Condenser HSN Code

Understanding The Condenser HSN Code

Condensers are ubiquitous in modern technology, playing a vital role in everything from power generation to refrigeration and air conditioning. At its core, a condenser is a heat exchanger that cools a working fluid (like steam or a refrigerant) from a gaseous state to a liquid state by removing latent heat. For businesses involved in the manufacturing, import, or sale of condensers in India, understanding the correct HSN (Harmonized System of Nomenclature) code and the associated GST (Goods and Services Tax) rate is essential for proper compliance.

The term “condenser” can refer to different types of devices based on their application. This distinction is crucial for accurate HSN classification.

The HSN Code for Steam and Vapour Condensers

Based on the provided data, the primary classification for condensers falls under HSN Chapter 84: “Nuclear reactors, boilers, machinery and mechanical appliances; parts thereof.”

More specifically, the data highlights condensers related to power units:

• HSN 8404: “Auxiliary Plant For Use With Boilers Of Heading 8402 Or 8403 (For Example, Economisers, Super-Heaters, Soot Removers, Gas Recoverers); Condensers For Steam Or Other Vapour Power Units.”
  • 84042000: This specific sub-heading directly covers “Condensers For Steam Or Other Vapour Power Units.” This includes condensers used in power plants and other industrial applications where steam or other vapours are condensed.
  • 84041000: This covers “Auxiliary Plants For Use With Boilers Of Heading 8402 Or 8403,” which are broader than just condensers but are related auxiliary equipment.
  • 84049000: This HSN code is for “Parts” suitable for use solely or principally with the machinery classified under 8404, including condensers for steam or other vapour power units.

This classification indicates that if the condenser’s primary function is related to steam or other vapour power units (such as in power generation cycles), HSN 8404 is the appropriate category.

GST Rate for Steam and Vapour Condensers

According to the provided data, condensers classified under HSN 8404, including the specific sub-heading 84042000, attract an 18% GST rate. This rate has been effective since July 1, 2017. The data does not indicate any additional cess for these items.

Other Types of Condensers and Their Potential HSN Codes

It’s important to acknowledge that the term “condenser” is also used for other applications not explicitly detailed in the provided data, and these would fall under different HSN codes:

• Condensers for Air Conditioning Machines (AC Condensers): These are typically classified as parts of air conditioning machines under HSN 84159000. The GST rate for these is also generally 18%.
• Condensers for Refrigeration Equipment (Refrigerator Condensers): These would be categorized as parts of refrigerators or other refrigerating equipment under HSN 84189900. These also usually attract an 18% GST rate.
• Electrical Capacitors (Electronic Condensers): In electronics, “condenser” is an older term for a capacitor. These are entirely different devices that store electrical energy. They are classified under HSN 8532 (“Electrical Capacitors, Fixed, Variable Or Adjustable (Pre-Set)”) and generally have an 18% GST rate.
• Automotive Condensers: Condensers used in vehicle air conditioning systems are typically classified as parts of motor vehicles under HSN Chapter 87, such as HSN 87089900.

Therefore, while HSN 8404 specifically covers condensers for steam or other vapour power units, businesses must carefully determine the type and application of the condenser to ensure correct HSN classification and GST compliance. Misclassifying a condenser can lead to incorrect tax liabilities.