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Food & Groceries5% GST RateUpdated July 2026

Calculate GST for Tea & Coffee

Calculate GST on tea leaves, instant coffee powder, coffee beans, and packaged pre-mixes.

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Quick Summary

HSN/SAC Code#0902
Tax CategoryFood & Groceries
ITC EligibilityEligible for offices purchasing pantry supply stock for employees
Effective DateJuly 1, 2017
Applicable Tax
5%
Standard GST RateHSN Code 0902

GST Rate Explanation

Tea and coffee (HSN 0902) are basic beverage staples in Indian households, hence they are kept under the low 5% tax slab to minimize inflationary impact.

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

250g packet of black tea leaves

Add GST (Exclusive)

Formula: Amount + (Amount × Rate%)

Base Amount: ₹180.00

GST (5%): ₹9.00

Total: ₹189.00

Remove GST (Inclusive)

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

Total Amount: ₹180.00

Base Amount: ₹171.43

GST Included: ₹8.57

Packaged instant premium coffee powder jar

Add GST (Exclusive)

Formula: Amount + (Amount × Rate%)

Base Amount: ₹650.00

GST (5%): ₹32.50

Total: ₹682.50

Remove GST (Inclusive)

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

Total Amount: ₹650.00

Base Amount: ₹619.05

GST Included: ₹30.95

Frequently Asked Questions

Government References & Notifications

Tax Disclaimer Notice

Coffee and tea served at cafes or restaurants are taxed at 5% or 18% as restaurant services.

Last updated: July 2026