How will sanitizers disinfect the germs of confusion under GST?



Quick Summary
There's significant confusion regarding the Goods and Services Tax (GST) rate applicable to alcohol-based hand sanitizers. Manufacturers and GST authorities are divided on whether the rate should be 12% or 18%. While consumers believe sanitizers, being an essential commodity, should be exempt, GST authorities argue that classification as an essential item doesn't automatically grant exemption. A recent AAR ruling classified sanitizers under HSN 3808, attracting an 18% GST, contradicting the manufacturer's claim of medicament classification at 12%.

Arjun (Fictional Character): Krishna, in the current scenario, there is a situation of bewilderment in the GST rates to be charged on alcohol-based hand sanitizers? Krishna (Fictional Character): Arjuna, as we all are fighting with the coronavirus, and alcohol-based hand sanitizers being a major
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