Construction and property
A fencing contractor's GST invoice should show fence type (chain link, barbed wire, welded mesh, concertina, compound grill), height, running metres, post spacing and post material, and gates. Fencing and railing services fall under SAC 995477 and, when the contractor supplies material and labour, the job is a works contract at 18%. Fencing materials sold separately are 18%: chain link and welded mesh under 7314, barbed wire under 7313, and RCC poles under 6810.
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Or create these invoices in software, free| Description | HSN/SAC | Qty | Rate (₹) | Taxable (₹) | GST |
|---|---|---|---|---|---|
| Chain link fencing 1.8 m high on RCC posts at 3 m spacing, incl. material and erection (composite) | 995477 | 420 RMT | 780.00 | 3,27,600.00 | 18% |
| Galvanised chain link mesh 10 gauge, 1.8 m x 15 m roll | 7314 | 10 NOS | 4,200.00 | 42,000.00 | 18% |
| Galvanised barbed wire, 25 kg coil | 7313 | 8 NOS | 2,400.00 | 19,200.00 | 18% |
| RCC fencing pole 7 ft | 6810 | 60 NOS | 450.00 | 27,000.00 | 18% |
| MS swing gate 4 m wide, fabricated and fixed | 995477 | 1 NOS | 38,000.00 | 38,000.00 | 18% |
| Taxable value | ₹4,53,800.00 | ||||
| GST (CGST + SGST, or IGST if inter-state) | ₹81,684.00 | ||||
| Invoice total | ₹5,35,484.00 | ||||
Sample prices are illustrative. Check the GST rate for your exact item or service before billing.
Rule 46 of the CGST Rules applies to every tax invoice, including this one:
Read more: SAC Codes for Construction Services Under GST (Heading 9954) · E-Way Bill Limit and Rules: When You Need One and When You Don't · Composition Scheme Under GST: Is It Right for Your Business?
Fencing and railing services are listed as 995477 under building completion and finishing in the SAC annexure. Fencing fixed into the ground with concrete foundations becomes part of the immovable property, so material-plus-labour contracts are works contracts taxed at 18%. The rate applies whether the land is a factory, a farm or a residential plot.
Notification 9/2025 places barbed wire of iron or steel under 7313 and cloth, grill, netting and fencing of iron or steel wire under 7314 in Schedule II at 18%. Articles of cement and concrete, including RCC poles under 6810, and steel structures like fabricated gates under 7308 are also at 18%. Fencing materials for agricultural land carry no separate concession in these entries, so farmers buying fencing pay 18%.
Fencing a farm is still a construction service, not an agricultural support service. The exemption list for agriculture covers activities like cultivation and harvesting support, not boundary construction. Contractors working under Government fencing subsidy schemes for farmers should check whether any specific exemption applies before issuing a bill of supply.
Fencing for Government land, forest areas and public institutions often goes through tenders. Contracts above ₹2.5 lakh attract 2% GST TDS by the department. Ensure the GSTIN of the deducting office is on the invoice and reconcile the TDS credit monthly.
Wire coils and RCC poles are heavy and a truckload easily exceeds ₹50,000. When moving material from your yard to a site, use a delivery challan and generate an e-way bill. Supplier invoices for material bought directly for the site should show the site as the ship-to address.
Small contractors with turnover up to ₹50 lakh can opt for composition for service providers at 6%. Contractors who trade in wire and posts from a shop must consider the whole business, because composition applies to all supplies under the same registration.
Fencing quantities look simple, but disputes are common where the boundary turns or follows uneven ground. Measure along the fence line, not the straight-line plot dimension, and have the client or their surveyor sign a measurement sheet before the final invoice. GST is charged on the certified quantity multiplied by the agreed rate; reductions agreed after invoicing must be made through a credit note referring to the original invoice, not by short payment.
Fencing and railing services are coded 995477, taxed at 18% as a works contract when material is supplied.
Barbed wire of iron or steel under HSN 7313 is taxed at 18%.
Chain link, welded mesh and other fencing of iron or steel wire fall under HSN 7314 at 18%.
Generally no. Fencing is a construction service, not an exempt agricultural service. Check any specific Government scheme exemption separately.
Yes, running metres are standard, but list post spacing, height and gates separately so the rate is clear.
Yes. Bush clearing and levelling along the fence line is site preparation work, which can be billed as a separate line, for example under 995435, at 18%, so that it is not assumed to be included in the running-metre fencing rate.
Sources: CBIC — Notification 9/2025-Central Tax (Rate), 17 Sep 2025 · ICAI IDTC — Notification 9/2025-Integrated Tax (Rate) as corrected 18 Sep 2025 · CBIC — Scheme of Classification of Services (SAC annexure)
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