GST on Mobiles: Check How Much GST You Will Pay on Mobiles and Accessories

New GST reforms have left everyone thinking hard about how much more or less they have to pay now for different products. Well, GST or Goods and Services Tax was introduced to make the complex tax system in India more simplified, and with the new reforms, things have been further clarified. Several changes have been made in the tax slabs, which have affected the retail price of numerous products. However, one of the most asked questions is how much GST we have to pay on mobiles. Well, why not? Smartphones have become a universal pass to everything nowadays. Whether it's about paying bills, traveling, shopping, entertainment, learning, or even tracking your health. In this article, we share in-depth information about how much GST is levied on mobiles and the related accessories.

What is the GST on Mobile in India After the New GST Reforms?

With new GST reforms, the total four tax slabs were reduced to only two. Now, there are only two main tax slabs, 5% and 18%. Which is why many products that fall under the slab of 28% were moved down to 18% and on those on which 12% GST was levied before, were moved down to 5%. These are major changes that made several products cheaper and more affordable. However, on mobiles, 18% GST was levied before, and the government decided to keep things the same. So, there are no changes in mobile prices, and they will cost you the same.

GST Rate on Mobile Accessories

Similar to mobile phones, the GST rate applicable to mobile accessories is 18%, which is the same as before. However, various accessories have different HSN codes, which are given below:

>> Mobile Phones: 8517

>> Charger: 8504

>> Battery: 8506

>> Power Bank: 8504

>> Leather Phone Case & Back Cover: 4202

>> Memory Card: 8523

>> USB Cable: 8504

>> Earphones, Headphones, and Speakers: 8518

>> Plastic Screen Protector: 3919

>> Tempered Glass Screen Protector: 3923

What's the Effect of GST Changes on Mobile Phone Repair Services and Spare Parts?

GST charges levied on mobile repairing services are also 18%, which includes the labor expenses. Similarly, for the repair parts that are used in mobiles to replace faulty parts, including the touch screen folder, battery, charging jack, and all other parts, also attract an 18% GST rate.

What are SGST, CGST, and IGST Levied on Mobiles?

While purchasing a mobile phone, whether SGST and CGST will be applicable or IGST is decided based on the location of both the buyer and seller.

SGST and CGST

If the buyer has purchased a smartphone from the same state in which he lives, then 18% GST will be levied, out of which 9% will go to SGST or State GST, and the other 9% will be Central GST.

IGST Criteria

When a person buys a smartphone from another state, then 18% GST will be levied as IGST or Integrated GST.

How Does GST Benefit Smartphone Dealers?

Implementation of GST has brought various benefits to smartphone dealers:

Simpler Tax Structure

With 18% GST applicable on all smartphones, including feature phones, the tax system has been simplified over the previously levied VAT system, which was more complicated and difficult to file.

ITC or Input Credit Tax

Dealers can claim the benefit of Input Credit Tax or ITC on expenses like rent, electricity bills, and many more. This helps them to maintain a constant cash flow for efficient business operations.

Less Paperwork

With the old VAT system, there were too many complexities and paperwork, which required more brainstorming from the owners than running the business itself. With the GST system, the process becomes as simple as two-step verification.

Building Trust Between Customers and Sellers

When the VAT system was implemented, every state had different tax charges applicable to mobiles, which compromised many deals because of varying product prices and discounts. With 18% GST applicable in every state, consumers started trusting dealers more than ever.

FAQs

Q1. Is 28% GST on mobile phones?

Ans- No, 18% GST was applicable on mobile phones before the new GST reforms, and it's still the same. So, there is no price change in the cost of all the mobile phones.

Q2. Which items are in 28 GST slabs?

Ans- With new GST reforms in effect, there are no products that come in the 28% slab, as it has been removed, and all products have been moved down to the 18% GST slab. Which is why there are several essential items that cost less now.

Q3. Is GST on iPhone 18 or 28?

Ans- On every mobile phone, 18% GST is charged under the GST laws. So, even on the Apple iPhone, 18% GST is levied, including its accessories and services.

Q4. How much GST is on the S24 Ultra?

Ans- As of now, 18% GST is levied on all mobile phones, including every series of Samsung, like the S24 Ultra and the entire S25 series.