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Published on:

November 28, 2024

Shaaransh Sharma

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GST FAQs

Gym/Exercise Equipment HSN Code & GST Rate - 9506

GST Rates HSN Code for Fitness and Exercise Equipment are very important information for fitness industry buyers and sellers alike. The Harmonized System of Nomenclature (HSN) organizes goods in a systematic way and facilitates tax administration as well as international trade.

Gym and exercise equipment in India are mainly categorized under HSN code 9506 which is for other sporting goods, fitness equipment and recreational products. In this article, we will look into the nuances in HSN code 9506, the GST rates that accompany it as well as specific codes of popular fitness accessories such as lifting belts, weight machines and mats used in yoga.

What is HSN Code 9506?

HSN Code 9506 for sporting goods, fitness accessories and similar items From here, it includes a whole host of goods namely:

Gym cardio treadmills, weighted balls, dumbells, weight lifting machine
Sports items such as footballs, basketballs and cricket bats.
Lightweight Fitness equipment such as yoga mats and resistance bands.

This would ensure uniform classification of goods and services and assist businesses and authorities in determining the correct rate of GST for the concerned items.

GST Rate for HSN Code 9506

GST is applicable on goods to be covered under HSN code 9506, predominantly 18% except for some items based on usage/nature. Most of the equipment used in gyms and sports attracts 18% GST, so sellers should classify them correctly under this code to avoid tax reversal.

Lifting Belt HSN Code

HSN Code for Lifting Belts

A lifting belt is a product that comes into the category of HSN code 9506 which is quite important for weightlifters and those who go to the gym. Such a classification standardises tax treatment and makes trade documentation easier.

GST Rate for Lifting Belts

The GST rate for lifting belts is 18% Under HSN code 9506. Lifting belts are categorized as gym equipment for the purpose of taxation, whether for bodybuilding or fitness.

Weight Machine HSN Code

HSN Code for Weight Machines

Gym equipment; Weight machines: Equipment used for strength training and body conditioning, commonly found in gyms and fitness centres. Such equipment consists of machines such as:

a. Cable crossover machines

b. Leg press machines

c. Bench press setups

d. Multi-functional gym stations

Gym and fitness items also include weight machines under HSN code 9506.

GST Rate for Weight Machines

The GST rate applicable to weight machines is 18%, aligning with other gym equipment under the same HSN code. It’s crucial for manufacturers and retailers to classify weight machines correctly to comply with tax regulations.

Yoga Mat HSN Code

HSN Code for Yoga Mats

With the growing adoption of wellness and fitness, yoga mats — a primary instrument for anyone practising yoga — are on the rise. These are different from the mats that we use in the gym or locker room.

The correct HSN code for yoga mats is 9506, which classifies them under fitness equipment. This ensures that they are taxed uniformly in various markets..

GST Rate for Yoga Mats

Other fitness apparatus such as yoga mats also attracts GST at 18% under HSN code 9506. This GST rate must be included when billing customers by the retailers selling these yoga mats.

Significance of Correct HSN Code Classification

Correct assessment of the HSN code 9506 is important for businesses in the fitness and gym sector for to following reasons:

Tax Compliance: A correct classification helps ensure GST compliances are being met and that the organization does not incur any fines.
Simplified Trade Procedures: HSN codes simplify the paperwork for both inter-state and intra-state trade.
Consistency: Uniform codes prevent misunderstanding and errors when filing taxes.

You might also be interested in Repair and Maintenance HSN Code - 9987

GST Filing Tips for Gym Equipment Businesses

In case you are a manufacturer, retailer or distributor in the fitness industry space — follow the below-mentioned tips they may make GST compliance easier:

Know the HSN Code System: You must know the applicable HSN codes for example, gym and fitness equipment has an HSN code of 9506.
Proper Documentation: The invoices must mention the correct HSN Code & GST Rate to avoid any issues during an audit.
Leverage Accounting Software: Utilize software solutions like Swipe that can automate GST computations and help you keep a record of your tax filings.
Be Aware: Keep an eye on announcements regarding changes in GST rates or classifications of HSN codes by the tax authorities.

