This May we had published a preliminary guide on expected GST rates for the rooftop solar industry. Now that the dust has settled, the final rates are clear. Below information serves as a ready reference for the GST rates applicable along with relevant HSN codes for the solar industry in India:
|Item||HSN/SAC Code||GST Rate Applicable|
|Solar Lantern with Modules||85 (4/6 digit code awaited)||5|
|Solar Power Generating Systems||85 (4/6 digit code awaited)||5|
|GI Mounting Structure||7308||18|
|Al Mounting Structure||7610||18|
|Solar Water Heater & System||8419||5|
|Erection, Installation & Comissioning Services||9954||18|
*The GST rate applicable on solar inverters is still under debate with some vendors invoicing at 5% GST and others at 28%.
In addition to this, the rates applicable on the various components required in the assembly of solar panels are below:
|Item||HSN Code||GST Rate Applicable|
|Solar PV Ribbon||7409||18|
Hope this quick reference is helpful, do drop a comment in case you have more inputs. From all of us as Sunkalp Energy, good luck with the transition to the new tax regime!