HSN Code 8504: Product Classification, GST Rate & Business Filing Guide

Harmonised System of Nomenclature (HSN) Code 8504 refers to "Electrical Transformers, Static Converters (e.g., Rectifiers) and Inductors; Parts Thereof." This classification code is essential for identifying electrical equipment and components for import/export purposes based on their nature, composition and intended use. Common products under HSN Code 8504 include power transformers, distribution transformers, rectifier units and inductors.

Which products are categorised under HSN Code 8504?

Here is the detailed breakdown of products classified under HSN 8504:

What GST rate applies to HSN 8504?

Following the GST rate rationalisation approved in the 56th GST Council Meeting and implemented from 22 September 2025, most goods covered under HSN 8504 are taxable at the standard GST rate of 18%. Under the revised GST framework, the earlier 12% and 28% slabs were largely merged into the standard rate. The applicable Integrated GST (IGST) rate on imports of HSN 8504 products is also generally 18%, unless a specific exemption or concessional notification applies.

Step-by-Step: How to file GSTR-1 for HSN 8504

GSTR-1 is the return where you report all outward supplies (sales). Here's how to file it correctly for HSN 8504 goods:

Step 1: Log in to the GST portal

Log in to the official GST portal at gst.gov.in using your credentials (username and password). Navigate to the 'Returns Dashboard' by following the path: Services → Returns.

Step 2: Select the return period

Choose the relevant month or quarter for which you are filing. If you are a quarterly filer under the QRMP scheme, select the applicable quarter.

Step 3: Fill outward supply details

Enter your B2B invoices (sales to registered dealers) and B2C invoices (sales to unregistered buyers) in their respective sections. For HSN 8504 goods, ensure each invoice carries the correct HSN sub-code.

Step 4: Report HSN summary in Table 12

Table 12 of GSTR-1 requires an HSN-wise summary of all outward supplies. Auto-filling of the HSN-wise summary based on imported sales details is available on the portal. The portal has implemented validations, and from the February 2025 return period onwards, manual entry of HSN codes has been replaced by choosing the correct HSN from a given drop-down menu. Table 12 has been bifurcated into two tabs: B2B and B2C to report these supplies separately.

Select HSN 8504 (or the appropriate sub-code) from the drop-down, enter the taxable value, IGST/CGST/SGST amounts and the quantity in the applicable unit of measurement (UQC).

Step 5: Submit and file

Preview your return, check for errors and submit. File using your Digital Signature Certificate (DSC) or EVC (Electronic Verification Code).

Due dates for GSTR-1:

• Monthly filers (turnover above ₹5 crore): 11th of the following month
• Quarterly filers under QRMP (turnover up to ₹5 crore): 13th of the month following the quarter

Note:

• File GSTR-3B. It is a summary return. Steps to file GSTR-3B: Log in → Returns Dashboard → Select GSTR-3B → Fill outward supplies (sales). In GSTR-3B, report the total taxable value of HSN 8504 supplies under the appropriate tax head. Declare your outward tax liability and set off against available Input Tax Credit (ITC). The due date for GSTR-3B is the 20th of the following month for monthly filers; the 22nd or 24th, depending on the state category, for quarterly QRMP filers.
• At the end of the financial year, all regular taxpayers must file GSTR-9 (Annual Return). Starting from the financial year 2024-25, if the taxpayer clicks "Compute Liabilities" without filling in Table 17, HSN-wise Summary of Outward Supplies, a highlighted error message will appear. Therefore, ensure all HSN 8504 supplies are correctly summarised in Table 17 of GSTR-9 before computing tax liabilities.

Conditions for claiming ITC on HSN 8504 products

Here are the key terms and conditions that must be satisfied to claim ITC under HSN 8504:

• The claimant must be a registered person under GST. Unregistered persons cannot avail ITC.
• The HSN 8504 goods must be used or intended to be used in the course or furtherance of business. ITC is not available for personal consumption.
• The recipient must possess a valid tax invoice, debit note, or other prescribed tax-paying document issued by the supplier.
• The invoice must contain the prescribed GST particulars such as GSTIN, invoice number, tax amount and description of goods.
• The recipient must have actually received the goods. ITC cannot be claimed merely based on an invoice.
• The supplier must have furnished the invoice details in GST returns, and the invoice should be reflected to the recipient through the GST system, typically in GSTR-2B.
• The tax charged on the supply must have been paid to the Government by the supplier, either in cash or by utilising ITC.
• The recipient must have filed the prescribed GST returns to avail and utilise the credit.
• Payment to the supplier must generally be made within 180 days from the invoice date. If payment is not made within this period, the ITC claimed must be reversed, along with any applicable interest, and can be reclaimed after payment.
• ITC must be claimed within the statutory time limit, generally up to 30 November of the following financial year or the date of filing the annual return, whichever is earlier.
• ITC cannot be claimed where it is specifically blocked under Section 17(5) or where depreciation is claimed on the GST component of eligible capital goods.

Conclusion

Accurate classification is only one part of effective GST compliance. Businesses dealing in HSN 8504 goods should establish a strong system for maintaining product specifications, purchase records and tax documents to minimise reporting errors and support smooth audits.

Regular reconciliation of sales, purchases and tax credits can help identify discrepancies early and improve compliance efficiency. Using an integrated business management solution such as TallyPrime can further simplify record-keeping, reporting and ongoing GST management.