--- title: "New GST on Beauty Products 2026: 18% Rate on Cosmetics, Skincare" description: "New GST rate on beauty products in 2026 is 18% on cosmetics, makeup, perfumes and skincare. Busy ensures accurate GST billing on every sale and purchase." canonical: "https://busy.in/gst-rates/beauty-products/" author: "Vineet Goyal" published: "2025-05-19T11:00:00.000Z" category: "GST Rates" --- - Most cosmetic and beauty products in India generally attract **18% GST**. The **cosmetic gst rate** depends on the product category and applicable HSN classification. - Products such as perfumes, make-up preparations, skin-care products, hair preparations, and deodorants generally attract **18% GST** under applicable classifications. - Beauty and physical well-being services such as salons and similar services are taxed separately under applicable GST provisions. - Businesses dealing in cosmetic products must comply with GST registration, invoicing, and return filing requirements where applicable. # New GST on Cosmetics and Beauty Products Whether it’s a daily-use face wash or a luxury makeup kit, cosmetics and beauty products are part of millions of personal care routines in India. But how are these items taxed under GST? This guide explains the **cosmetic gst rate**, including the rates on products and services, and how it impacts retailers, salons, and consumers. ## **New GST Rate on Cosmetic Products in India** The Government of India has revised the GST structure effective 22nd September 2025. Below is a consolidated comparison of GST rates applicable to cosmetic products. While most cosmetic items continue to attract **18% GST**, the **shampoo gst rate** has been revised from **18% to 5%** for shampoos classified under HSN 3305 effective from 22 September 2025. ## GST on Cosmetic Products | Cosmetic Product | HSN Code | GST Rate (From 22 Sep 2025) | GST Rate (Before 22 Sep 2025) | | --- | --- | --- | --- | | Lipsticks, foundation, mascara | 3304 | 18% | 18% | | Perfumes and toilet waters | 3303 | 18% | 18% | | Shampoos | 3305 | 5% | 18% | | Other hair preparations | 3305 | 18% | 18% | | Face wash and skin-care preparations | 3304 / applicable HSN | 18% | 18% | **Note:** Most cosmetic products continue to attract **18% GST**. However, shampoos were reduced from **18% to 5%** from **22 September 2025**. ## GST on Makeup Services and Beauty Parlours | Service Type | SAC Code | GST Rate (From 22 Sep 2025) | GST Rate (Before 22 Sep 2025) | | --- | --- | --- | --- | | Beauty parlour or salon services | Group 99972 | 5% without ITC | 18% with ITC | | Bridal makeup and grooming | 999722 / 999729, as applicable | 5% without ITC | 18% with ITC | | Spa, facial and hair styling | 999723 / 999722 / 999721, as applicable | 5% without ITC | 18% with ITC | **Note:** Beauty and physical well-being services under Group 99972 attract **5% GST without Input Tax Credit (ITC)** from **22 September 2025**. ## **How to Calculate GST on Beauty Products** GST is calculated on the taxable value of the product or service mentioned on the invoice. ### **Formula** GST Amount = Taxable Value × GST Rate Total Invoice Value = Taxable Value + GST Amount ### **Example 1: Lipstick Purchase** If a lipstick is priced at ₹1,200: GST = 18% of ₹1,200 GST = ₹216 Total Invoice Value = ₹1,416 ### **Example 2: Luxury Makeup Kit** If a luxury cosmetic kit costs ₹5,000: GST = 18% of ₹5,000 GST = ₹900 Total Invoice Value = ₹5,900 ### **Example 3: Beauty Parlour Service** If a bridal makeup service costs ₹10,000: GST = 5% of ₹10,000 GST = ₹500 Total Invoice Value = ₹10,500 Beauty and physical well-being services attract **5% GST without Input Tax Credit (ITC)** from 22 September 2025. **Get a Free Trial -** [**Best Accounting Software For Small Business**](https://busy.in/accounting-software/) Live Demo Available Today ## Want Fewer Billing Mistakes? Keep Tax Setup Ready Trusted by 6,00,000+ Users 4.6 Google Rating \* No credit card required ## **GST Compliance for the Beauty Industry** - Register under GST if turnover exceeds the applicable registration threshold - Charge the applicable GST rate on products - Charge **5% GST without ITC** on beauty and physical