Hydraulic HSN Code

Understanding the Hydraulic HSN Code: A Comprehensive Guide to GST

“Hydraulic” isn’t a single product but a technology applied across a vast range of machinery, systems, and components. From massive industrial presses to precise aircraft controls, hydraulics play a critical role. For businesses dealing with hydraulic equipment, parts, or fluids, accurately identifying the HSN (Harmonized System of Nomenclature) code and applying the correct GST (Goods and Services Tax) rate is crucial for compliance and smooth operations.

The Diverse World of Hydraulic HSN Codes

The HSN code for a “hydraulic” item depends entirely on its specific function and nature. Most hydraulic machinery and components fall under Chapter 84 of the HSN, which covers “Nuclear reactors, boilers, machinery and mechanical appliances; parts thereof.” Within this chapter, you’ll find numerous specific headings:

• Hydraulic Turbines, Water Wheels, and Regulators: These are typically classified under HSN 8410. Sub-codes differentiate based on power output (e.g., 84101100 for less than 1,000 KW, 84101390 for over 80,000 KW).
• Hydraulic Power Engines and Motors: These can be found under HSN 8412, with sub-categories for linear acting (cylinders) or other types (e.g., 84122100 for linear acting, 84122990 for others).
• Hydraulic Presses: These machines, used for various industrial processes, fall under HSN 846291 (e.g., 84629110 for hydraulic extension presses).
• Hydraulic Tools for Hand Working: Tools like hydraulic saws or drills are classified under HSN 8467 (e.g., 84672200 for hydraulic saws).
• Parts of Hydraulic Machinery: Various parts will generally follow the HSN of the main machinery they belong to, often found under the .90 or .9 subheadings of the relevant HSN, like 84679200 for parts of pneumatic tools (which can include hydraulic tool parts).
• Hydraulic Fluids: These essential operational liquids are classified separately under chemical product chapters. For instance, HSN 38190010 covers “Hydraulic Brake Fluids,” and HSN 38190090 covers “Other Prepared Liquids for Hydraulic Transmission.” Even lubricating oils can fall under HSN 27101988 if they are hydraulic oil.
• Hydraulic Lime and Cements: These are construction materials and have distinct HSN codes like HSN 25223000 for “Hydraulic Lime” or HSN 2523 for “Hydraulic Cements,” which are under Chapter 25, “Mineral Products.”

Understanding the GST Landscape for Hydraulics

The majority of machinery and equipment, including most hydraulic components and systems under Chapter 84, typically attract an 18% GST rate. This rate has been in effect since July 1, 2017.

However, certain exceptions exist:

• Hydraulic Lime: This has a lower GST rate, often 5%, as seen under HSN 25223000.
• Hydraulic Cements: These generally fall under a higher 28% GST rate, as seen with HSN 2523.
• Hydraulic fluids like brake fluids also commonly fall under the 18% GST bracket.

Given the wide array of “hydraulic” items, pinpointing the precise HSN code and corresponding GST rate requires careful consideration of the product’s function, composition, and specific use. Always refer to the latest official GST notifications and consult with a tax expert for accurate classification.