New GST on Carpets and Rugs: Know the Current Tax Rate
- The GST rate on handmade wool/silk carpets and machine-made synthetic carpets is now 5%.
- Plastic or PVC floor coverings generally attract 18% GST, while textile carpets and mats such as cotton, jute and coir floor coverings generally attract 5%, depending on classification.
- Carpets and other textile floor coverings under HSN 5701 to 5705 were reduced from 12% to 5% from 22 September 2025.
- Businesses can claim Input Tax Credit on eligible materials, machinery, and other costs related to carpet production.
- Sellers must use the correct HSN code and apply the applicable GST rate.
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.
Handle GST Billing With Correct HSN Every Time
Join our guided walkthrough to see how BUSY can transform your business operations.
New GST Rate on Carpets & Mats in India
From 22 September 2025, revised GST rates apply to carpets and textile floor coverings. Most textile carpets and rugs falling under HSN 5701 to 5705 now attract 5% GST, while plastic or PVC floor coverings generally continue to attract 18% GST.
GST Rates on Carpets and Mats in India
| Carpet or Rug Type | HSN Code | New GST Rate | Old GST Rate (until 21 September 2025) |
|---|---|---|---|
| Knotted carpets and textile floor coverings, other than qualifying handmade carpets | 5701 | 5% | 12% |
| Woven carpets and rugs, other than qualifying handmade carpets and handloom durries | 5702 | 5% | 12% |
| Tufted carpets, including turf, other than qualifying handmade or coir products | 5703 | 5% | 12% |
| Felt carpets and textile floor coverings, other than qualifying handmade products | 5704 | 5% | 12% |
| Other textile carpets, mats and mattings, other than qualifying handmade or coir products | 5705 | 5% | 12% |
| Handmade carpets and handmade textile floor coverings, including namda and gabba | Chapter 57 | 5% | 5% |
| Coir mats, matting, floor coverings and handloom durries | 5702, 5703 or 5705, as applicable | 5% | 5% |
| Plastic or PVC floor coverings | 3918 | 18% | 18% |
Carpet or Rug Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Carpet or Rug Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Carpet or Rug Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Carpet or Rug Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Carpet or Rug Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Carpet or Rug Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Carpet or Rug Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Carpet or Rug Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Note: From 22 September 2025, carpet entries that previously attracted 12% GST were reduced to 5%. Qualifying handmade carpets, coir floor coverings and handloom durries were already taxed at 5%, while plastic or PVC floor coverings remained at 18%.
GST Rates on Mats in India
| Mat Type | HSN Code | New GST Rate | Old GST Rate (until 21 September 2025) |
|---|---|---|---|
| Coir mats, matting and floor coverings | 5702, 5703 or 5705, as applicable | 5% | 5% |
| Handloom durries | 5702, 5703 or 5705, as applicable | 5% | 5% |
| Qualifying handmade textile mats and floor coverings | Chapter 57 | 5% | 5% |
| Other cotton, jute and textile mats or floor coverings | 5701–5705, as applicable | 5% | 12% |
| Plastic or PVC floor coverings | 3918 | 18% | 18% |
| Rubber door mats | 40169100 | 18% | 18% |
Mat Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Mat Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Mat Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Mat Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Mat Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Mat Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Handmade vs Machine-Made Carpets
| Carpet Type | HSN Code | New GST Rate | Old GST Rate (until 21 September 2025) | Buyer Base | ITC for Businesses |
|---|---|---|---|---|---|
| Qualifying handmade carpets and handmade textile floor coverings | Chapter 57 | 5% | 5% | Luxury and export markets | Yes, subject to eligibility conditions |
| Machine-made carpets and textile floor coverings | 5701–5705, as applicable | 5% | 12% | Mass market | Yes, subject to eligibility conditions |
Carpet Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Buyer Base
ITC for Businesses
Carpet Type
HSN Code
New GST Rate
Old GST Rate (until 21 September 2025)
Buyer Base
ITC for Businesses
Note: From 22 September 2025, machine-made and other carpet entries under HSN 5701–5705 that previously attracted 12% GST were reduced to 5%. Qualifying handmade carpets were already taxed at 5%, so their rate did not change.
Track Orders To Dispatch In One Place
* No credit card required
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
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
Get a Free Trial – Best Accounting Software For Small Business
GST Compliance Tips for Sellers
- Use correct HSN codes based on the carpet or mat classification
- Clearly mention material (wool, nylon, plastic, etc.) in invoices
- Apply 5% or 18% GST, as applicable based on product classification
- File monthly GST returns
- Issue valid tax invoices to customers for ITC claims, where applicable
Understanding the GST on carpets helps you price products correctly, stay compliant, and budget accurately whether you’re buying, upgrading your home, or a seller dealing in bulk textile floor coverings.
