Understanding GST on Hosting Services

All hosting, domain, and digital services provided within India are subject to Goods and Services Tax (GST). This guide explains GST rates, HSN/SAC codes, input tax credit eligibility, and how GST applies to your purchases from {{COMPANY_NAME}}.

GST Rate on Hosting Services

Hosting and digital services fall under 18% GST as per the GST Council's classification:

The SAC (Services Accounting Code) 998315 covers "Hosting and information technology (IT) infrastructure provisioning services."

How GST Is Applied

For Customers Within India

GST is charged on all invoices at 18%. The breakup depends on the location:

Intra-State Supply (customer and supplier in the same state):

• CGST: 9%
• SGST: 9%
• Total: 18%

Inter-State Supply (customer and supplier in different states):

• IGST: 18%
• Total: 18%

Tip: The total GST amount is always 18% — the split between CGST+SGST or IGST depends on the "place of supply" rules under the GST Act.

For International Customers

Services provided to customers outside India are treated as export of services and are:

• Zero-rated (0% GST) under the IGST Act
• Invoiced without GST
• Subject to the recipient's local tax laws

Input Tax Credit (ITC)

If you are a GST-registered business, you can claim Input Tax Credit on the GST paid for hosting services:

Eligibility

1. You must be registered under GST
2. You must have a valid tax invoice from {{COMPANY_NAME}}
3. The services must be used for business purposes
4. Your GSTIN must be added to your {{COMPANY_NAME}} account
5. The tax must have been paid to the government by the supplier

How to Claim ITC

1. Add your GSTIN to your {{COMPANY_NAME}} account (see Adding GSTIN to Your Account)
2. Download GST-compliant invoices from your billing dashboard
3. Verify the invoices appear in your GSTR-2B (auto-populated from the supplier's filing)
4. Claim the ITC in your GSTR-3B return

ITC Not Available For

• Services used for personal purposes
• Services used for exempt supplies
• Invoices older than the prescribed time limit (typically 30th November of the following financial year)

Understanding Your Invoice

A GST-compliant invoice from {{COMPANY_NAME}} includes:

1. Supplier GSTIN: {{COMPANY_NAME}}'s GST registration number
2. Recipient GSTIN: Your GSTIN (if provided)
3. Invoice number: Sequential and unique
4. Date of issue
5. Description of services: Hosting plan, domain, etc.
6. SAC code: 998315 or applicable code
7. Taxable value: Amount before tax
8. GST breakup: CGST + SGST or IGST
9. Total amount: Including GST
10. Place of supply: State where the service is supplied

Reverse Charge Mechanism (RCM)

In certain scenarios, the recipient (you) may need to pay GST under reverse charge:

• This typically applies when the service provider is unregistered
• {{COMPANY_NAME}} is GST-registered, so RCM generally does not apply to our services
• If you purchase international domain services directly from overseas providers, RCM may apply

HSN/SAC Codes Reference

Compliance Tips

1. Add GSTIN early: Add your GSTIN before making purchases so all invoices are GST-compliant from the start
2. Download invoices monthly: Keep records of all GST invoices for filing
3. Match with GSTR-2B: Verify that {{COMPANY_NAME}}'s invoices appear in your auto-populated return
4. Report discrepancies: If an invoice does not appear in GSTR-2B, contact our support team
5. Maintain records: Keep GST invoices for a minimum of 6 years as per GST law

Tip: Save your invoices in both PDF and digital format. The GST portal accepts digital records for audit purposes.

Frequently Asked Questions

Q: Can I get a refund of GST paid?

A: GST refunds are not provided directly. You can claim ITC if you are GST-registered, effectively reducing your GST liability.

Q: Is GST applicable on domain renewals?

A: Yes, GST at 18% applies to domain registrations, renewals, and transfers.

Q: My GSTIN was not on an old invoice. Can it be updated?

A: Credit notes and revised invoices can be issued in certain cases. Contact support with the invoice number and your GSTIN.

Related Articles

• Adding GSTIN to Your Account
• Managing Invoices
• Refund Policy and Process

For GST-related queries, contact our billing team at {{SUPPORT_EMAIL}} or open a ticket at {{SUPPORT_URL}}.