GST on Mobile Phones and Recharge in 2026: Rates, HSN and Bills

What is the GST rate on mobile phones after 22 September 2025?

Mobile phones are taxed at 18% GST in India. They fall under HSN heading 8517, which appears as “All goods” at entry 490 of Schedule II in Notification 9/2025-Central Tax (Rate), the goods rate notification in force from 22 September 2025.

Schedule II carries 9% central tax, so a phone bought from a seller in your own state shows 9% CGST plus 9% SGST; from another state it shows 18% IGST. The rate does not depend on the price, the brand or whether the phone is a smartphone or a feature phone, so searches such as “gst on mobile phones above 20000” or “below 10000” have the same answer: 18%.

The PIB release of 14 March 2020 records the Council’s decision “to raise the GST rate on Mobile Phones and specified parts presently attracting 12% to 18%”, with notifications to take effect on 1 April 2020. So if you are asking whether GST on mobile phones was reduced or not in 2025, the answer is no: it stayed at 18%.

Did the September 2025 GST changes touch phones or recharges?

No. Neither mobile phones nor telecom services were among the rate changes made from 22 September 2025, and the 2026 notifications we checked leave them alone too.

• Goods: the GST Council’s PIB press release of 3 September 2025 lists the goods whose rates changed after the 56th meeting; heading 8517 is not in any of those lists.
• Services: Notification 15/2025-Central Tax (Rate), in force from 22 September 2025, amends several serial numbers of the services notification but not serial 22, the telecom entry.
• 57th Council: the 8 October 2026 press release deals mainly with process reforms and a few clarifications; it changes no rate on phones or telecom.
• November 2026: Notification 06/2026-Central Tax (Rate), in force from 1 November 2026, amends serials 7, 8, 10 and 12 of the services notification, not serial 22. The 2026 amendments to the goods notification (01/2026 and 02/2026) touch beverages, fertilisers and tyres, not heading 8517.

An old bill dated before 22 September 2025 for a phone or a recharge should therefore show the same 18% as one dated after it.

What is the GST on mobile accessories like chargers, covers and batteries?

Most mobile accessories are also at 18%, but each one takes the rate of its own HSN heading. The table lists only entries we checked in Schedule II (18%) of Notification 9/2025-Central Tax (Rate).

• Chargers: the 5% entry for 8504 in Schedule I (entry 438) covers chargers and charging stations for electric vehicles, not phone chargers.
• Batteries: the 3 September 2025 release cut accumulators other than lithium-ion from 28% to 18%; it expressly excluded lithium-ion batteries and power banks, which sit at 18% in the new schedule.
• Covers: a plastic cover is usually billed under 3926; a leather or fabric pouch may sit under 4202, which is also in Schedule II (entry 145), apart from a few cotton and jute bag entries at 5%.
• Screen guards: glass guards are commonly billed under 7007; film guards may sit under a plastics heading. Confirm the HSN with your CA.

What is the GST on mobile recharge and postpaid bills?

GST on a mobile recharge or a postpaid mobile bill is 18%. Voice, SMS and mobile data are telecommunication services under SAC heading 9984, which carries 9% central tax at serial 22 of Notification 11/2017-Central Tax (Rate), plus 9% state tax, or 18% IGST.

The CBIC explanatory notes to the scheme of classification of services place mobile voice, SMS and mobile data, including data through USB dongles, under service code 998413, mobile telecommunications services. The notes cover fees based on actual usage, a pre-purchased limit or unlimited monthly use, so prepaid packs and postpaid plans take the same code and the same 18%.

Searches for “gst on mobile and wifi recharge” have one answer: both are 18% under heading 9984. Our guide to GST on Wi-Fi and broadband bills covers the internet side in more detail.

How do you calculate GST on a recharge or phone bill?

Multiply the taxable value by 18% and add it on. If a price already includes GST, multiply it by 18 and divide by 118 to find the tax. Here is a worked example in plain units.

• Postpaid bill: on plan charges of 100, GST at 18% is 18 and the total is 118.
• Same-state split: that 18 shows as 9 CGST and 9 SGST; from another state it shows as 18 IGST.
• Prepaid pack: a pack shown at 118 including GST has tax of 118 × 18 ÷ 118, which is 18, and a taxable value of 100. Prepaid prices are usually shown inclusive of tax; the provider’s invoice shows the split.
• Phone with accessories: a bill of 80 for a phone, 12 for a charger and 8 for a cover carries 14.4 plus 2.16 plus 1.44, which is 18 in all, because every line is at 18%.

The same arithmetic applies to laptops and printers bought for the same office, as our guide to GST on laptops, computers and printers shows.

Why does a phone bill show CGST and SGST or IGST?

The split depends on the place of supply. If it is in the same state as the supplier’s registration, the bill shows CGST and SGST at 9% each; otherwise it shows 18% IGST. For telecom services, Section 12(11) of the IGST Act sets the place of supply.

• Postpaid mobile: the billing address of the customer on the provider’s records.
• Prepaid through a shop or distributor: the address of the selling agent, re-seller or distributor of SIM cards or recharge vouchers, as held by the provider.
• Prepaid sold direct: the place where the prepayment is received or the voucher is sold.
• Online recharge: where a recharge is paid by internet banking or another electronic mode, the customer’s location on the provider’s records.

For a phone handset, which is goods, the split follows where the seller ships from and where it is delivered. Either way the total is 18%.

Can a business claim input tax credit on a mobile phone or phone bill?

Generally yes. A registered business can usually claim the GST on a phone, an accessory or a mobile bill used in the course of business, subject to Section 16 of the CGST Act. Phones and telecom services are not named in the blocked-credit list in Section 17(5).

• Invoice: a tax invoice in the business name with your GSTIN; ask the provider for one, because a counter receipt for a recharge may not carry it.
• Reporting: the supplier has reported the invoice in its return so it reaches your credit statement.
• Receipt and payment: the phone or service has been received, the tax has been paid to the government and you have filed your own return.
• Pay within 180 days: credit claimed on an unpaid invoice must be reversed with interest until you pay.
• Time limit: claim it by 30 November after the end of the financial year, or the annual return date if earlier.
• Personal use: Section 17(1) limits credit to the business share, and 17(5)(g) blocks goods or services for personal consumption.
• Depreciation: under Section 16(3), if you claim depreciation on the tax part of a phone’s cost, you cannot also claim that tax as credit.

A family buying a phone or a recharge cannot claim credit at all. The same credit logic applies to other business bills, such as GST on Google Ads invoices.

How DVM Techno Can Help

DVM Techno is a software and web company in Sector 84, Gurgaon, with a local office in Kasni, Jhajjar. Around Kasni we run wireless WiFi broadband for homes and shops in 37 villages of Salhawas block and Jhajjar tehsil: an over-the-air connection with no cable to your house, plans up to 200 Mbps, unlimited data with no FUP, free installation, same-day connection in most villages and local support from Kasni. Plan prices on that page are shown including GST. For your own GST treatment, check with your CA.

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