{"id":13481,"date":"2024-11-14T13:14:28","date_gmt":"2024-11-14T07:44:28","guid":{"rendered":"https:\/\/razorpay.com\/learn\/?p=13481"},"modified":"2025-09-30T11:48:25","modified_gmt":"2025-09-30T06:18:25","slug":"gst-on-medicines","status":"publish","type":"post","link":"https:\/\/razorpay.com\/learn\/gst-on-medicines\/","title":{"rendered":"GST on Medicines and Medical Services in India"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_80 counter-hierarchy ez-toc-counter ez-toc-transparent ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69eb9d514051a\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69eb9d514051a\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/razorpay.com\/learn\/gst-on-medicines\/#What-is-the-GST-on-Medicines\" >What is the GST on Medicines?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/razorpay.com\/learn\/gst-on-medicines\/#GST-Exempt-Medicines-and-Medical-Supplies-List\" >GST Exempt Medicines and Medical Supplies List<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/razorpay.com\/learn\/gst-on-medicines\/#5-Percent-GST-on-Medicines-and-Other-Medical-Supplies-in-India\" >5 Percent GST on Medicines and Other Medical Supplies in India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/razorpay.com\/learn\/gst-on-medicines\/#GST-on-Medical-Services\" >GST on Medical Services<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/razorpay.com\/learn\/gst-on-medicines\/#GST-on-Ayurvedic-Medicines\" >GST on Ayurvedic Medicines<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/razorpay.com\/learn\/gst-on-medicines\/#5-GST-on-Proprietary-Ayurvedic-Medicines\" >5% GST on Proprietary Ayurvedic Medicines<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/razorpay.com\/learn\/gst-on-medicines\/#How-to-Calculate-GST-on-Medicines\" >How to Calculate GST on Medicines?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/razorpay.com\/learn\/gst-on-medicines\/#GST-on-Medicines-Pre-GST-vs-Post-GST\" >GST on Medicines: Pre GST vs Post GST<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/razorpay.com\/learn\/gst-on-medicines\/#Impact-of-GST-on-the-Healthcare-Industry\" >Impact of GST on the Healthcare Industry<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/razorpay.com\/learn\/gst-on-medicines\/#Frequently-Asked-Questions-FAQs\" >Frequently Asked Questions (FAQs)<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"What-is-the-GST-on-Medicines\"><\/span>What is the GST on Medicines?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The Goods and Services Tax (GST) on medicines is levied at varying rates depending on the type of medicine or pharmaceutical product. The GST rates range from 0% to 18% and are categorized as follows:<\/p>\n<table dir=\"ltr\" border=\"1\" cellspacing=\"0\" cellpadding=\"0\" data-sheets-root=\"1\" data-sheets-baot=\"1\">\n<colgroup>\n<col width=\"297\" \/>\n<col width=\"100\" \/><\/colgroup>\n<tbody>\n<tr>\n<td>\n<h3>Medicine Type<\/h3>\n<\/td>\n<td>\n<h3>GST Rate<\/h3>\n<\/td>\n<\/tr>\n<tr>\n<td>GST on Essential medicines<\/td>\n<td>5%<\/td>\n<\/tr>\n<tr>\n<td>GST on Life-saving drugs<\/td>\n<td>5%<\/td>\n<\/tr>\n<tr>\n<td>GST on Homeopathic medicines<\/td>\n<td>12%<\/td>\n<\/tr>\n<tr>\n<td>GST on Allopathic medicines<\/td>\n<td>12%<\/td>\n<\/tr>\n<tr>\n<td>GST on Ayurvedic, Unani, Siddha medicines<\/td>\n<td>12%<\/td>\n<\/tr>\n<tr>\n<td>GST on Veterinary medicines<\/td>\n<td>12%<\/td>\n<\/tr>\n<tr>\n<td>GST on Medicaments used in bio-chemic systems<\/td>\n<td>12%<\/td>\n<\/tr>\n<tr>\n<td>GST on Medicaments for therapeutic or prophylactic uses<\/td>\n<td>12%<\/td>\n<\/tr>\n<tr>\n<td>GST on Medicaments containing hormones or steroids<\/td>\n<td>12%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>&nbsp;<\/p>\n<p><em><strong>Related Read:<\/strong> <\/em><a href=\"https:\/\/razorpay.com\/learn\/gst-exemption\/\">List of Goods and Services Exempt Under GST<\/a><\/p>\n<h2><span class=\"ez-toc-section\" id=\"GST-Exempt-Medicines-and-Medical-Supplies-List\"><\/span>GST Exempt Medicines and Medical Supplies List<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Certain essential medicines and medical supplies are exempt from GST, meaning they fall under the Nil GST rate category. These exemptions are primarily in place to ensure that life-saving drugs and critical medical supplies remain affordable and accessible to the general public.<\/span><\/p>\n<p><strong>The following are some medicines and pharmaceutical products exempted under GST.<\/strong><\/p>\n<table style=\"height: 1052px;\" width=\"777\">\n<tbody>\n<tr>\n<td>\n<h3><b>Category<\/b><\/h3>\n<\/td>\n<td>\n<h3><b>Products<\/b><\/h3>\n<\/td>\n<td>\n<h3><b>GST Rate<\/b><\/h3>\n<\/td>\n<td>\n<h3><b>HSN Code<\/b><\/h3>\n<\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">1. Essential Medicines<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Human blood and its components<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">0%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3002<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">2. Vaccines<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Vaccines exclusively used for polio eradication (Pulse Polio Program)<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">0%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3002<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">3. Organs and Body Parts<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">All human organs for transplant, including kidney, liver, heart<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">0%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3006<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">4. Contraceptives<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Contraceptives and other devices used for family planning<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">0%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3006<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">5. Medical Supplies<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Any medicinal supplies used in critical care or essential medical services that are notified for exemption<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">0%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3004<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">6. Sanitary