well-being services - Use appropriate HSN and SAC codes - File monthly or quarterly GST returns, as applicable - Maintain accurate billing and inventory records ## **Input Tax Credit (ITC) for Beauty Businesses** Businesses supplying beauty and physical well-being services at **5% GST cannot claim ITC on goods or services used exclusively for providing those services**. Where inputs or services are used partly for such services and partly for other taxable supplies, proportionate ITC reversal may be required as per GST rules. ## GST Impact on Beauty and Cosmetics Sector | Before GST | Current GST | | --- | --- | | VAT + Excise duties (12%-26%) | Most cosmetic products attract **18% GST**, while specified products such as shampoos attract **5% GST** | | Limited input credit | ITC is available on eligible cosmetic product supplies, while beauty and physical well-being services attract **5% GST without ITC** | | Multi-tax complexity | Simplified national tax system | Understanding the GST on cosmetics helps beauty product sellers, salons, and consumers plan pricing and remain compliant. Whether you run a local parlour or an online beauty brand, staying on top of GST rates and filing helps streamline your business operations. ## Conclusion Understanding the gst on cosmetics helps beauty product sellers, salons, and consumers plan pricing and remain compliant. Whether you run a local parlour or an online beauty brand, staying on top of GST rates and filing helps streamline your business operations. ## About the author **Vineet Goyal** I am a chartered accountant with over 14 years of experience. I understand income tax, GST, and balancing financial records. I analyze financial statements and tax codes effectively. However, I also have a passion for writing, which is different from working with numbers. Recently, I started writing articles and blog posts. My goal is to make finance easier for everyday people to understand. ## Frequently asked questions ### What is the GST on cosmetics in India? **GST on cosmetic products** such as makeup, perfumes and skin-care preparations is generally **18%**. Certain personal-care products, such as shampoos, attract **5% GST** from 22 September 2025. ### Are salon and beauty services taxable under GST? Yes. Salon, beauty and other physical well-being services attract **5% GST without Input Tax Credit (ITC)** from 22 September 2025. ### What is the GST on perfumes and deodorants? These fall under HSN Code 3303 and are taxed at **18%**. ### Can beauty parlours claim Input Tax Credit? No. Beauty and physical well-being services taxed at **5% GST cannot claim Input Tax Credit (ITC)** on goods or services used exclusively for providing those services. ### Are herbal or Ayurvedic cosmetics taxed differently? It depends on their classification. Herbal or Ayurvedic products classified as cosmetics are taxed according to the applicable cosmetic classification, while products classified as Ayurvedic medicines are taxed according to the applicable HSN classification and GST provisions. ## Related articles - [New GST on Skincare Products: Rate, Branding & Retail Pricing](https://busy.in/gst-rates/skincare-products/) - [New GST on Industrial Machinery: Slabs, ITC & MSME Effect](https://busy.in/gst-rates/industrial-machinery/) - [New GST on Restaurant Meals: Dine-in, Takeaway & Delivery Compared](https://busy.in/gst-rates/restaurant-meals/) - [New GST on Kitchen Utensils: What’s Taxed and What’s Not?](https://busy.in/gst-rates/kitchen-utensils/) - [New GST on Online Education: Rate, Exemptions & EdTech Impact](https://busy.in/gst-rates/online-education/) - [New GST on Packaging Materials: Tax Implication Across Industries](https://busy.in/gst-rates/packaging-materials/) - [New GST on Digital Marketing Services: Tax Rates & Input Credit Explained](https://busy.in/gst-rates/digital-marketing-services/) - [New GST on Pesticides: Rates, Agri-Exemptions & Sector Impact](https://busy.in/gst-rates/pesticides/) - [New GST on Butter: From Dairy to Dining – What You Pay](https://busy.in/gst-rates/butter/) - [GST on Honey: Rate, Applicability & Industry Outlook](https://busy.in/gst-rates/honey/)