Geyser, Water Heater HSN Code 8516 and GST Rate

What is HSN Code 8516?

HSN Code 8516 classifies electric instantaneous or storage water heaters (geysers), immersion heaters, space/soil heating devices, electro-thermic hair-dressing apparatus like hair dryers and curlers, plus hand dryers under Chapter 85.The HSN code for Electric Water Heaters covers household geysers, instant heaters, salon tools, and commercial dryers used across homes, hotels, and industries.​

GST Rates & Exemptions for HSN Code 8516

Products under 8516 hsn code carry a standard 18% GST rate, reduced from 28% since July 2018 with no cess.This uniform slab applies to all sub-categories without exemptions for standard retail or business use.​

Table Notes

• Exact 8-digit HSN mandatory for invoices to enable buyer ITC claims.
• Rate unchanged post-2018; cross-check CBIC for sector notifications or exports.

GST Rates Applicable Under 8516

(Source: ClearTax & Swipe GST data, 2025 compliant).​

What’s Included in HSN 8516?

HSN Code 8516 encompasses:

• Geyser hsn code and gst rate items: Instant/storage geysers, immersion rods for homes/hotels
• Beauty tools: Hair dryers, curling irons, tong heaters
• Commercial: Automatic hand dryers, space heaters
• Industrial: Soil heaters, microwave ovens, electro-thermic devices

(HSN Code for Wood Charcoal remains 4402, separate from electric appliances.)

Explore more hsn code and gst rate - with Gimbooks HSN Finder

Key Exemptions Under GST for 8516

• No blanket exemptions; all standard products taxed at 18%.
• Possible concessions for government bulk procurement or exports (LUT/bond eligible).
• No zero-rating for domestic sales.​

Input Tax Credit (ITC) Rules for Geysers & Heaters

Full ITC eligible on 18% GST for HSN code for Electric Water Heaters purchases used in:

• Resale by retailers/distributors
• Business operations (hotels, salons, factories)
• Taxable output supplies

Blocked ITC scenarios:

• Personal use or exempt supplies
• Incomplete invoices missing HSN/GSTIN.​

GST on Geyser Billing: Practical Scenarios

• Electronics store sells 25L geyser (85161000) for ₹15,000 + ₹2,700 GST (18%)—customer claims ITC.
• Salon purchases hair dryers (85163100) and hand dryers, offsets GST against service income.
• Hotel chain buys immersion heaters/spares (85169000) for maintenance, full ITC available.

Common Mistakes in Appliance GST

• Wrong HSN usage (e.g., generic 85xx instead of precise 8516 hsn code).
• Applying old 28% rate post-2018 reduction.
• Skipping HSN on B2B invoices, denying buyer ITC.
• Mixing with non-electric heaters (different HSN chapters).

Conclusion

HSN Code 8516 sets geyser hsn code and gst rate at 18% GST for water heaters and electro-thermic appliances, ensuring clear compliance.Use accurate sub-codes for seamless ITC and avoid penalties in 2025.​

Explore more
GST Rates and HSN Code 4402 for Wood Charcoal
GST Rate & HSN Code 2201 for Beverages, spirits and vinegar
GST Rates and HSN Code 0801 for Coconuts, Brazil Nuts, Cashew Nuts

FAQs: HSN Code 8516 & Geyser GST

What is HSN 8516?

HSN Code 8516 includes electric geysers, immersion heaters, hair dryers, hand dryers, and heating appliances.

What’s the standard GST rate?

18% GST uniform across 8516 hsn code since 2018 revision.

Can ITC be claimed?

Yes, complete ITC for business purchases with valid HSN invoices.

Any exemptions for geysers?

No standard exemptions; exports may qualify for zero-rating.