Official Classification

Under the Harmonized System of Nomenclature (HSN), the code 2705 specifically identifies coal gas, water gas, producer gas and similar gases, other than petroleum gases and other gaseous hydrocarbons for the purpose of taxation and trade in Bharat. This ensures uniform classification across all Indian states and Union Territories.

Intra-State Split

CGST 2.5% + SGST 2.5%

Inter-State Split

IGST 5%

Compliance Check-list

✓Mention HSN 2705 on all Tax Invoices for coal gas, water gas, producer gas and similar gases, other than petroleum gases and other gaseous hydrocarbons
✓Include in HSN-wise summary of GSTR-1 filings
✓Mandatory for E-way bill generation for goods above threshold
✓Ensure Input Tax Credit (ITC) matches this classification

✨ AI Compliance Insight

Expert Advice for 2705

"Classifying coal gas, water gas, producer gas and similar gases, other than petroleum gases and other gaseous hydrocarbons correctly is critical to avoid litigation. While the base rate is 5%, always check for anti-dumping duties if importing, especially under the Petroleum category. AasanKhata automatically monitors these shifts for you."