The Printing and Publishing industry in India covers a broad spectrum — from newspapers and books to labels, packaging, and commercial printing services. Under the Goods and Services Tax (GST) regime, these activities fall under different tax slabs depending on the nature of supply and type of printed material. Understanding the correct classification is crucial for GST compliance and pricing strategy.
Goods and Services Tax (GST) is a unified indirect tax applied on the supply of goods and services across India. For the printing and publishing sector, GST can apply either as a goods supply, services supply, or a composite supply, depending on the contract.
When the printing company uses content and materials provided by the customer, it is treated as a supply of service.
✅ Example: Printing of exam papers, corporate brochures, or customized catalogs.
When the printer provides both content and paper, it is treated as a supply of goods.
✅ Example: Printer produces and supplies books, magazines, or packaging labels.
📌 Composite vs. Mixed Supply:
Composite supply: Printing + design services bundled naturally (taxed at rate of principal supply)
Mixed supply: Bundled services not naturally bundled — taxed at the highest rate among components.
| Type of Product/Service | GST Rate |
|---|---|
| Printing of books, newspapers, journals (content by customer) | 12% |
| Printing of commercial stationery, brochures, etc. | 18% |
| Sale of printed books (non-commercial) | Exempt |
| Sale of newspapers and periodicals | Exempt |
| Printing of packaging materials (with/without design) | 18% |
| Advertising materials (calendars, posters) | 18% |
Printed books, including school textbooks: ✅ Exempt from GST
eBooks: ❌ Taxed at 18%
Printing textbooks (as a service): ✅ Taxable at 12%
Physical newspapers and journals: ✅ Exempt
Printing magazines for publishers (service): ✅ 12%
Selling advertisements in print media:
Ad space in newspapers: ✅ 5%
Other print ads: ❌ 18%
✔️ Available for taxable printing services and supplies
❌ Not available for exempt items (e.g., sale of books or newspapers)
📌 Publishers involved in both taxable and exempt supplies must apportion ITC as per Rule 42 & 43 of CGST Rules.
For goods (e.g., printed books): Place of supply = location of delivery
For services (e.g., printing job): Place of supply = location of the recipient, if registered
⚠️ Classification Disputes: Whether printing is a service or goods
⚠️ Mixed vs. Composite Supply: Determining applicable tax rate
⚠️ Multiple GST Rates: For similar-looking printed products
⚠️ ITC Apportionment: For businesses involved in both exempt and taxable activities
The printing and publishing industry operates under a complex GST structure due to varied nature of supplies — goods, services, or a combination of both. A clear understanding of GST rates, classification of supplies, and ITC eligibility is essential to remain compliant and competitive.