Homeopathy is a recognised system of medicine, so consultation and treatment by a registered homeopath are exempt health care under SAC 999312. Many homeopaths dispense medicines as part of a single consultation-plus-medicine fee, which is a composite health care service. Where the clinic sells bottled homeopathic medicines, mother tinctures or biochemic tablets separately, they are goods under HSN 3004 at 5%. The bill should show the case number, the course length and whether medicines are included in the fee.
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Consultation with dispensed medicine is one exempt service
Homeopaths commonly charge one fee that covers consultation and the medicines dispensed for the course. Health care services by an authorised medical practitioner in a recognised system are exempt, and medicines given as part of that treatment form a composite supply whose principal supply is health care. The whole fee is therefore exempt. Do not split out a notional medicine value and charge GST on it, which would be wrong in law and confusing to patients. Keep the dispensing record in the case file.
Separate medicine sales are 5%
When the clinic runs a counter selling sealed homeopathic dilutions, mother tinctures, biochemic salts or branded combinations to walk-in buyers, those are sales of goods. The rate notification for headings 3003 and 3004 expressly includes homoeopathic medicaments, and the rate moved from 12% to 5% from 22 September 2025. A registered clinic must issue a tax invoice for those sales. If the clinic is unregistered because its turnover is below the threshold, it sells without charging tax.
Registration with a pharmacy counter
A homeopath with only exempt fees need not register. Adding a counter changes this: aggregate turnover, including exempt consultation fees, decides whether the threshold for registration is crossed. Clinics with a large practice and a small counter can therefore find themselves liable to register. Track counter sales separately from day one so you know when you approach the limit.
Online consultations and couriered medicine
Online consultation by a registered homeopath is still exempt health care. When medicines are couriered as part of the course, the courier charge is part of the treatment cost. If you charge the courier separately and the medicines are a separate sale, the courier charge follows the medicine sale as a composite supply of goods. Decide your model and apply it consistently on every bill.
Input credit on medicines bought
Homeopathic medicines bought from manufacturers carry 5% GST. Credit is available only on stock sold through the taxable counter; stock used in exempt treatment requires credit reversal. A simple method is to buy counter stock and dispensary stock on separate invoices, or to track issues to the dispensary and reverse credit monthly.
Group practice and visiting homeopaths
Larger clinics engage visiting homeopaths on a fee-sharing basis. A visiting doctor who treats the clinic's patients provides health care, and their charge to the clinic is commonly treated as exempt. Rent of a chair or cabin charged by the clinic to an independent doctor is not health care; it is renting of premises, a taxable service once the clinic is registered. Write the arrangement down, since the label on the payment decides the tax.
Common billing mistakes
✕Charging GST on the medicine portion of an all-inclusive consultation fee.
✕Selling sealed homeopathic medicines over the counter without a tax invoice when the clinic is registered.
✕Still using the old 12% rate on homeopathic medicines after 22 September 2025.
✕Leaving out the case number, so payments over a long treatment cannot be traced.
Homeopathy clinic GST invoice: FAQ
Is GST applicable on homeopathy consultation?
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No. Consultation and treatment by a registered homeopath are exempt health care, including medicines dispensed as part of the treatment fee.
What is the GST rate on homeopathic medicines?
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5% from 22 September 2025 under HSN 3003 or 3004, which expressly cover homoeopathic medicaments.
Does a homeopath need GST registration?
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Not if all income is from exempt consultation and treatment. A separate taxable medicine counter can trigger registration once aggregate turnover crosses the threshold.
Is online homeopathy consultation exempt?
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Yes, it is still health care by an authorised practitioner. Medicines couriered as part of the course are part of that exempt service.
Can a homeopath show medicine cost separately on the bill?
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Yes, for the patient's information, but if the medicines are dispensed as part of the treatment the whole bill stays exempt. Mark clearly that they are included in the treatment.