Gst On Installation Of Solar Panels

The total incidence of tax on the spgs would increase to 8 9 per cent with implementation of the gst.

Gst on installation of solar panels.

However for installation and engineering services epc companies and installers will need to raise a separate works contract equivalent to 30 of the overall bill with a gst rate of 18. The gst council issued clarity on the confusion over the rates for solar power projects. This info sheet provides details on the gst hst entitlements and obligations of a participant in the microfit program. Gst on solar power generating plant and other renewable energy plants gst rate of 5 rate has been prescribed on renewable energy devices parts for their manufacture bio gas plant solar power based devices solar power generating system sgps etc falling under chapter 84 85 or 94 of the tariff other goods or services used in these.

While solar panels were classified under 5 per cent tax slab industry had contested saying other equipments such as metals electrical material etc are under different and higher tax slabs which would increase the cost of power project. The info sheet discusses gst hst registration requirements and a person s eligibility to recover the gst hst paid or payable on the acquisition of a solar panel system where all of the electricity produced by the system is sold to the ontario power authority or its designate.