Products<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Sanitary napkins and tampons<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">0%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9619<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">7. Cancer drugs<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Cancer drugs such as Trastuzumab Deruxtecan, Osimertinib, and Durvalumab<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">0%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9804<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">8. Medical Services (non-exempt)<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Health \/ medical services by clinics \/ hospitals not exempt<\/span><\/td>\n<td><span style=\"font-weight: 400;\">0% \/ Exempt<\/span><\/td>\n<td><span style=\"font-weight: 400;\">N\/A<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2><span class=\"ez-toc-section\" id=\"5-Percent-GST-on-Medicines-and-Other-Medical-Supplies-in-India\"><\/span><b>5 Percent GST on Medicines and Other Medical Supplies in India<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">A 5% GST rate applies to a broad category of medicines and medical supplies. This lower tax rate balances the need for government revenue to make essential medicines affordable. <\/span><\/p>\n<p><strong>The following is the list of medicines and other medical supplies that attract a 5% GST rate.<\/strong><\/p>\n<table>\n<tbody>\n<tr>\n<td>\n<h3><b>Category<\/b><\/h3>\n<\/td>\n<td>\n<h3><b>Products<\/b><\/h3>\n<\/td>\n<td>\n<h3><b>GST Rate<\/b><\/h3>\n<\/td>\n<td>\n<h3><b>HSN Code<\/b><\/h3>\n<\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">1. Vaccines and Diagnostic Kits<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Animal or human blood vaccines<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Diagnostic kits for the detection of all types of hepatitis<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">COVID-19 diagnostic test kits<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Influenza Vaccine<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">BCG vaccine<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3002<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">9. Medicines and Injections<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Insulin<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Oral rehydration salts<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Desferrioxamine injection or deferiprone<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Cyclosporin<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Dopamine, Penicillamine, Protamine (and other specified drugs in List 1 of central excise notification 12\/2012)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Streptomycin, Pyrazinamide, Hydrocortisone, Quinine (and other specified drugs in List 2 of central excise notification 12\/2012)<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3003, 3004<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">10. Assistive and Rehabilitation Devices<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Artificial limbs<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Orthopedic appliances (including crutches, surgical belts, and trusses)<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Parts of wheelchairs, tricycles, braillers, crutches, and walking frames<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Assistive devices and rehabilitation aids for the disabled (including braille writers, electronic aids like sonic guides, braille paper, and cochlear implants)<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9021, 8714, 9018<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">11. Medical Equipment<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Artificial kidneys<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Disposable sterilized dialyzer or micro barrier of artificial kidney<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Ostomy Appliances<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Coronary stents\/stent systems for use with cardiac catheters<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9018, 9021<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">12. Other Essential Products<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Medicaments used in biochemical systems not bearing a brand name<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Milk food for babies<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%\/Nil<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3004, 1901<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">13. Blood and Immunological Products<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Animal blood for therapeutic, prophylactic, or diagnostic uses<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Antisera and other blood fractions and modified immunological products<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%\/Nil<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3002<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">14. Toxins and Microorganism Cultures<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Toxins, cultures of microorganisms (excluding yeasts) and similar products<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3002<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">15. Mixed Medicaments<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Medicaments comprising two or more constituents that have been mixed for therapeutic or prophylactic uses, not in measured doses or retail sale (includes ayurvedic, homeopathic, Unani, Siddha, or biochemical systems medicines)<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3003<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">16. Retail Medicaments<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Medicaments comprising mixed or unmixed products for therapeutic or prophylactic uses, in measured doses or forms or packings for retail sale (includes ayurvedic, homeopathic, Unani, Siddha, or biochemical systems medicines)<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%\/Nil<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3004<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">17. Wadding and Bandages<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Wadding, bandages, gauze, and similar articles, impregnated or coated with pharmaceutical substances, for retail sale for surgical, medical, dental, or veterinary purposes<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3005<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">18. Pharmaceutical Goods<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Pharmaceutical goods specified in Note 4 (includes sterile surgical catgut, sterile tissue adhesives, sterile laminaria tents, etc.)