New GST on Footwear in India: Price-Based Slabs
Footwear is a daily necessity for some and a fashion statement for others. But whether you’re buying budget flip-flops or branded sneakers, GST affects the final price. This guide explains the gst on footwear, how pricing impacts tax rates, and what both buyers and retailers need to know.
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New GST Rate on Footwear in India
The Government of India is updating GST rates effective after 22 Sep 2025. Below are the expected new GST rates for footwear (no compensation cess).
Note: Under the proposed two-tier structure, legacy 12% items generally move to 5%, while higher slabs consolidate at 18%. Where price slabs apply (e.g., footwear), pairs priced up to ₹1,000 are expected at 5%, and those above at 18%. Footwear parts remain at 18%.
Price-Based New GST Slabs on Footwear
Footwear continues to be taxed on a price basis per pair under the updated schedule:
| Footwear Price (per pair) | New GST Rate |
|---|---|
| Up to ₹1,000 | 5% |
| Above ₹1,000 | 18% |
| Footwear parts (soles, heels, uppers) | 18% (flat) |
HSN Codes for Footwear — New GST Rate
Footwear falls under HSN Chapter 64. Indicative mapping below:
| Footwear Type | HSN Code | GST Rate (by price) |
|---|---|---|
| Leather shoes, boots | 6403 | 5% (≤ ₹1,000) / 18% (> ₹1,000) |
| Rubber / plastic footwear (EVA, PU) | 6401/6402 | 5% (≤ ₹1,000) / 18% (> ₹1,000) |
| Sports footwear (sneakers, athletic) | 6404 | 5% (≤ ₹1,000) / 18% (> ₹1,000) |
| Footwear parts (soles, heels, uppers) | 6406 | 18% (flat) |
Price-Based Old GST Slabs on Footwear
(Old GST Rates – Applicable Until 21st September)
Footwear is taxed differently under GST based on its price per pair. The GST council has fixed two slabs:
| Footwear Price (per pair) | GST Rate |
|---|---|
| Up to ₹1,000 | 12% |
| Above ₹1,000 | 18% |
So, the gst for shoes varies directly with price. The moment a pair crosses the ₹1,000 mark, it moves into the higher 18% GST bracket.
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GST on Shoes Above ₹1,000
- You pay 18% GST
- This applies to all types of footwear including sports shoes, leather shoes, high-end sandals, and designer heels
Example:
- MRP: ₹1,200
- GST @18%: ₹216
- Total Price: ₹1,416
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GST on Budget Footwear (₹1,000 and Below)
If the retail price is ₹1,000 or less per pair, GST is charged at 12%, making affordable shoes and slippers slightly more wallet-friendly. This rate is intended to support:
- Low-cost footwear manufacturers
- Footwear retailers in rural/semi-urban areas
- Buyers looking for basic, everyday options
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HSN Codes for Footwear
Footwear falls under Chapter 64 of the HSN (Harmonized System of Nomenclature) code. Here’s the breakdown:
| Footwear Type | HSN Code | GST Rate (based on price) |
|---|---|---|
| Leather shoes, boots | 6403 | 12% / 18% |
| Rubber or plastic footwear | 6401 / 6402 | 12% / 18% |
| Sports footwear | 6404 | 12% / 18% |
| Footwear parts (soles, heels) | 6406 | 18% (flat) |
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GST for Footwear Retailers and Manufacturers
- Register under GST if turnover exceeds ₹40 lakhs
- Charge 12% or 18% GST based on price per pair
- Use correct HSN codes on invoices
- File GST returns (monthly or quarterly)
- Claim Input Tax Credit on raw materials like leather, soles, packaging, etc.
Conclusion
Understanding the gst on footwear helps customers shop smart and helps retailers price their products correctly. Whether you’re in the market for a budget pair or premium kicks, GST has a role in what you pay at checkout.
Hi there! I’m a Chartered Accountant with over 20 years of experience in financial accounting and a passion for writing. I enjoy simplifying complex topics like GST and income tax, believing that learning should be a lifelong journey. I'm here to share insights and make financial matters easier for everyone!
Frequently Asked Questions
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What is the GST on footwear in India?It's 12% for footwear up to ₹1,000 and 18% for footwear priced above ₹1,000 per pair.
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What is the GST for shoes if MRP is ₹950?GST will be 12%, as it's below the ₹1,000 threshold.
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Is there flat GST on all shoes above ₹1,000?Yes. GST on shoes above ₹1,000 is 18%, regardless of type or brand.
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Can footwear manufacturers claim Input Tax Credit?Yes, on GST paid for raw materials and services related to production or sales.
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Are kids' shoes taxed differently?No. There's no separate GST slab for children's footwear. Tax is based only on price per pair.
