GST on healthcare confuses a lot of front desks, and getting it wrong means either over-charging patients or under-reporting tax. Here’s the shape of it in plain terms. (Confirm specifics with your tax advisor — rules and rates change.)
Core healthcare is exempt
Services by a clinical establishment for diagnosis or treatment — OPD consultation, procedures, admission — are generally exempt from GST. For these you raise a Bill of Supply, which carries no tax.
What is usually taxable
Non-clinical supplies typically attract GST: over-the-counter pharmacy retail, cosmetic and aesthetic procedures, some equipment, and certain room categories above notified thresholds. For these you raise a Tax Invoice showing the GST.
CGST, SGST and IGST
Within your state, GST splits into CGST (central) and SGST (state) at half the rate each. Across states, a single IGST applies at the full rate. Our free GST calculator does the split for you.
Keep OPD billing clean
The safest setup raises the right document automatically — Bill of Supply for exempt consults, Tax Invoice for taxable items — so nobody has to remember. That’s how OlivHealth OPD billing works, and you can generate either document today with our invoice generator.