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Published on:
February 25, 2023
By
Harshini

Understanding GST Rates and HSN Code for Other Furnishing Articles

Furnishing articles are crucial elements of any household or office setup, as they add to the overall aesthetics and comfort. In India, the Goods and Services Tax (GST) has brought about significant changes in the tax structure for various goods and services, including furnishings.

If you are a small or medium business owner dealing with furnishing articles or a startup founder venturing into this industry, it is essential to understand the GST rates and HSN code for other furnishing articles. Let's dive deep into it.

What are Other Furnishing Articles?

Other Furnishing Articles refer to products that are used for decoration or utility purposes, such as curtains, carpets, rugs, bed linen, table linen, etc. These articles are designed to add visual appeal and comfort to a living or working space.

GST Rates for Other Furnishing Articles

The GST rates for other furnishing articles vary based on the type of product and its usage. Some of the common types of furnishing articles and their GST rates are as follows:

1. Curtains and interior blinds - 18%

2. Bed linen, table linen, toilet linen, and kitchen linen - 12%

3. Rugs and carpets - 12%

4. Blankets and travelling rugs - 12%

5. Other articles of textiles - 5%

It is essential to note that GST rates are subject to frequent changes based on the government's policies and requirements. Hence, it is advisable to check for the latest GST rates for other furnishing articles from the official GST portal.

HSN Code for Other Furnishing Articles

HSN or Harmonized System of Nomenclature is a global classification system for goods and services. It helps in the systematic identification and classification of products and services for trade and taxation purposes. Each product or service is assigned a unique HSN code based on its characteristics and usage.

The HSN code for other furnishing articles is 6304. This code is used for products such as bed linen, table linen, toilet linen, kitchen linen, curtains, interior blinds, and other textiles.

Impact of GST on Other Furnishing Articles Industry

Since the implementation of GST, the taxation structure for various industries has undergone significant changes. The furnishing industry is no exception. The GST system has streamlined the tax structure for furnishing articles, making it easier for small and medium businesses to comply with tax regulations.

Moreover, the GST system has reduced the cascading effect of taxes that existed in the pre-GST era. This means that businesses no longer have to pay multiple taxes on the same product or service, resulting in lower costs and better profit margins.

Conclusion

In conclusion, understanding the GST rates and HSN code for other furnishing articles is crucial for small and medium business owners and startup founders operating in this industry. The GST system has brought about significant changes in the tax structure for various industries, including the furnishing industry, making it easier for businesses to comply with taxation regulations and improve their profit margins.

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Updated on:
March 16, 2024