Jewellery HSN Codes: Gold, Artificial or Imitation, Diamond, and More

The HSN code is a critical classification system used in the harmonised system of nomenclature (HSN) for taxation purposes in India. The HSN code is an international coding system that standardises the identification of products, helping streamline trade and taxation. For jewellery, the HSN code typically falls under Chapter 71, which covers natural or cultured pearls, precious or semi-precious stones, and precious metals. 

What is the jewellery HSN code?

Each type of jewellery, whether gold, diamond, or imitation, has a specific HSN code that helps in accurate tax filing and compliance under the Goods and Services Tax (GST) regime. For instance, gold jewellery generally falls under the HSN code 7113, while imitation jewellery may have different classifications. Knowing the correct HSN code is essential for businesses to ensure they apply the correct GST rate and avoid any penalties. Using the appropriate HSN code also facilitates smoother international trade and ensures that businesses comply with global standards. 

HSN code and GST rate for imitation jewellery

Imitation jewellery, often made from non-precious metals and materials, falls under a specific category in the HSN system. The HSN code for imitation jewellery is typically 7117. This classification includes a variety of items such as rings, necklaces, bangles, and earrings made from inexpensive metals, plastic, or other synthetic materials. The GST rate applicable to imitation jewellery under this HSN code is generally 12%. This GST rate is critical for businesses dealing in imitation jewellery as it determines the tax amount to be levied on sales. 

For businesses, applying the correct HSN code and corresponding GST rate ensures compliance with tax laws and avoids legal complications. Imitation jewellery has a substantial market in India, catering to a wide range of consumers looking for affordable accessories. Therefore, understanding the correct HSN code and GST rate is vital for businesses to price their products accurately and remain competitive in the market.

Different types of jewellery of HSN code

Type of jewellery	HSN code
Gold jewellery	7113
Diamond jewellery	7113
Imitation jewellery	7117
Silver jewellery	7114
Platinum jewellery	7112
Artificial jewellery	7117
Precious metal jewellery	7113

Gold jewellery HSN code

Gold jewellery, highly sought after in India, holds significant cultural and financial value. The HSN code for gold jewellery is 7113. This code is crucial for categorising gold jewellery under the GST framework, ensuring accurate taxation and compliance.

Artificial jewellery HSN code

Artificial jewellery, designed to resemble real jewellery but made from non-precious materials, falls under HSN code 7117. This classification ensures that the correct GST rate is applied, which is typically lower than that for precious metal jewellery.

Imitation jewellery HSN code

Imitation jewellery, which is often made from inexpensive metals and stones, is categorised under HSN code 7117. This code helps businesses apply the correct 12% GST rate, ensuring compliance with tax regulations.

Diamond jewellery HSN code

Diamond jewellery, often associated with luxury, is classified under HSN code 7113. This code is essential for determining the correct GST rate, which is typically higher due to the precious nature of diamonds.

Fashion jewellery HSN code

Fashion jewellery, encompassing trendy and often non-traditional designs, is also classified under HSN code 7117. This code applies a 12% GST rate, which is critical for businesses in the fashion accessory industry.

Conclusion

Understanding the correct HSN codes for different types of jewellery is crucial for businesses to ensure compliance with GST regulations. Whether dealing with gold, diamond, or imitation jewellery, applying the correct HSN code not only ensures accurate taxation but also supports smoother business operations.

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