Chapter 17: GST Rates and HSN codes for Sugar, Jaggery, Honey & bubble Gums.

HSN means the Harmonized System of Nomenclature code used for classifying goods under GST. This classification is used in Customs, Central Excise and Foreign Trade Policy. The use of HSN codes is to make GST systematic and globally accepted. GST Rates and HSN codes for Sugar, Jaggery, Honey & bubble Gums are mentioned in chapter 17.

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The table given below comprises of the GST rates and HSN codes forSugar, Jaggery, Honey & bubble Gums.

HSN Code

Description

Rate (%)

Effective From

CESS (%)

Related Export / Import HSN Code

1701

Jaggery of all types including Cane Jaggery (gur) and Palmyra Jaggery

NIL

28/06/2017

 

17011200, 17011310, 17011320, 17011390, 17011410, 17011420, 17011490, 17019100, 17019910, 17019990

1701

Beet sugar, cane sugar, (khandsari sugar deleted w.e.f 14/11/2017)

5

28/06/2017

 

17011200, 17011310, 17011320, 17011390, 17011410, 17011420, 17011490, 17019100, 17019910, 17019990

1701

Khandsari sugar

NIL

10/11/2017

 

17011200, 17011310, 17011320, 17011390, 17011410, 17011420, 17011490, 17019100, 17019910, 17019990

1702

Jaggery of all types including Cane Jaggery (gur) and Palmyra Jaggery

NIL

28/06/2017

 

17021110, 17021190, 17021910, 17021990, 17022010, 17022090, 17023010, 17023020, 17023031, 17023039, 17024010, 17024020, 17024031, 17024039, 17025000, 17026010, 17026090, 17029010, 17029020, 17029030, 17029040, 17029050, 17029090

1702

Palmyra sugar, (Inserted w.e.f 14/11/2017 : mishri, batasha, bura, sakar, khadi sakar, harda, sakariya, gatta, kuliya, elaichidana, lukumdana, chikkis like puffed rice chikki, peanut chikki, sesame chikki, til chikki, til patti, til revdi, sugar makhana, groundnut sweets, gajak, khaja, khajuli, anarsa

5

28/06/2017

 

17021110, 17021190, 17021910, 17021990, 17022010, 17022090, 17023010, 17023020, 17023031, 17023039, 17024010, 17024020, 17024031, 17024039, 17025000, 17026010, 17026090, 17029010, 17029020, 17029030, 17029040, 17029050, 17029090

1702

Other sugars, including chemically pure lactose, maltose, glucose and fructose, in solid form; sugar syrups not containing added flavoring or coloring matter; artificial honey, whether or not mixed with natural honey; caramel [other than palmyra sugar and Palmyra jaggery]

18

28/06/2017

 

17021110, 17021190, 17021910, 17021990, 17022010, 17022090, 17023010, 17023020, 17023031, 17023039, 17024010, 17024020, 17024031, 17024039, 17025000, 17026010, 17026090, 17029010, 17029020, 17029030, 17029040, 17029050, 17029090

1703

Molasses

28

28/06/2017

 

17031000, 17039010, 17039090

1704

Sugar confectionery (excluding white chocolate and bubble / chewing gum) [inserted w.e.f 14/11/2017 : other than mishri, batasha, bura, sakar, khadi sakar, harda, sakariya, gatta, kuliya, elaichidana, lukumdana, chikkis like puffed rice chikki, peanut chikki, sesame chikki, til chikki, til patti, til revdi, sugar makhana, groundnut sweets and gajak

18

28/06/2017

 

17041000, 17049010, 17049020, 17049030, 17049090

1704

Chewing gum / bubble gum and white chocolate, not containing cocoa

18

14/11/2017

 

17041000, 17049010, 17049020, 17049030, 17049090

170199

All goods, including refined sugar containing added flavoring or coloring matter, sugar cubes (other than those which attract 5% or nil GST)

12

14/11/2017

   

170191

All goods, including refined sugar containing added flavoring or coloring matter, sugar cubes (other than those which attract 5% or nil GST)

12

14/11/2017

   

 

Disclaimer

The rates given in the above table are as per the 31st GST council meeting which was held on 22nd December 2018. Dissimilarities may be present due to the latest updates made by the government. Make sure to check the “Effective From” column.

FAQs

Is jaggery taxable under GST?

There will be no tax on essential and daily usage commodities like meat, fresh vegetables, natural honey, jaggery, prasadam, kumkum, bindi, pappad and contraceptives. Also, Sindoor, stamps, judicial papers, printed books, newspapers, bangles, handloom etc have been exempt from GST levy

What is the GST rate on sugar?

Sugar and sugar confectioneries are taxable under GST, except for cane jaggery. Beet sugar, cane sugar, palmyra sugar and Khansari sugar attract GST at the rate of 5% of taxable value. Refined sugar containing added flavouring or colouring matter and sugar cubes attract 18% GST.

Who needs a HSN code?

Taxpayers having turnover exceeds Rs. 1.5 crore but up to 5.00 crore will be required to mention only two digits of HSN code. Taxpayers having turnover exceeds Rs 5.00 crore will be required to mention four digits of HSN code.

Got Questions? Ask Away!

  1. Hey @HarishMehta

    From 1st April 2021, Taxpayers with an aggregate Annual Turnover of more than INR 5 Crore during the financial Year 2020-2021 have to mandatorily mention 6 digits of the HSN Code in all tax invoices.

    Businesses with a turnover of up to INR 5 crore in the preceding financial year will be required to mandatorily furnish 4 digit HSN code on B2B invoices.

    Hope this helps!

  2. Hey @Dia_malhotra

    Let’s take an example of Cocoa powder to calculate the GST using the HSN code.

    Cocoa Powder per Kg = INR1,000.
    HSN Code = 18 05 00 00
    GST Rate = 18% (For Cocoa powder, not containing added sugar or sweetening matter)
    Therefore, GST = INR180

    Hope this helps!

  3. Hey,

    What are the consequences of not mentioning or incorrectly mentioning the HSN Code?

  4. Hey @SonalYadav

    It is very crucial to mention the correct HSN/ SAC Code on the tax invoices and Form GSTR-1, barring to do so may attract a penalty of INR 50,000 (INR 25,000 each for CGST and SGST) for non-mentioning or incorrect mention of wrong HSN/ SAC Code under Section 125 of the CGST Act.

    Hope this helps!

  5. Hey @Prasana_Srinivasan, this tool can help

Continue the conversation on TaxQ&A

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