---
title: "New GST on Skincare Products 2026: 18% Rate on Skincare, Creams"
description: "New GST rate on skincare products in 2026 is 18% on creams, serums and skincare items. Busy auto-applies the right GST slab on every invoice effortlessly."
canonical: "https://busy.in/gst-rates/skincare-products/"
author: "Hitesh Aggarwal"
published: "2025-07-22T05:40:38.000Z"
category: "GST Rates"
---

-   Most skincare products, including sunscreen, face wash, and cosmetic skincare preparations, generally attract **18% GST** under the applicable HSN classification.
-   The **GST rate does not change only because a skincare product is branded or unbranded**; classification and product category determine the applicable rate.
-   Retail prices usually include GST. A product priced at ₹100 before GST would cost ₹118 after applying 18% GST.
-   Businesses may claim eligible Input Tax Credit on GST paid for raw materials and other expenses used for taxable skincare supplies, subject to GST conditions.
-   Correct HSN classification is important for applying the right GST rate on skincare products.

# New GST on Skincare Products: Rate, Branding & Retail Pricing

Skincare products are an essential part of daily personal care for many people. From moisturizers and face washes to sunscreens and anti-aging creams, these products are widely used and heavily marketed. But have you ever wondered how much tax you’re paying on them? This blog explores the  [**GST**](https://busy.in/gst/)  on skincare products, how it affects pricing, the impact of branding, and what businesses need to know about compliance.

## Is GST Applicable on Skincare Products?

Yes, skincare products are taxable under GST as they fall under the category of cosmetics and personal care items. These products are not considered essential commodities, so they attract a higher tax slab under the GST regime.

The GST rate depends on the product’s type, ingredients, and whether it is branded or unbranded, though most standard skincare products are taxed at a flat rate.

## **New GST Rate on Skincare Products: HSN Code & Tax Rates**

| Skincare Product | HSN Code | New GST Rate (After 22 Sep 2025) | Old GST Rate (Before 22 Sep 2025) |
| --- | --- | --- | --- |
| Moisturisers, face creams | 3304 | 18% | 18% |
| Sunscreen lotions | 3304 | 18% | 18% |
| Face wash, cleansers | 3304 | 18% | 18% |
| Anti-aging creams | 3304 | 18% | 18% |
| Fairness creams, serums | 3304 | 18% | 18% |
| Body lotions, hand creams | 3304 | 18% | 18% |
| Medicated creams (prescription-based) | Applicable HSN based on classification | Depends on classification | Depends on classification |

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## Effect of Branding on GST Applicability

GST on skincare products does not change based on branding alone, unlike some  [**food products**](https://busy.in/gst-rates/food/) . Both branded and unbranded skincare items attract the same 18% GST, as they fall under cosmetic or personal care classification.

However, branding does impact MRP pricing, marketing, and retailer margins. Many brands also include GST in their listed prices, so customers don’t always notice the tax separately.

## Impact on Retail Pricing

-   A ₹100 product pre-tax becomes ₹118 after GST.
-   Prices can be higher for imported or luxury skincare lines, but the GST remains the same.
-   Online stores like Nykaa, Amazon, and Flipkart must display GST-inclusive prices, and charge GST accordingly at checkout.

## Input Tax Credit (ITC) for Sellers

Businesses involved in the manufacturing, distribution, or sale of skincare products can claim ITC on:

-   Raw materials like chemicals, oils, packaging
-   Advertising and marketing expenses
-   Transportation and warehousing
-   Retail infrastructure

Check  [**Input Tax Credit eligibility**](https://busy.in/gst/input-tax-credit/)  and ensure invoice compliance to benefit from ITC.

## Conclusion

The GST on skincare products is generally **18% for cosmetic and personal care products covered under applicable HSN classifications**. Correct product classification and eligible ITC planning help businesses maintain compliance while managing costs. Whether you are a skincare brand, retailer, or consumer, understanding GST treatment helps ensure transparent pricing.

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## About the author

**Hitesh Aggarwal**

As a Chartered Accountant with over 12 years of experience, I am not only skilled in my profession but also passionate about writing. I specialize in producing insightful content on topics like GST, accounts payable, and income tax, confidently delivering valuable information that engages and informs my audience.

## Frequently asked questions

### What is the GST on skincare products in India?

Most skincare products are taxed at **18% GST** under HSN code **3304**.

### Is GST applicable on face creams and moisturizers?

Yes, these products fall under the **18% GST** bracket.

### Are prescription-based skincare creams taxed differently?

Some medicated creams may have different GST treatment if they are classified as pharmaceutical products. The applicable rate depends on the product composition and HSN classification.

### Can retailers claim input tax credit on skincare products?

Yes, if they are **GST registered** and the products are used for business purposes.

### Does branding affect GST on skincare items?

No. GST on skincare products is not determined by branding alone. The applicable rate depends on the product category and HSN classification.

### What is the sunscreen GST rate in India?

The **sunscreen GST rate** is generally **18%** for sunscreen lotions classified under applicable HSN codes.

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