Data cable HSN Code

The Data Cable HSN Code and Understanding its GST Rate

In today’s interconnected world, data cables are indispensable. For businesses involved in electronics manufacturing, retail, and wholesale, understanding the correct Harmonized System of Nomenclature (HSN) code for data cables is crucial for Goods and Services Tax (GST) compliance. Let’s explore the relevant HSN codes and the applicable GST rate based on the provided data.

Identifying HSN Codes for Data Cables

Based on the provided information, data cables primarily fall under Chapter 85, which covers “Electrical machinery and equipment and parts thereof; sound recorders and reproducers, television image and sound recorders and reproducers, and parts and accessories of such articles.” Specifically, the relevant headings and sub-headings include:

• 8544: This heading covers “Insulated (Including Enamelled Or Anodised) Wire, Cable (Including Co-Axial Cable) And Other Insulated Electric Conductors, Whether Or Not Fitted With Connectors; Optical Fibre Cables, Made Up Of Individually Sheathed Fibres, Whether Or Not Assembled With.” Several sub-codes within this heading are relevant to data cables, such as 85445930, 85445130, 85444293, 85441930, and 85441990. These likely differentiate based on the cable type, voltage rating, or specific application.
• 8517: This heading covers “Telephone Sets, Including Telephones For Cellular Networks Or For Other Wireless Networks; Other Apparatus For The Transmission Or Reception Of Voice, Images Or Other Data, Including Apparatus For Communication In A Wired Or Wireless Network (Such As A Local Or Wide Area Network), Including Communication Apparatus Based On IEEE Standard 802.11 (Wi-Fi) Which Do Not Incorporate A Telephone.” Sub-codes like 85176960, 85171290, 85176290, 85176910, and 85176990 might include data cables that are integral parts or accessories for communication apparatus.

It’s important to note that under Chapter 56, which covers “Wadding, felt and nonwovens; special yarns; twine, cordage, ropes and cables and articles thereof,” HSN code 56071010 specifically mentions “Cordage, Cable, Rope And Twine Of Jute.” While not typically considered data cables in the electronic sense, it highlights that “cable” in a broader context can fall under different chapters based on material and use.

Understanding Applicable GST Rate on Data Cables

The Goods and Services Tax (GST) rate applicable to the data cables classified under Chapter 85 is 18%. There is currently no CESS levied on these goods. This GST rate has been effective since July 1, 2017, with some sub-codes having an effective date of November 15, 2017, and some sub-codes under 8517 having a rate effective from April 1, 2020, as well, though the rate remains 18%. The jute cables under Chapter 56 have a GST rate of 12%, effective from different dates.