New GST on Carpets and Rugs: Know the Current Tax Rate
- The GST rate for handmade wool/silk carpets and machine-made synthetic carpets is now 5%.
- Plastic or PVC mats have a higher GST rate of 18%, while cotton, jute, and coir mats are taxed at 5%.
- The 12% GST slab for carpets has been removed, and affected items are now taxed at 5%.
- Businesses can claim Input Tax Credit on materials, machinery, and other costs related to carpet production.
- Sellers must use correct HSN codes and apply the appropriate GST rates to remain compliant.
Carpets and rugs are more than just floor coverings—they’re a blend of comfort, décor, and design. Whether you’re buying hand-woven rugs or machine-made carpets, GST is an essential part of the billing. In this blog, we’ll simplify the gst on carpets, rates by material and style, and what buyers and sellers should know.
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New GST Rate on Carpets & Mats in India
The Government of India is updating GST rates effective after 22 Sep 2025. Below are the expected new GST rates for common carpet and mat categories (no compensation cess).
New GST Rate on Carpets
| Carpet or Rug Type | HSN Code | New GST Rate |
|---|---|---|
| Handmade wool/silk carpets | 5701 | 5% |
| Machine-made synthetic carpets | 5702 | 5% |
| Tufted or woven carpets | 5703 | 5% |
| Mats and floor coverings (coir/jute/cotton) | 5705 | 5% |
| Plastic or PVC mats | 3924 | 18% |
Carpet or Rug Type
HSN Code
New GST Rate
Carpet or Rug Type
HSN Code
New GST Rate
Carpet or Rug Type
HSN Code
New GST Rate
Carpet or Rug Type
HSN Code
New GST Rate
Carpet or Rug Type
HSN Code
New GST Rate
Note: Lines that were at 12% move to 5% under the rationalised slabs; categories already at 18% remain at 18%.
New GST on Mats
| Mat Type | New GST Rate | HSN Code |
|---|---|---|
| Cotton/jute/coir mats | 5% | 5705 |
| Plastic floor mats | 18% | 3924 |
| Rubber door mats | 18% | 4016 |
Mat Type
New GST Rate
HSN Code
Mat Type
New GST Rate
HSN Code
Mat Type
New GST Rate
HSN Code
New GST on Carpets in India: Hand-Made vs Machine-Made
| Feature | Handmade Carpet | Machine-Made Carpet |
|---|---|---|
| New GST Rate | 5% | 5% |
| Buyer base | Luxury, export | Mass market |
| ITC for businesses | ✅ Yes | ✅ Yes |
Feature
Handmade Carpet
Machine-Made Carpet
Feature
Handmade Carpet
Machine-Made Carpet
Feature
Handmade Carpet
Machine-Made Carpet
Reminder: 12% slab is discontinued; affected items are mapped to 5%. Only sin/luxury goods use the special 40% slab; not applicable here.
How Are Carpets Classified Under GST?
Under GST, carpets, rugs, and mats fall under HSN Chapter 57, which covers textile floor coverings. These include:
- Woollen and silk carpets
- Synthetic and nylon mats
- Coir and jute doormats
- Handmade or machine-made rugs
Old GST Rate on Carpets in India
(Old GST Rates – Applicable Until 21st September)
| Carpet or Rug Type | HSN Code | GST Rate |
|---|---|---|
| Handmade wool/silk carpets | 5701 | 5% |
| Machine-made synthetic carpets | 5702 | 12% |
| Tufted or woven carpets | 5703 | 12% |
| Mats and floor coverings (coir/jute/cotton) | 5705 | 5% or 12% |
| Plastic or PVC mats | 3924 | 18% |
Carpet or Rug Type
HSN Code
GST Rate
Carpet or Rug Type
HSN Code
GST Rate
Carpet or Rug Type
HSN Code
GST Rate
Carpet or Rug Type
HSN Code
GST Rate
Carpet or Rug Type
HSN Code
GST Rate
Reminder: 12% slab is discontinued; affected items are mapped to 5%. Only sin/luxury goods use the special 40% slab; not applicable here.
Old GST on Mats
| Mat Type | GST Rate | HSN Code |
|---|---|---|
| Cotton/jute/coir mats | 5% or 12% | 5705 |
| Plastic floor mats | 18% | 3924 |
| Rubber door mats | 18% | 4016 |
Mat Type
GST Rate
HSN Code
Mat Type
GST Rate
HSN Code
Mat Type
GST Rate
HSN Code
Reminder: 12% slab is discontinued; affected items are mapped to 5%. Only sin/luxury goods use the special 40% slab; not applicable here.
Old GST on Carpets in India: Hand-Made vs Machine-Made
| Feature | Handmade Carpet | Machine-Made Carpet |
|---|---|---|
| GST Rate | 5% | 12% |
| Buyer base | Luxury, export | Mass market |
| ITC for businesses | ✅ Yes | ✅ Yes |
Feature
Handmade Carpet
Machine-Made Carpet
Feature
Handmade Carpet
Machine-Made Carpet
Feature
Handmade Carpet
Machine-Made Carpet
Reminder: 12% slab is discontinued; affected items are mapped to 5%. Only sin/luxury goods use the special 40% slab; not applicable here.
Input Tax Credit for Carpet Businesses
Retailers, manufacturers, and exporters of carpets can claim Input Tax Credit (ITC) on:
- Yarn and raw materials
- Looms, machinery, and tools
- Packaging and transport
- Warehousing and storage
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GST Compliance Tips for Sellers
- Use correct HSN codes based on carpet type
- Clearly mention material (wool, nylon, plastic, etc.) in invoices
- Apply 5%, 12%, or 18% GST accordingly
- File monthly GST returns
- Issue valid tax invoices to customers for ITC claims (if applicable)
Understanding the gst on carpets helps you price products correctly, stay compliant, and budget accurately—whether you’re a buyer upgrading your home or a seller dealing in bulk textile floor coverings.