<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3006<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">19. Tooth Powder<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Tooth powder<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3306<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">20. Feeding Bottles and Nipples<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Feeding bottles and nipples of feeding bottles<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3924<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">21. Rubber Gloves<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Surgical rubber gloves or medical examination rubber gloves<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">4015<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">22. Medical Instruments and Appliances<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Instruments and appliances used in surgical, medical, dental, or veterinary sciences (includes scintigraphic apparatus, electro-medical apparatus, and sight-testing instruments)<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9018<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">23. Mechano-Therapy and Breathing Appliances<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Mechano-therapy appliances, massage apparatus, ozone therapy, oxygen therapy, artificial respiration, aerosol therapy apparatus<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9019<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">24. Breathing Appliances and Gas Masks<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Breathing appliances and gas masks, excluding protective masks without replaceable filters or mechanical parts<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9020<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">25. X-ray Products<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Photographic film and plates for X-rays for medical use<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">X-ray machines and similar apparatus for surgical, medical, dental, or veterinary uses<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3701, 9022<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">26. Other Drugs and Medicines<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Other drugs and medicines intended for personal use<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3004<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">27. Enzymes<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Enzymes and prepared enzymes<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3507<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">28. Contact Lenses and Spectacles<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Contact lenses, spectacle lenses, and corrective spectacles<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9001<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">29. Glands and Organo-Therapeutic Products<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Glands and other organs for organo-therapeutic use, extracts of glands or their secretions<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3001<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">30. Diabetic Foods<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Diabetic foods<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">2106<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">31. Blood Glucose Monitoring System<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Blood glucose monitoring system (glucometer) and test strips<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9027<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">32. Medical Grade Oxygen<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Medical grade oxygen, medical grade hydrogen peroxide<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">2804<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">33. Anti-Inflammatory Drugs<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Non-steroidal anti-inflammatory drugs (NSAIDs) like Ibuprofen, Diclofenac<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3004<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">34. Gastrointestinal Agents<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Medicines for gastrointestinal disorders like Omeprazole, Pantoprazole<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3004<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">35. Antiviral Medicines<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Antiviral drugs like Oseltamivir (Tamiflu)<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3004<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">36. Hormonal Treatments<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Hormonal medications like Estrogen, Testosterone, and related treatments<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3004<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">37. Antihypertensive Medicines<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Blood pressure medications like Amlodipine, Lisinopril<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3004<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">38. Hygienic and Pharmaceutical Articles<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Hygienic articles such as teats, hot water bottles, ice bags, etc.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Preparations for oral or dental hygiene (including dental floss) sold in individual retail packages<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3924, 3306<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">38. Medical and Surgical Furniture<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Surgical, medical, dental, or veterinary furniture (e.g., operating tables, hospital beds, examination tables) with mechanical fittings<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Dentists\u2019 chairs, barbers\u2019 chairs, etc.