As we know, the Infrastructure and Construction Sectors have shifted out of their developing stages. For the past few decades, both governments as well as the Infrastructure play a crucial role in every sector like the construction of highways, schools, buildings, and companies etc. Also, it ensures to bring employment to the workers. In this article, we will discuss the GST Rate on Building Materials like Cement, Roofing Sheets, and Pipes.
Before comprehending the method, now you require to assure some facts about the GST (Goods and Services tax).
Understand About GST
GST is an ultimate Indirect Tax that has imposed on sale, production, and consumption of goods and assistance over the nation. It is a separate tax proper for the supply of goods from the operator to the user. GST is acceptable only on purpose extension at each stage. Although, GST registration is essential for registering the businesses.
GST Rate on Building Materials:
GST Rate on Cement
Cement is subject to GST at a rate of 28%. Such a high rate of tax is significantly responsible for increasing the cost of the infrastructure sector.
NOTE – GST on Cement categorised under SAC Code 995454 will be taxable at 28% GST
GST Rate on Pipes
Pipes are subject to GST at a rate of 12%. Such a high rate of tax is considerably accountable for increasing the cost of the infrastructure sector.
GST Rate on Roofing Sheets
Roofing sheets are subject to GST at a rate of 18%. Such a high rate of tax is extensively accountable for increasing the cost of the infrastructure sector.
SAC Code applicable for Construction
The additional SAC (Service Accounting Code) has organized for the several Cement Industry in India.
- SAC Code 9954 – Refractory cement concretes and mortars applied for building industrial furnaces and ovens
- SAC Code 99545 – Special Trade Construction Services
- SAC Code 995454– Concrete services
In case, you require any kind of direction related to the GST registration, GST return filing procedure, or any other GST compliance, please feel free to communicate our business advisors at 8881-069-069.
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