GST Rate for Gold Jewelry

The GST Council has the sole responsibility of fixing all GST Rate for goods and services in India. The GST rate for gold can be categorized under these seven rates 0%, 0.25%, 3%, 5%, 12%, 18% and 28%. The GST rate for all goods with gold inclusive is linked to the HSN code. We will extensively discuss the GST rate for Gold as well as its corresponding HSN code in this article.

GST Rate for Gold

For gold jewelry, precious stones and metals, the GST rates are pegged at 3%. This means that the end consumer will be charged 3% of the taxable value stated on the invoice. Since most gold sold in India are through face to face sale, only CGST and SGST would be applicable on the purchase.

However, for gold purchased outside a state through an online platform, then IGST would be applicable. Also, there is a 10% customs duty attached to gold as well as 5% for gold making which will marginally raise the cost of gold and gold jewelry.

HSN Code for Gold & Jewellery- HSN Chapter 71

HSN chapter 71 encompasses all the HSN code various precious metals, stones, and gold.

Below is the HSN code for all forms and types of gold:

  • For gold powder, the HSN code is 7108 11 00.
  • For another unprocessed form of gold, the HSN code is 7108 12 00.
  • For semi-manufactured gold, the HSN code is 7108 13 00
  • For monetary gold, the HSN code is 7108 20 00
  • For gold base metals or silver plated with gold which doesn’t undergo any further processing, the HSN code is 7109 00 00

For all the above mentioned, a GST rate of 3% is applicable.

Jewelry made from precious metals also fall within the HSN code 7113 as follows:

  • For jewelry with filigree work, the HSN code is 7113 11 10
  • For jewelry studded with gems, the HSN code is 7113 11 20
  • For other articles of jewelry the HSN code is 7113 11 30
  • For gold (unstudded) jewelry, the HSN code is 7113 19 10
  • For gold jewelry set with pearls, the HSN code is 7113 19 20
  • For gold jewelry set with diamonds, the HSN code is 7113 19 30
  • For gold jewelry set with other precious and semi-precious stones, the HSN code is 7113 19 40

For all the above jewelry mentioned, a GST rate of 3% is applicable.

Gold Coin is categorized under HSN Code 7118 with a GST rate of 3%.

Imitation jewelry is categorized under HSN code 7117 as follows:

  • For imitation jewelry of base metal, the HSN code is 7117 11 90.
  • For imitation jewelry in the bangles form the HSN code is 7117 19 10.
  • For jewelry studded with imitation pearls or synthetic stones the HSN, the code is 7117 90 10

GST State Codes

GST is a unified means of collecting tax in the country with every state having a unique system for identification. Every registered business under GST will be given a 15 digit temporary ID or GSTIN. The 15 digits are broken down into state code (2 digits), PAN number (10 digits), number of registrations (1), while the remaining two digits serve as a check digit.

GST State Codes

GST State Code         State Name
1 ASSAM
2 MEGHALAYA
3 MIZORAM
6 BIHAR
7 JHARKHAND
9 ARUNACHAL PRADESH
10 WEST BENGAL
14 NAGALAND
15 MANIPUR
16 ORISSA
17 SIKKIM
18 TRIPURA
19 ANDAMAN & NICOBAR
20 UTTAR PRADESH
21 UTTARANCHAL
29 DELHI
30 PUNJAB
34 HARYANA
39 CHANDIGARH
44 JAMMU & KASHMIR
46 HIMACHAL PRADESH
50 RAJASTHAN
54 GUJARAT
60 MAHARASHTRA
67 DAMAN & DIU
68 GOA
69 DADRA & NAGAR HAVELI
70 MADHYA PRADESH
71 CHATTISGARH
80 ANDHRA PRADESH
84 KARNATAKA
89 LAKSHADWEEP
90 TAMIL NADU
96 KERALA
99 PONDICHERRY

 

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