<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9402<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">39. Personal Care Items<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Razors and razor blades<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Organic surface-active products and preparations for washing the skin, whether or not containing soap<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">8212, 3401<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">40. Measurement Instruments<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Infrared thermometers, pyrometers, barometers, psychrometers, and hygrometers<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">9025<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">41. Diagnostic Products<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Diagnostic reagents and kits (not falling under lower GST rates)<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3002<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">42. Bandages and Dressings<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Bandages, dressings, and similar articles not covered under lower GST rates<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3005<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">43. Dental Products<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Dental materials such as filling compounds and restorative materials<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3306<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">44. Laboratory Supplies<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Laboratory glassware and equipment used for medical testing and diagnosis<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">7013<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">45. Contact Lens Solutions<\/span><\/td>\n<td>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Solutions and cleaners for contact lenses<\/span><\/li>\n<\/ul>\n<\/td>\n<td><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3307<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>&nbsp;<\/p>\n<h2><span class=\"ez-toc-section\" id=\"GST-on-Medical-Services\"><\/span><b>GST on Medical Services<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">All Non-Intensive Care Unit (ICU)\/Critical Care Unit (CCU)\/Intensive Cardiac Care Unit (ICCU)\/Neonatal Intensive Care Unit (NICU) room rents in a hospital or clinical establishment exceeding Rs.5,000 per day will be liable to GST at 5% (without <a href=\"https:\/\/razorpay.com\/learn\/input-tax-credit-under-gst\/\">input tax credit<\/a>). It has been applied with effect since 18th July 2022.<\/span><\/p>\n<p><strong>Any medical services rendered in the following ways will attract a nil or 0% GST rate:<\/strong><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Use of Intensive Care Unit (ICU) Critical Care Unit (CCU) Intensive Cardiac Care Unit (ICCU) or Neonatal Intensive Care Unit (NICU) rooms.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Health care services by a clinical establishment, or an authorized medical practitioner or para-medics, except for renting of rooms, other than the above, where the room charges do not exceed Rs.5,000 per day, to a person receiving such health care services.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Transportation of a patient in an ambulance, other than the services specified above.<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"GST-on-Ayurvedic-Medicines\"><\/span><b>GST on Ayurvedic Medicines<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The GST rate on Ayurvedic medicines is typically 12%, aligning with the rate for other non-essential pharmaceutical products. This tax rate applies to various Ayurvedic products, including herbal supplements, medicinal oils, and traditional remedies.\u00a0<\/span><\/p>\n<h3><b>5% GST on Pure Ayurvedic Medicines<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Traditional Ayurvedic medicines that are composed entirely of natural ingredients, such as herbs and minerals, fall into this category. These formulations adhere strictly to classical Ayurvedic texts and are typically unbranded and non-patented. Given their importance in maintaining health, they are taxed at a lower rate of 5%.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"5-GST-on-Proprietary-Ayurvedic-Medicines\"><\/span><strong>5% GST on Proprietary Ayurvedic Medicines<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">This category includes Ayurvedic products marketed under specific brand names that may incorporate modern ingredients or proprietary blends, diverging from traditional recipes. These products are considered less essential than purely traditional formulations, resulting in a higher GST rate of 5%.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"How-to-Calculate-GST-on-Medicines\"><\/span><b>How to Calculate GST on Medicines?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Calculating GST on medicines is a straightforward process that involves the following steps:<\/span><\/p>\n<h3><b>STEP 1: Identify the Applicable GST Rate<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Determine the specific GST rate for the medicine. Essential medicines typically attract a 5% GST rate.<\/span><\/p>\n<h3><b>STEP 2: Determine the Base Price<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Obtain the base price of the medicine before GST is added. This is the price set by the manufacturer or distributor.<\/span><\/p>\n<h3><b>STEP 3: Calculate the GST Amount<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Use the following formula to calculate the GST amount:\u00a0<\/span><\/p>\n<p style=\"text-align: center;\"><b>GST amount = Base price \u00d7 (GST rate \/ 100\u200b)<\/b><\/p>\n<h3><b>STEP 4: Calculate the Final Price<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Add the GST amount to the base price to determine the final price of the medicine.