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GST applicable on lab test

01 November 2024

GST applicable on lab test plz clarify

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Rama chary Rachakonda (Master in Accounts & Lawyer email ID:ramachary64@gmail.com voice no:9989324294) (5128 Points)
Replied 01 November 2024

GST (Goods and Services Tax) is applicable on laboratory tests in India.

Here's a clarification:

1. GST rate: - 5% GST is applicable on laboratory tests, including diagnostic services -

However, some specific tests or services might be exempt or subject to a different GST rate

2. Applicability: - GST is applicable on laboratory tests conducted by: - Private laboratories - Diagnostic centers - Hospitals (including government hospitals) - GST is not applicable on laboratory tests conducted by: - Government laboratories (autonomous or attached to government hospitals) - Public health laboratories

3. Inclusions: - GST is applicable on various laboratory tests, including: - Pathology tests (e.g., blood tests, urine tests) - Radiology tests (e.g., X-rays, CT scans) - Microbiology tests (e.g., culture sensitivity) - Biochemistry tests (e.g., blood sugar, lipid profile)

4. Exemptions: - Some laboratory tests or services might be exempt from GST, such as: - Tests conducted by government laboratories - Tests specifically exempted by government notifications

Please note that GST rates and applicability may change.

Additionally, laboratory test providers should ensure compliance with GST regulations and billing requirements.

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sabyasachi mukherjee (27574 Points)
Replied 02 November 2024

Follow Sec 22 cgst act

PARAS CHHAJED (CA Practice ) (1025 Points)
Replied 02 November 2024

Healthcare services are exempt from GST vide Notification No. 12/2017 - Central Tax (Rate), dated June 28, 2017. Therefore, I think that pathological tests, diagnostic tests etc. should not be chargeable to GST.

Please share specific notifications, and sections in support of your contentions. Also please share the SAC code under which you are considering these services as taxable. Thanks

PARAS CHHAJED (CA Practice ) (1025 Points)
Replied 03 November 2024

Healthcare services are exempt from GST vide Notification No. 12/2017 - Central Tax (Rate), dated June 28, 2017. Therefore, pathological tests, diagnostic tests, CT Scan, X-ray, MRI etc. should not be chargeable to GST.

Laboratory tests for food items, concrete, steel, etc are chargeable to GST for sure but not those related to health.