Common Gym Equipment and Their HSN Codes

Below is a quick reference for commonly used gym equipment and their associated HSN codes and GST rates:

HSN Code	Description	Rate (%)	Effective Date	Rate Revision
9506	General Physical Exercise & Sports Equipment, Swimming Pools & Paddling Pools	12/18	15/11/2017, 1/07/2017	Reduced from 28% to 12/18%
95061100	Snow-Skis and Similar Equipment	12/18	15/11/2017, 1/07/2017	Reduced from 28% to 12/18%
95061200	Water-Skis, Surfboards, Sailboards	12/18	15/11/2017, 1/07/2017	Reduced from 28% to 12/18%
95063100	Golf Clubs and Other Golf Equipment	12/18	15/11/2017, 1/07/2017	Reduced from 28% to 12/18%
95064000	Table Tennis Equipment	12/18	15/11/2017, 1/07/2017	Reduced from 28% to 12/18%
95065100	Tennis, Badminton, or Similar Rackets	12/18	15/11/2017, 1/07/2017	Reduced from 28% to 12/18%
95066100	Balls (Other Than Golf Balls)	12/18	15/11/2017, 1/07/2017	Reduced from 28% to 12/18%
950662	Inflatable Balls	12/18	15/11/2017, 1/07/2017	Reduced from 28% to 12/18%
95067000	Ice Skates and Roller Skates	12/18	15/11/2017, 1/07/2017	Reduced from 28% to 12/18%
950691	Equipment for General Physical Exercise, Gymnastics, or Athletics	12/18	15/11/2017, 1/07/2017	Reduced from 28% to 12/18%
950699	Other Sports Equipment	12/18	15/11/2017, 1/07/2017	Reduced from 28% to 12/18%

Exemptions and Special Cases

While most of the gym equipment falling under HSN code 9506 is subject to 18% GST, certain exemptions and variations do exist:

Educational Institutions: Equipment that is purchased for educational or training institutions may be eligible for a lower GST rate.
Government Efforts: The lowest GST rate applying to some sports and fitness goods may result from government endeavours to encourage health and fitness.

Impact of GST on the Fitness Industry

GST Roll-Out & HSN Code 9506 for Gym Equipment The Fit India movement has finally made headlines but the journey of fitness in India took a significant turn with the introduction of GST.

1. Unified Pricing: Consumers and others have benefited from GST as it has made prices uniform across the states.

2. Simplified Business Environment: Businesses benefit from the Bloc's single tax system which makes it convenient and easy for them to comply with tax laws and conduct business.

3. Cost Impact: With fitness equipment falling under the 18% GST bracket, it has increased marginal costs for small businesses and end purchasers.

Conclusion

Anyone who is into the trade or use of gym and exercise equipment needs to have an understanding of HSN code 9506 and its related GST rates. From lifting belts, MRIs, and yoga mats to weight machines; correct classification under this code keeps business running smoothly. While the consistent GST operating at 18% reduces uncertainty, businesses still need to keep an eye on tax notifications.

Gym owners, fitness cyclists & equipment merchants can benefit from these tax rules to ease things up a bit in their processes without getting into any legal trouble and gain insight into the finance of fitness goods. If you are planning to purchase fitness equipment for your home gym or operate a commercial gym then these HSN codes will help you make informed business decisions before purchasing any fitness products.

FAQs

1. What is the HSN code for gym and fitness equipment?

HSN Code For Gym And Fitness Accessories is 9506 (Sports Goods, Fitness Accessories And Other Recreational Products) Treadmills, Dumbbells, Weight Lifting Machines, Yoga Mats

2. What is the GST rate applicable to gym and fitness equipment under HSN code 9506?

For gymnastic and physical fitness equipment, HSN code 9506 attracts GST at the rate of 18%, which is also applicable to most of the items unless specified otherwise by exemption notification, or under a special initiative taken by the government.

3. Are lifting belts, yoga mats, and weight machines included under HSN code 9506?

Yes, weight machines are classified under HSN code 9506 and attract an 18% GST rate because it is a type of gym or fitness equipment such as lifting belts, yoga mats etc.

4. What is the significance of correctly classifying gym equipment under HSN code 9506?

Right classification aids in true tax compliance, expedites trade processes and avoids penalties during tax audits. It also assists businesses and authorities in identifying the correct GST rate applicable to respective goods.

5. Are there any exemptions or reduced GST rates for gym and fitness equipment?

The HSN code states most gym equipment is taxable at 18%, while the exemption is there for some groups approved by the government. Fitness equipment bought by government bodies or educational institutions to promote health and fitness falls under the exempted category