GST on Washing Machine: Tax Rate, Price Impact & Key Insights

At a price of ₹50,000, Arun gave his wife an automatic washing machine to use. An 18% GST was added to the price, which is the government’s tax. This is how the hotel prices are determined.
 

• GST is a tax added to the price of goods.
   
• Arun paid ₹7,627 as tax, which goes to the government.
   
• The actual price of the washing machine was ₹42,373, but with GST, it became ₹50,000.

Therefore, Arun is aware of the tax he should pay while purchasing a washing machine for his wife.

GST on Washing Machine – Different Categories & Tax Rates

Arun wished to get a washing machine for his wife, but he was unsure about which price and GST rate to choose because there were several options. It was discovered that how much GST you pay depends on the type of washing machine. Here’s a basic way to look at it:

GST Rates on Different Types of Washing Machines:
 

Key Points:
 

• All washing machines attract 18% GST, no matter the type.
   
• Arun chose a fully automatic top-load machine priced at ₹30,000.
   
• GST (18%) on his machine = ₹5,400.
   
• Total price paid = ₹30,000 + ₹5,400 = ₹35,400.

Arun now understands that while features change the price, the GST rate remains the same (18%) for all washing machines. This helped him make a better decision.

HSN Codes for Washing Machines – Different Types & Codes

Arun wanted to check the HSN code for the washing machine he bought for his wife. HSN (Harmonised System of Nomenclature) is a 6-digit code used for classifying goods under GST. This helps in determining the correct GST rate.

Here’s a simple table showing different washing machine types and their HSN codes:

HSN Codes for Washing Machines:
 

Key Points:
 

• All home-use washing machines (semi/full-auto, top/front load) fall under HSN Code 8450.
   
• The GST rate is the same (18%) for all types.
   
• Arun’s fully automatic top-load washing machine also comes under HSN 8450.
   
• Commercial washing machines (used in businesses) also have the same HSN code but may have different pricing.

Arun realised that while every washing machine is different, they are both tagged with HSN code 8450 and GST of 18%. Consequently, his clients could easily understand how he charged for his services.

Types of Washing Machines and Their GST Rates

Arun desired to buy a washing machine for his wife, but found it difficult to figure out the right type and its GST fees. He discovered that although every washing machine’s role is the same, there are different types with a uniform tax level. Here are his findings.

GST Rates for Different Washing Machines:
 

Key Points:
 

• All washing machines for home or commercial use have the same GST rate of 18%.
   
• The price difference comes from features, not taxes.
   
• Arun chose a fully automatic top-load machine priced at ₹25,000.
   
• GST amount he paid: ₹25,000 × 18% = ₹4,500.
   
• Total price including GST: ₹25,000 + ₹4,500 = ₹29,500.

Arun was happy to learn that no matter which type he picked, the tax rate would stay the same. This helped him focus on choosing the right features rather than worrying about different tax rates. The shopkeeper also showed him the HSN code 8450 printed on the bill, which confirmed the 18% GST rate.

Impact of GST on the Washing Machine Industry

Arun noticed that after GST was introduced, buying a washing machine became simpler. Here’s how GST changed things:

• One tax rate for all: Before GST, different states had different taxes (VAT, excise). Now, all washing machines have 18% GST nationwide, making prices clearer.

• Easier for manufacturers: Companies now pay GST only on the value they add, not on the full price. This reduced costs for brands like LG and Samsung.

• No hidden taxes: Earlier, taxes were added at multiple stages. Now, Arun sees only one tax (GST) on his bill.

• Cheaper for some: Small semi-automatic machines (under ₹10,000) earlier had 13–15% tax. Now, with 18% GST, prices rose slightly. But premium machines became cheaper due to input tax credits.

• More choices: With simpler taxes, companies launched more models. Arun got better features in his ₹30,000 budget.

GST made the industry more organised, helping both buyers like Arun and manufacturers. Prices stabilised, and transparency increased.

Input Tax Credit (ITC) on Washing Machines

Arun runs a small laundry shop and bought a commercial washing machine for ₹50,000 plus 18% GST (₹9,000). Here's how ITC helps him:

• What is ITC? When Arun pays GST on his washing machine, he can claim this tax back against the GST he collects from customers.

• How does it work? The ₹9,000 GST he paid becomes a credit. When he charges GST on laundry services, he can deduct this ₹9,000 from his GST payment to the government.

• Saves money: Without ITC, Arun would pay GST twice—on the machine and his services. Now, he only pays tax on the value he adds.

• Conditions: The machine must be used for business, and Arun must file GST returns to claim ITC.

• Result: Arun's costs are reduced, letting him price services competitively while following tax rules.

ITC makes business fairer. Arun pays tax only on his profit, not his purchases.

Conclusion

To summarise, the purchase of a washing machine in India. The addition of GST of 18%, which means its final cost rises. This tax is on all kinds, including semi-automatic, fully automatic or top-load with absorption. The companies dealing with the sale of washing machines must be registered under GST in case the turnover exceeds the set limit, and present the returns on time. 

Customers need to compare the bill every time to ascertain that GST is levied in the right manner. Although the product costs a little bit more due to the tax, the tax facilitates the smooth running of the system and cuts the hidden costs. In case you have any doubts about GST regulations, a professional tax expert may prevent misunderstandings or additional expenses.

FAQs 

1. What is the GST rate on washing machines?

All types of washing machines (semi-automatic, fully automatic, or with a dryer) have the same GST rate of 18%. Whether you buy a basic model or a premium one, the tax rate does not change.

2. Do expensive washing machines have higher GST?

No, the GST rate remains 18% regardless of the price or features. A ₹15,000 semi-automatic machine and a ₹60,000 front-load machine both have the same tax rate.

3. Is GST different for commercial washing machines?

No, even commercial washing machines (used in laundries or hotels) fall under the same 18% GST rate. However, businesses can claim Input Tax Credit (ITC) on them.

4. Can I get a GST refund on a washing machine?

Ordinary consumers cannot claim a refund, but businesses buying washing machines for commercial use can claim ITC (Input Tax Credit) if they are GST-registered.

5. Why is GST charged on washing machines?

GST is a tax applied by the government on the sale of goods and services. The 18% tax goes to the central and state governments for public services.

6. Does GST make washing machines costlier?

Before GST, taxes varied by state, making prices confusing. Now, with a fixed 18% rate, prices are more stable. Some machines became slightly cheaper due to reduced double taxation.

7. Is there GST on second-hand washing machines?

If you buy a used washing machine from a dealer, GST applies to the profit margin. Private sales between individuals usually don’t attract GST.

8. Do I pay GST on washing machine repairs?

Yes, servicing or repairing a washing machine also has an 18% GST charge if done by a professional or company.

9. How is GST shown on the washing machine bill?

The bill will display the machine’s price, 18% GST separately, and the total amount. For example: Price ₹30,000 + GST ₹5,400 = Total ₹35,400.

10. Can I avoid paying GST on a washing machine?

No, GST is mandatory. If a seller does not charge GST, they are breaking the law, and you won’t get a valid warranty or invoice. Always ask for a GST-paid bill.

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