<\/span><\/p>\n<h4><b>Example<\/b><span style=\"font-weight: 400;\">:<\/span><\/h4>\n<p><span style=\"font-weight: 400;\">If the base price of a medicine is Rs. 200 and the GST rate is 5%, the calculation would be:<\/span><\/p>\n<p><span style=\"font-weight: 400;\">GST amount = Rs. 200 \u00d7 (5\/100) = Rs. 10<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Final price = Rs. 200 + Rs. 10 = Rs. 210<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"GST-on-Medicines-Pre-GST-vs-Post-GST\"><\/span><b>GST on Medicines: Pre GST vs Post GST<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table>\n<tbody>\n<tr>\n<td>\n<h3><b>Particulars<\/b><\/h3>\n<\/td>\n<td>\n<h3><b>Pre-GST (Rs.)<\/b><\/h3>\n<\/td>\n<td>\n<h3><b>Post-GST (Rs.)<\/b><\/h3>\n<\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Cost of manufacturing of one pack of XYZ tablets (A)<\/span><\/td>\n<td><span style=\"font-weight: 400;\">120<\/span><\/td>\n<td><span style=\"font-weight: 400;\">120<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Central Excise Duty (CED) at 5% on 60% of MRP (B)<\/span><\/td>\n<td><span style=\"font-weight: 400;\">3.43<\/span><\/td>\n<td><span style=\"font-weight: 400;\">\u2014<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">VAT at 5% (On A+B)<\/span><\/td>\n<td><span style=\"font-weight: 400;\">6.53<\/span><\/td>\n<td><span style=\"font-weight: 400;\">\u2014<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">GST at 5%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">\u2014<\/span><\/td>\n<td><span style=\"font-weight: 400;\">2.4<\/span><\/td>\n<\/tr>\n<tr>\n<td><b>Final Sale Price<\/b><\/td>\n<td><b>130<\/b><\/td>\n<td><b>124.4<\/b><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h3><b>Analysis<\/b><span style=\"font-weight: 400;\">:<\/span><\/h3>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li><b>Pre-GST: <\/b><span style=\"font-weight: 400;\">The total tax burden on the medicine was 8.93% (5% CED + 5% VAT).<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/li>\n<li><b>Post-GST: <\/b><span style=\"font-weight: 400;\">The GST rate on medicines was maintained at 5%, resulting in a slightly lower overall tax burden.<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><em><b>Related Read: <\/b><a href=\"https:\/\/razorpay.com\/learn\/how-to-sell-medicines-online\/\"><b>How to Sell Medicines Online<\/b><\/a><\/em><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Impact-of-GST-on-the-Healthcare-Industry\"><\/span><b>Impact of GST on the Healthcare Industry<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The introduction of GST has had a profound impact on the healthcare industry in India. By replacing a complex web of taxes with a unified GST system, the overall cost structure of medicines and medical supplies has become more transparent. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">However, the impact varies across different segments of the industry:<\/span><\/p>\n<h3><b>1. Patients<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">For patients, particularly those requiring long-term medication, the GST has led to a marginal increase in the cost of certain medicines. However, the exemption on life-saving drugs helps mitigate this impact.<\/span><\/p>\n<h3><b>2. Hospitals<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Hospitals may experience higher costs due to the 18% GST on advanced medical equipment, potentially leading to higher charges for patients undergoing specialized treatments.<\/span><\/p>\n<h3><b>3. Pharmaceutical Companies<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">For pharmaceutical companies, the uniform tax structure has simplified compliance but also necessitates careful pricing strategies to remain competitive.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Frequently-Asked-Questions-FAQs\"><\/span>Frequently Asked Questions (FAQs)<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><b>1. Are life-saving drugs exempt from GST?<\/b><\/h3>\n<p><b><\/b><span style=\"font-weight: 400;\">Yes, life-saving drugs are generally exempt from GST to ensure they remain affordable for patients.<\/span><\/p>\n<h3><b>2. What GST rates apply to medical equipment like ventilators and surgical instruments?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Medical equipment such as ventilators and surgical instruments are typically taxed at an 5% GST rate.<\/span><\/p>\n<h3><b>3. Are there any GST exemptions for healthcare services or medical supplies?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Essential healthcare services are exempt from GST, and some medical supplies like life-saving drugs also fall under the Nil GST rate category.<\/span><\/p>\n<h3><b>4. Can healthcare providers claim input tax credit (ITC) on the GST paid on medicines?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Yes, healthcare providers can claim ITC on the GST paid on medicines, provided they are not offering GST-exempt services.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>What is the GST on Medicines? The Goods and Services Tax (GST) on medicines is levied at varying rates depending on the type of medicine or pharmaceutical product. The GST rates range from 0% to 18% and are categorized as follows: Medicine Type GST Rate GST on Essential medicines 5% GST on Life-saving drugs 5%<\/p>\n","protected":false},"author":151156506,"featured_media":16109,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3913],"tags":[3984],"class_list":{"0":"post-13481","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-gst-rates-goods-and-service-tax-rates-slabs","8":"tag-gst-on-medicine"},"_links":{"self":[{"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/posts\/13481","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/users\/151156506"}],"replies":[{"embeddable":true,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/comments?post=13481"}],"version-history":[{"count":20,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/posts\/13481\/revisions"}],"predecessor-version":[{"id":18425,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/posts\/13481\/revisions\/18425"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/media\/16109"}],"wp:attachment":[{"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/media?parent=13481"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/categories?post=13481"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/tags?post=13481"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}