--- title: "Iron Scrap HSN Code – Classification for Steel & Metal Scrap" description: "Understand the HSN code for iron scrap, steel scrap, and other metal scrap. Learn how GST applies to scrap materials in India." canonical: "https://busy.in/hsn/iron-scrap-hsn-code/" author: "Mohammad Abid Khan" published: "2025-12-02T08:30:00.000Z" category: "HSN" --- # Iron Scrap HSN Code: Classification for Metal and Steel Scrap Iron scrap is generated in fabrication, engineering, construction and recycling activities. Under GST, iron and steel scrap are grouped under the ferrous waste and scrap headings, and correct HSN code usage is important for scrap dealers, manufacturers and recyclers. ## Iron Scrap HSN Code Classification and GST Rates Here are some commonly used HSN codes and GST rates for this category ### Section Classification | **Section Field** | **Section Value** | | --- | --- | | **Section No** | [**15**](https://busy.in/hsn/section-15/) | | **Section Title** | Guide to HSN Section 15 | | **Section Description** | BASE METAL & ARTICLES OF BASE METAL | ### Chapter Classification | **Chapter Field** | **Chapter Value** | | --- | --- | | **Chapter No** | [**72**](https://busy.in/hsn/chapter-72/) | | **Chapter Title** | Iron & Steel | | **Chapter Description** | Iron and steel | ### 4 Digit HSN Code Classification | **HSN Code** | **HSN Code Title** | **GST Rate** | | --- | --- | --- | | [**7204**](https://busy.in/hsn/sub-chapter-7204/) | Ferrous scrap | **18%** | ### 8 Digit HSN Code Classification | **HSN Code** | **HSN Code Title** | **GST Rate** | | --- | --- | --- | | [**72041000**](https://busy.in/hsn/hsn-72041000/) | Waste and scrap of cast iron | **18%** | | [**72042110**](https://busy.in/hsn/hsn-72042110/) | Stainless Steel Waste & Scrap (Cartridge Type) | **18%** | | [**72042190**](https://busy.in/hsn/hsn-72042190/) | Alloy steel waste and scrap | **18%** | | [**72042910**](https://busy.in/hsn/hsn-72042910/) | Other Alloy Steel Waste & Scrap (Cartridge Type) | **18%** | | [**72042920**](https://busy.in/hsn/hsn-72042920/) | High Speed Steel Alloy Waste & Scrap | **18%** | | [**72042990**](https://busy.in/hsn/hsn-72042990/) | Waste and scrap of alloy steel | **18%** | | [**72043000**](https://busy.in/hsn/hsn-72043000/) | Waste and Scrap of Tinned Iron or Steel | **18%** | | [**72044100**](https://busy.in/hsn/hsn-72044100/) | Other Iron and Steel Waste & Scrap | **18%** | | [**72044900**](https://busy.in/hsn/hsn-72044900/) | Other waste and scrap | **18%** | | [**72045000**](https://busy.in/hsn/hsn-72045000/) | Remelting Scrap Ingots | **18%** | \* GST rates may vary based on the latest GST notifications ## **What Is the HSN Code for Iron Scrap** Most iron scrap falls under ferrous waste and scrap entries. Subcodes differ based on the type of metal, such as cast iron, stainless steel or other non-alloy steel. Invoices should clearly describe the scrap so that the classification under the correct iron scrap HSN code is justified. ## **How Metal and Steel Scrap Are Classified under HSN** Classification depends on whether the scrap is ferrous (iron and steel) or non-ferrous (such as aluminium and copper). Non-ferrous scrap has separate headings in their respective chapters. Ferrous scrap stays within the 7204 heading family, which covers most market scrap categories. ## **GST Implications on Iron and Steel Scrap** Scrap sales are normally taxable under GST. Registered buyers who use scrap for manufacturing or resale can claim input tax credit, while unregistered buyers cannot. In some periods, specific metal scrap supplies have come under reverse charge, so it is important to check the rules applicable to your transaction date. ## About the author **Mohammad Abid Khan** I’m CA Mohammad Abid Khan, a Chartered Accountant based in Varanasi with 10 years of experience. I specialize in GST and Income Tax, helping individuals and businesses stay compliant and optimize their taxes. I hold B.Com and M.Com degrees and enjoy simplifying finance through practical, easy-to-understand content. ## Frequently asked questions ### Do all iron scrap items use the same HSN code? They generally fall in the same heading but subcodes can differ for cast iron, stainless steel and other scrap types. ### How should small fabrication shops bill their scrap sales? They should classify their scrap under the appropriate ferrous scrap subheading and charge GST at the prevailing rate if registered. ### Does rust or paint on scrap change its HSN classification? Minor surface conditions like rust or paint usually do not change classification, as long as the goods remain waste and scrap. ### Are recycled ingots made from scrap classified as scrap? No. Once scrap is melted and cast into ingots, billets or other semi-finished products, it is classified under semi-finished steel headings rather than scrap. ## Related articles - [Watch HSN Code: Classification for Wrist Watches, Smart Watches & Wall Clocks](https://busy.in/hsn/watch-hsn-code/) - [Tissue Paper HSN Code: Classification for Facial Tissues & Tissue Napkins](https://busy.in/hsn/tissue-paper-hsn-code/) - [Software HSN Code: Classification for Application and Computer Software](https://busy.in/hsn/software-hsn-code/) - [Safety Helmet HSN Code - Classification for Construction and Industrial Helmets](https://busy.in/hsn/safety-helmet-hsn-code/) - [RAM HSN Code: Classification for Laptop, Computer and DDR4 RAM](https://busy.in/hsn/ram-hsn-code/) - [Pumps HSN Code - Classification for Water and Electric Pumps](https://busy.in/hsn/pumps-hsn-code/) - [Pulses HSN Code: Classification for Chana Dal and Toor Dal](https://busy.in/hsn/pulses-hsn-code/) - [Pillar Cock HSN Code: Classification for Brass Pillar Cocks](https://busy.in/hsn/pillar-cock-hsn-code/) - [Phenyl HSN Code: Classification for White and Black Phenyl](https://busy.in/hsn/phenyl-hsn-code/) - [Manpower Supply HSN Code: Classification for Labour and Skilled Services](https://busy.in/hsn/manpower-supply-hsn-code/)