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Agriculture5% GST RateUpdated July 2026

Calculate GST for Fertilizers

Calculate GST on organic manure, chemical urea, potash, phosphates, and agricultural soil nutrients.

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Quick Summary

HSN/SAC Code#3101
Tax CategoryAgriculture
ITC EligibilityEligible for agro-business corporations and registered commercial farmers
Effective DateJuly 1, 2017
Applicable Tax
5%
Standard GST RateHSN Code 3101

GST Rate Explanation

To support the agricultural sector and keep crop production costs low, all chemical and organic fertilizers (HSN 3101) carry a concession rate of 5%.

Calculation Mode
Net Amount (Before Tax)₹10,000.00
CGST (Central Tax) (2.5%)₹250.00
SGST (State Tax) (2.5%)₹250.00
Total GST (5%)₹500.00
Gross Amount₹10,500.00

Visual Tax Split & Collection Rules

Intrastate Split Allocation
CGST (Central Tax): 2.5%
SGST (State Tax): 2.5%

Within State (CGST + SGST)

When supply is within the same state (intrastate), the CGST and SGST are collected. The total tax is split 50/50 between Central and State governments.

Across States (IGST)

When supply spans across states (interstate), a single Integrated GST of 5% is collected in full by the Central government before allocation.

GST Rate Structure Slabs

Tax SlabCGST (Central)SGST (State)IGST (Integrated)Notes
0%0.0%0.0%0.0%Exempted / Nil rated goods
5%2.5%2.5%5.0%Essential items & services
12%6.0%6.0%12.0%Standard reduced rate items
18%9.0%9.0%18.0%Standard general rate items
28%14.0%14.0%28.0%Luxury / Sin goods & services

GST Calculation Examples

50kg bag of Agricultural Urea fertilizer

Add GST (Exclusive)

Formula: Amount + (Amount × Rate%)

Base Amount: ₹800.00

GST (5%): ₹40.00

Total: ₹840.00

Remove GST (Inclusive)

Formula: Amount − (Amount / (1 + Rate%))

Total Amount: ₹800.00

Base Amount: ₹761.90

GST Included: ₹38.10

Bulk supply of organic bio-manure for farming

Add GST (Exclusive)

Formula: Amount + (Amount × Rate%)

Base Amount: ₹12,500.00

GST (5%): ₹625.00

Total: ₹13,125.00

Remove GST (Inclusive)

Formula: Amount − (Amount / (1 + Rate%))

Total Amount: ₹12,500.00

Base Amount: ₹11,904.76

GST Included: ₹595.24

Frequently Asked Questions

Government References & Notifications

Tax Disclaimer Notice

Organic composts and chemical fertilizers are taxed at the same concession rate of 5%.

Last updated: July 2026