Why this template?

Fresh milk and pasteurised milk are nil-rated under GST. Cheese, butter, and curd attract 12% GST while milk powder attracts 5%. Flavoured milk and ice cream are taxed at 18% and 18% respectively. Dairy businesses often deal with both exempt and taxable supplies requiring careful accounting.

Common HSN/SAC codes for Dairy Business

Code	Description	GST Rate
0401	Fresh milk, cream, and pasteurised milk	0%
0406	Cheese and curd (yoghurt)	12%
0402	Milk and cream in powder form	5%
0405	Butter and dairy fat	12%
2105	Ice cream and edible ice	18%

Sample line items

Fresh milk supply (per litre)
Cheese block (per kg)
Milk powder bag (25kg)
Butter (unsalted, 500g)
Flavoured yoghurt (per case)

Industry-specific notes

Fresh milk, pasteurised milk: nil GST (HSN 0401)
Cheese (HSN 0406): 12% GST
Milk powder (HSN 0402): 5% GST
Ice cream (HSN 2105): 18% GST
Partial exemption: dairy businesses must maintain separate accounts for exempt and taxable supplies