Explore the GST rates and HSN codes applicable to knitted or crocheted apparel and clothing accessories under Chapter 61. Stay informed for FY 2025-26.
GST Rates & HSN Codes
FAQs on GST Rates and HSN Codes
Detailed overview of GST rates and HSN codes for knitted or crocheted apparel and clothing accessories.
Understanding HSN Codes
HSN codes are used to classify goods for taxation purposes. Chapter 61 covers knitted or crocheted apparel.
HSN 6101: Men's or boys' overcoats, car-coats, capes, cloaks, anoraks, including ski-jackets, wind-cheaters, wind-jackets and similar articles.
HSN 6102: Women's or girls' overcoats, car-coats, capes, cloaks, anoraks, including ski-jackets, wind-cheaters, wind-jackets and similar articles.
HSN 6103: Men's or boys' suits, ensembles, jackets, blazers, trousers, bib and brace overalls, breeches and shorts.
GST Rates for Apparel
GST rates vary based on the type and value of apparel. The standard rates for knitted or crocheted apparel are outlined below.
5% GST for apparel valued up to ₹1,000 per piece.
12% GST for apparel valued above ₹1,000 per piece.
Special rates may apply for specific categories under government notifications.
Example Calculation
Illustrative example of GST calculation for a knitted garment.
Consider a knitted sweater priced at ₹1,200.
GST applicable: 12% of ₹1,200 = ₹144.
Total price including GST: ₹1,200 + ₹144 = ₹1,344.
Compliance Requirements
Ensure compliance with GST filing and invoicing requirements.
File GST returns using GSTR-1 for outward supplies.
Maintain accurate records of HSN codes used in invoices.
Ensure e-invoicing compliance if turnover exceeds ₹10 crore.
What is the GST rate for knitted apparel under ₹1,000?
The GST rate for knitted apparel priced under ₹1,000 is 5%.
How are HSN codes structured for apparel?
HSN codes for apparel in Chapter 61 are structured to categorize different types of garments, such as overcoats, suits, and trousers.
What is the GST rate for apparel priced above ₹1,000?
For apparel priced above ₹1,000, the applicable GST rate is 12%.
Is e-invoicing mandatory for all apparel businesses?
E-invoicing is mandatory for businesses with a turnover exceeding ₹10 crore. Smaller businesses are currently exempt.
Can I claim input tax credit on apparel purchases?
Yes, businesses can claim input tax credit on GST paid for apparel purchases, subject to compliance with GST rules.
What documents are required for GST compliance?
Businesses must maintain sales invoices, purchase invoices, and records of HSN codes for GST compliance.
How often must GST returns be filed?
GST returns must be filed monthly using GSTR-1 for outward supplies and GSTR-3B for summary returns.
What happens if I use the wrong HSN code?
Using the wrong HSN code can lead to penalties and compliance issues. It's important to verify codes before filing.
Are there any exemptions for small apparel retailers?
Small retailers with turnover below ₹20 lakh are exempt from GST registration, subject to conditions.
How can I update my HSN codes?
HSN codes can be updated in your GST registration details through the GST portal. Ensure accuracy to avoid issues.