GST Rates & HSN Code for Artificial Filament Tow (5502)

In the textile and fibre industries, artificial filaments play an important role in the production of synthetic fibres. These are widely used in clothing, home presentation and industrial clothing. With the implementation of clothing. With the implementation of the GST regime in India, it became necessary for manufacturers, suppliers and exporters, and exporters to understand how these are taxed.

Such a product category is artificial incandescent, which is classified under code 5502. This blog needs to learn about its GST speed. HSN classification, use and compliance.

What is the artificial glow thread?

Artificial glow services refer to long threads of synthetic fibers that are at the same time grown and used as a precursor for staple fiber production. These filaments usually consist of materials such as viscose, acetate or other chemically treated cellulose-based substances.

Tow is actually an intermediate product, which is not yet converted to prepared threads or clothing, but is used as raw material for staple fiber production through cutting or drawing processes. There is much consumed in textile factories and fiber processing units to create yarns for different industrial and consumer applications.

HSN Code 5502: classification description

Under the harmonic naming system, the artificial incandescent threads are below 5502, official details of this title are: artificial filament toes. This HSN code contains all non-natural, chemically produced towing that is intended for further processing in man-made staple fibre. The classification under HSN 5502 ensures uniform taxation and helps to streamline challan, logistics, and customs documents.

GST Speed on Artificial Filament Tow

Artificial drainage is a large raw material for the textiles and clothing production industries. It is used to produce man-made staple fibers that are later spun into yarn and are woven or woven in cloth. Industries involved in non-woven fabrics, upholstery and technical fabrics also depend on these fiber because of their uniformity and strength. Because the incandescent thread is an intermediate product, it usually travels to spinning factories before reaching clothing manufacturers from chemical fiber systems.

Entrance on Purchase Loan

Companies that buy artificial filament tow for production purposes may require an incoming tax credit on GST payments. It is provided the product is used during the business. This helps reduce the total tax liability, especially for downstream manufacturers of synthetic fibre yarns and textiles. ITC requires appropriate GST registration, valid tax invoices and GSTR-3B.

GST implications on imports

When the artificial incandescent threads are imported into India, the basic Customs Service (BCD), social welfare, and Ignst are attracted. The implemented ICT rate remains 18%, in line with domestic GST classification below HSN 5502. Importers should ensure the correct assessment and classification in the entry bill to avoid imprisonment, penalties or incorrect ITC requirements. Input tax paid at the time of import is also eligible for input points if the imports are registered and the goods are used for business.

Rate Revision	Rate Revision	Rate Revision
5502	Artificial Filament Tow	18%
55020010	Artificial Filament Tow - Artificial Filament Tow: Acetate Rayon Tow	18%
55021010	Viscose Rayon Tow	18%

Challan Guidelines under GST

For artificial glow services, invoices must follow GST rules for format and disclosures. The invoice should mention product details, HSN code 5502, quantity, taxable price, GST interest and GST amount. For delivery between the charge must be charged; For transactions between the states, CGST and SGST must be shared evenly. The exact challenge helps to ensure compliance, facilitates input requirements for buyers and maintains openness in the supply chain.

Historical GST Speed Change

Since the GST rolled in July 2017, artificial filament tow has been below 18% subsequent GST bracket. This reflects the government’s approach to the product as an industrial input rather than a consumer. No speed reduction has been implemented so far for HSN 5502, although the textile industry has provided periodic appeals for relief. Companies should monitor the announcements of the GST council in the event of starting changes in the future.

Conclusion

State Aars and CBIC explanation confirm the advance decision that the artificial drainage thread to be used as raw material for the manufacture of synthetic fibers is taxable at 18% below the artificial drainage of HSN 5502. In some cases, in some cases, disputes have arisen more than the classification between file, Classifications under the correct documentation, product tests, and specification sheets that are revisions help to avoid controversy.

FAQs

What is the GST frequency for artificial glow thread in India?

The GST frequency is 18%, including CGST and SGST or IGST, depending on the transactions and intra-state or interstate.

What is the HSN code used for artificial filament toes?

Yes, registered companies may require incoming tax credit if towed for production or further business processing.

Is there a difference in GST treatment for the import of incandescent?

No, Igst applied to imports is also 18%. Further customs may apply on the basis of original and used business agreements.

Has the GST rate changed for HSN 5502 since 2017?

No, this rate has been stable at 18% since the GST regime was introduced.

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