The AAR bench said that the product of Springfield India Distilleries falls into “Alcohol-based hand sanitizers” category and thus will attract 18% GST.
Panji| 18% GST will be charged on Alcohol-based hand sanitizers, the Authority of Advance Ruling has said. The ruling comes after Goa-based Springfield India Distilleries which now manufacturers Alcohol-based sanitizers, had moved to AAR Goa Bench.
It had sought the classification of the hand sanitizer product produced by it and whether it will be exempted from GST as Consumers Affairs Ministry had already declared Alcohol-based hand sanitizers as an essential commodity.
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The AAR bench said that the product of Springfield India Distilleries falls into “Alcohol-based hand sanitizers” category and thus will attract 18% GST. It further said that though the Consumer Affairs Ministry has categorised it as an essential commodity, it has its own separate list of goods exempted under the tax regime.
Amidst the Coronavirus Pandemic, the WHO and the health ministry had issued several guidelines. One of them is washing hands frequently or using an alcohol-based sanitizer. The experts suggested that sanitizers that have Alcohol content over 60% should be used to clean hands to avoid Coronavirus infection after touching surfaces.
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