GST rate and HSN code for readymade garments
GST on readymade garments is 5% from 22 September 2025 when the sale value is up to ₹2,500 a piece, and 18% above ₹2,500. Knitted clothes are HSN Chapter 61 and woven clothes Chapter 62. Clothes above ₹2,500 moved from 12% to 18%. The limit is checked per piece, not per bill.
HSN code and GST rate for readymade garments
| Condition | HSN | GST | CGST + SGST | IGST | Schedule entry |
|---|---|---|---|---|---|
| Sale value up to ₹2,500 a piece | 61 / 62 | 5% | 2.5% + 2.5% | 5% | Notification 9/2025-CT(Rate), Schedule I, S. No. 388 |
| Sale value above ₹2,500 a piece | 61 / 62 | 18% | 9% + 9% | 18% | Notification 9/2025-CT(Rate), Schedule II, S. No. 197 |
In force from 22 September 2025. Inside your State, half the rate is CGST and half SGST; for a buyer in another State the full rate is IGST (same entries in Notification 9/2025-IT(Rate)). Entry wording (shortened): “Articles of apparel and clothing accessories, knitted or crocheted (Chapter 61) or not knitted or crocheted (Chapter 62)”.
What changed in September 2025
| Condition | Before 22 Sep 2025 | From 22 Sep 2025 |
|---|---|---|
| Sale value above ₹2,500 a piece | 12% | 18% |
Old rate as listed in Annexure I of the PIB release on the 56th GST Council meeting (3 September 2025).
What to print on the bill
- Print the 4-digit heading (for example 6109 T-shirts, 6205 shirts, 6203 trousers).
- Work out the rate on each piece's sale value: ₹2,500 or less is 5%, more is 18%.
- On a bill with both, show each line's rate; your software should pick it from the price.
- HSN digits: 4 if your turnover last year was up to ₹5 crore, 6 above that; up to ₹5 crore you may leave HSN off bills to unregistered buyers (Notification 78/2020-CT). More in B2C bill rules.
Common mistakes
- Using one GST rate for a whole clothing category, whatever the price.
- Applying the ₹2,500 limit to the bill total instead of each piece.
- Using MRP instead of the price actually charged without checking with your CA how discounts affect the limit.
Put the right HSN and GST on every bill
RichPOS saves the HSN and GST rate on each item and applies them on every bill automatically, with the HSN printed on A4 GST invoices and GST reports by HSN for your CA. Free 30-day trial, ₹99/month for 3 months (then ₹199/month).
Questions about GST on readymade garments
What is the GST on clothes above ₹2,500?
18% (Schedule II, S. Nos. 197 and 198). It was 12% before (PIB, Annexure I).
Is the ₹2,500 limit per piece or per bill?
Per piece. The entries read 'of sale value not exceeding Rs. 2500 per piece'.
Is a two-piece set one piece?
A set sold as one article at one price is usually treated as one piece. If you price items separately, each is checked separately. Ask your CA for your case.
What changed for clothes up to ₹2,500?
They stay at 5%, but the price limit for 5% changed. PIB lists it as 'change in value, no change in rate (5%)'.
More clothing, footwear and jewellery
Look up another item in the HSN and GST rate finder, or see all GST rates by category.
General information, not tax advice. Rates are taken from Notification No. 9/2025-Central Tax (Rate), dated 17 September 2025, as amended, and were last checked on 16 October 2026. The rate depends on the exact description and classification of your product: check it with your CA.