GST Rate for Milk, Dairy Products, Egg and Honey

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GST council initiated GST Rates from 1st July 2017. Various goods and services have different GST rates. These rates generally gather tax at 5%, 12%, 18%, and 28% depending upon the nature of goods and services. These rates are determined by the GST Council in India. In this article, let’s read about the GST Rate for Milk, dairy products, eggs, and Honey.

Know About GST

Goods and Services Tax is popularly and shortly known as GST. It is an indirect tax that fused all the other taxes, such as excise duty, VAT, services tax, etc. GSTs are of three types. These types are as follows.

  • Central Goods and Service Tax (CGST),
  • State Goods and Services Tax (SGST)
  • and Integrated Goods and Services Tax (IGST).

Businesses, also need to do GST Registration to avail the benefits of GST. All the Goods and services are taxed at different rates.

GST Rate on Milk and Dairy Products

The GST for Milk and products derived from Milk is different. The detailed list of GST on various milk items is as follows.

Milk Products Having NIL GST rate.

  • Simple and Plain Fresh Milk, pasteurized Milk that is not concentrated and doesn’t contain added sugar or other sweetening matter, has a nil GST Rate.
  • Curd, Lassi, and Buttermilk also have Nil Rate.

Milk Products Having 5% GST rate.

  •  Ultra-High Temperature (UHT) milk [0401] has a GST rate of 5%.
  • GST for Milk and cream concentrated or containing added sugar or other sweetening matter, including skimmed milk powder, milk food for babies, is 5 %.
  • GST for Whey, whether or not concentrated or containing added sugar or other sweetening matter; products consisting of natural milk constituents is 5%.
  • Chena or paneer put up in the container and has a registered brand name also has a GST rate of 5%.

Milk Products Having 12% GST rate.

  • Butter and other fats (ghee, butter oil, etc.) and oils derived from Milk have a 12 % GST.

Milk Products Having 18% GST rate.

  • Only Condensed Milk attracts a GST of 18%.

GST Rate for Eggs 

  • Birds’ eggs, not in shell, and egg yolks, fresh and dried, cooked by steaming or boiled in water, moulded or frozen eggs have 5% GST.

GST Rate for Honey

  • Similarly, natural Honey stored in containers having a registered brand name attracts 5% GST.

SAC Code applicable for Food items

The following SAC (Service Accounting Code) has established for the food items in India.

  •  0401 Ultra-High Temperature, fresh and pasteurized milk
  • 0402 Milk and Cream
  • 0403 Curd, lassi, buttermilk and curd
  • 0404 Whey
  • 0406 Paneer or Cheese
  • 0407 Bird Eggs in the shell
  • 0408 Bird eggs not in the shell
  • 0409 Natural Honey
  • 0410 Edible products of animal origin
  • 04029920 Condensed Milk

GST on Marble and Granite

If you want any other guidance related to GST Registration or GST Return filing, please feel free to talk to our business advisors at 8881-069-069.

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