use HSN code 8415 on your tax invoice, you show that the item is an air conditioning machine. This helps your accounting software and GST returns pick the correct GST rate for that class of goods.
| HSN Code | Product Description | Product Type or Variant | GST Rate |
|---|---|---|---|
| 8415 | Air conditioning machines | General room, building and vehicle air conditioners | 18% |
| 84151010 | Fixed window and split room air conditioners | Window and split AC units for homes and offices | 18% |
| 84151090 | Other fixed type air conditioning machines | Fixed AC machines not covered under 84151010 | 18% |
| 841520 | Air conditioning machines for motor vehicles | AC units of a kind used in motor vehicles | 18% |
| 841581 | Air conditioning machines with separate refrigerating unit | Special AC systems with separate refrigerating unit | 18% |
| 841582 | Air conditioning machines not incorporating a refrigerating unit | Special AC systems without complete refrigerating unit | 18% |
| 841583 | Other air conditioning machines of heading 8415 | Other specialised or packaged AC systems | 18% |
HSN Code for Different Types of Air Conditioners
Under heading 8415, there are more detailed HSN codes that describe different designs and uses of air conditioners.
Window and wall mounted air conditioners that are self contained or split units are placed in the 841510 series. For example, 84151010 covers many fixed window and split room air conditioners sold for homes and offices.
Other fixed type air conditioning machines that do not fall exactly in the first group are placed in codes such as 84151090 or nearby lines within the same heading.
Air conditioners used in motor vehicles are usually placed under codes in the 841520 series, which cover air conditioning machines of a kind used for persons in motor vehicles.
Some air conditioning machines are built as special systems with a separate refrigerating unit or as units that do not have the complete refrigerating part inside. These are covered under codes in the 841581, 841582 and 841583 series.
Even though these units use different detailed HSN lines, all of them still sit inside the same main heading 8415. So split and window room air conditioners are not given a totally separate heading. They remain part of the same air conditioner family for GST classification.
GST on Air Conditioners and HSN Code Classification
The HSN code tells you that the product is an air conditioner. The GST rate then follows the rate fixed for that heading by the GST Council.
Earlier, air conditioners under 8415 were taxed at 28 % GST because they were placed in a higher slab. Under the new GST structure with three main slabs, air conditioners have moved to the standard slab for many consumer goods.
At present, most common air conditioners under HSN 8415 attract GST at 18 % . This rate generally applies to split and window room air conditioners, many vehicle air conditioning units and many central or packaged systems covered by the same heading.
Special models that use other technologies or qualify for special incentive schemes can have different treatment. In such cases, the wording of the rate entry and any linked notification has to be read carefully before fixing the rate.
The GST rate does not usually change only because the unit is split, window or cassette. The type of unit decides which detailed HSN line is used under 8415, but all of them usually share the same GST slab in the current structure.
Installations and repair services for air conditioners are treated as services. When these services are billed separately, they are normally taxed at 18 % as service supplies even though the machine itself is classified under 8415 as goods.
Conclusion
The air conditioner HSN code plays a key role in deciding how GST applies to cooling products for homes, offices, shops and vehicles. All common air conditioners are grouped under heading 8415 and then placed into suitable detailed codes based on their design and use.
When you select the correct HSN code 8415 and its detailed line for each model and then apply the correct GST rate, usually 18 % in the present slab system, your invoices stay accurate and your input tax credit remains safe. A clear HSN master for split units, window units, central systems and vehicle air conditioners makes GST billing and filing much easier for your business.
Jagdish Prasad is a Chartered Accountant with over 5 years of experience. He helps people and businesses with GST, income tax, and HSN codes. Jagdish makes sure his clients follow all tax rules and save money the right way. He also enjoys writing simple articles to help others understand taxes and stay updated with the latest rules.
Frequently Asked Questions
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What is the HSN code for air conditioners?
The main HSN code for air conditioners is 8415. This heading covers air conditioning machines that use a motor driven fan and parts to change the temperature and humidity of air for rooms, buildings and vehicles.
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How does the HSN code for air conditioners impact GST?
The HSN code 8415 tells the GST system that the product is an air conditioner. Based on this classification, the GST rate for that heading is applied, which is now usually 18 % for most air conditioners, and input tax credit is allowed according to the rules for that category of goods.
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Are different types of air conditioners split and window classified under separate HSN codes?
Split and window air conditioners do not have totally separate headings. They are classified under detailed lines inside heading 8415 such as the 841510 series, but for GST purposes they remain part of the same air conditioner group and usually share the same GST slab.
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How does GST apply to air conditioners under the HSN code?
Under the present slab system, air conditioners under HSN 8415 are normally taxed at 18 % GST. The rate is calculated on the taxable value of the machine, and businesses can claim input tax credit when the air conditioner is used for business purposes and all GST rules are followed.
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Are air conditioning units taxed differently depending on the type?
Most room air conditioners such as split and window units are taxed at the same GST rate because they fall under the same heading 8415. Some special systems or vehicle units may have particular conditions, but in general the slab is the same and only the detailed HSN line is different.