Gym, fitness centre, yoga and personal-training services are now taxed at 5% GST without Input Tax Credit — cut from 18% under the GST 2.0 reform effective 22 September 2025 (SAC 999723, physical well-being services). Gym equipment such as treadmills and weights (HSN 9506) still attracts 18%. A gym must register once turnover crosses ₹20 lakh.
GST Rate for Gyms & Fitness — Decision Table
The GST rate for every common gym and fitness scenario in India, with ITC eligibility and the relevant SAC/HSN code.
| Type of Supply | GST Rate | ITC | Code / Notes |
|---|---|---|---|
| Gym membership (monthly / annual) | 5% | No | SAC 999723 · incl. joining fee |
| Personal training sessions | 5% | No | If trainer > ₹20L turnover |
| Aerobics / Zumba / CrossFit classes | 5% | No | Group or individual |
| Yoga / meditation (commercial studio) | 5% | No | Charitable (12A/12AA): may be exempt |
| Swimming pool / health-club membership | 5% | No | Commercial well-being service |
| Sports coaching (cricket, tennis academy) | 5% | No | Private academies |
| Gym below ₹20L annual turnover | Nil | — | No registration required |
| Gym equipment — treadmill, weights, machines | 18% | Yes | HSN 9506 · goods · buyer claims ITC |
Rates reflect the GST 2.0 two-slab structure effective 22 September 2025 (services cut 18%→5% without ITC). Confirm on the official GST portal before invoicing.
Fitness Service (5%) vs Gym Equipment (18%)
For a gym the split is simple: the service you sell (membership, training, classes) is now 5% without ITC, while the equipment you buy to run it stays at 18% as goods.
Fitness & well-being services — no ITC
- Gym & health-club membership
- Personal training & group classes
- Yoga, Zumba, CrossFit, aerobics
- Swimming pool & academy coaching
- Input Tax Credit not available
Gym equipment (HSN 9506) — with ITC
- Treadmills, cycles, cross-trainers
- Free weights, barbells, dumbbells
- Weight machines & cable pulleys
- Yoga mats & resistance gear
- Gym owner can claim ITC as a buyer
Not sure which rate applies to your gym services or purchases?
Get My GST Rate →GST on Gym Equipment — HSN 9506
Articles and equipment for general physical exercise fall under HSN 9506 and continue at 18% GST after the September 2025 reform. As a registered gym you buy these as business inputs, so you can claim ITC on the equipment even though your service is on the 5% no-ITC rate.
| Equipment | GST Rate | HSN | ITC for Gym |
|---|---|---|---|
| Treadmills, exercise cycles, cross-trainers | 18% | 9506 | Yes |
| Free weights, barbells, dumbbells | 18% | 9506 | Yes |
| Weight machines, cable pulleys, racks | 18% | 9506 | Yes |
| Yoga mats, resistance bands | 18% | 9506 | Yes |
| Air conditioners for the gym | 18% | 8415 | Yes |
HSN 9506 covers general physical-exercise equipment. Confirm the exact code and rate on the CBIC rate finder before purchase.
How GST Adds Up — ₹12,000 Membership
5% Annual gym membership
18% Old rate (before 22 Sep 2025)
The rate cut from 18% to 5% saves this member ₹1,560 on the same fee — the intended relief of the GST 2.0 rationalisation for well-being services.
At the 5% rate your gym cannot claim Input Tax Credit on rent, interiors, utilities or equipment — that GST becomes an embedded cost you price into your fees. The lower headline rate helps members, but the loss of ITC can raise the gym's own cost base, so re-check your pricing.
Repriced your memberships after the rate cut? Get your invoices & returns aligned.
Get Gym GST Advice →ITC on Gym Services — Who Can Claim What?
Two separate ITC questions arise — the gym's own credits, and a business paying gym fees for staff. Read them with the input tax credit rules.
| Scenario | ITC? | Reason |
|---|---|---|
| Gym on the 5% service rate — its own inputs | No | 5% rate is expressly without ITC |
| Gym buying equipment (HSN 9506) as a business | Yes | Goods bought for business use — normal ITC |
| Employer paying gym membership for employees | No | Blocked under Section 17(5) — health / recreation |
| Individual buying a gym membership | — | Not registered — no ITC |
The 5% no-ITC rate applies to the fitness service itself; ITC on equipment purchases follows normal goods rules.
The 18%→5% cut is a member-side saving, not a gym-side one. Because the 5% rate carries no ITC, a gym with heavy rent and fit-out costs may see its effective cost rise even as the price on the invoice falls — model both sides before you reprice.
Want your gym's post-reform GST position reviewed end to end?
Talk to a GST Expert →Gym GST Compliance Checklist
Registration is mandatory once aggregate turnover crosses ₹20 lakh (₹10 lakh for special-category states). Here is the full compliance picture for a gym, studio or fitness centre:
- GST registration (GSTIN)
- Correct 5% classification on services
- Tax invoice on membership & training
- Repricing memberships to the 5% rate
- GSTR-1 (outward supplies)
- GSTR-3B (monthly / quarterly)
- ITC only on equipment purchases
- No ITC on the 5% service inputs
- E-invoicing applicability
- Books & records upkeep
- GSTR-9 annual return
- TDS on independent-trainer payments
Frequently Asked Questions
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