Saree HSN Code: Understanding HSN Classifications for Saree Products
Sarees are one of the most popular traditional garments in India. Traders, boutiques, handloom units and large brands all need the correct saree HSN code so that GST is charged properly on cotton sarees, silk sarees and blended sarees.
In this guide you will learn how sarees are classified under HSN, how cotton and silk sarees are grouped, how GST applies on these garments and how manufacturers and traders use these codes in billing and GST returns.
What Is the Saree HSN Code?
Under GST, sarees are classified using HSN codes that are based mainly on the fabric used and the way the cloth is made. There is no single universal HSN code for all sarees because the law treats cotton fabric, silk fabric and man made fabric separately.
Broadly, sarees made from silk fall under chapter fifty, sarees made from cotton fall under chapter fifty two and sarees made from man made or synthetic fibres fall under chapters fifty four and fifty five. Within these chapters, different headings apply to woven fabrics of each type.
Silk sarees are often classified under heading 5007, which covers woven fabrics of silk or silk waste. Cotton sarees are commonly grouped under headings such as 5208 or 5209, which cover woven fabrics of cotton of different weights and constructions. Synthetic and art silk sarees may fall under headings such as 5407, 5408 or 5516 depending on the yarn and weave.
The exact eight digit HSN code for a particular saree depends on its fibre content, whether it is unbleached, bleached, dyed or printed and its weight per square metre. That is why saree sellers usually take help from their tax consultant or refer to detailed tariff notes when finalising codes for each product line.
| HSN Code | Product Description | Product Type or Variant | GST Rate |
|---|---|---|---|
| 5007 | Silk sarees | Pure silk and silk blend sarees, dyed or printed | 5% |
| 5208 / 5209 | Cotton sarees | Woven cotton sarees of various weights, bleached, dyed or printed | 5% |
| 5407 / 5516 | Synthetic and art silk sarees | Sarees made from man-made fibres or blends where synthetic fibre is dominant | 5% |
| 5007 / 5208 / 5209 / 5407 / 5516 | Handloom and specially exempt sarees | Notified handloom, khadi or cooperative sarees covered by exemption entries | 0% |
| 5007 / 5208 / 5209 / 5407 / 5516 | High value designer and premium sarees | Premium branded or designer sarees treated as higher value garments | 18% |
HSN Code for Cotton and Silk Sarees
Cotton sarees are generally treated as woven cotton fabric that is specially designed and finished for use as sarees. In practice many cotton sarees are classified under headings 5208 or 5209, which cover cotton fabrics of different weights. The detailed line inside these headings depends on the type of cotton yarn, the fabric weight and whether the fabric is unbleached, bleached, dyed or printed.
Silk sarees are usually placed under heading 5007 because this heading covers woven silk fabrics and fabrics of silk waste. The detailed sub code within 5007 again depends on whether the saree is made from pure silk, mixed with other fibres and whether it is unbleached, dyed or printed.
For blended sarees where cotton, silk and synthetic fibres are mixed, the HSN code is decided based on the dominant fibre in the blend. For example, if man made fibre is more than half of the weight, the saree is usually classified in the man made fabric chapters such as 5407 or 5516 instead of the cotton or silk chapters.
So cotton sarees and silk sarees do not share one single HSN code. They sit in different chapters and headings based on their main fabric, even though both are sold as sarees in the market. Correctly identifying the fibre content is the first step in deciding the proper saree HSN code.
GST on Sarees and HSN Code Classification
GST on sarees is linked with both the HSN code and the value of the garment. For a long time, textile products like sarees were kept in a lower GST slab in order to support the handloom and garment sector.
In the current three slab structure, most ordinary sarees fall in the 5 % GST slab. This usually covers common cotton sarees and many machine made sarees that are sold at regular price points. For some handloom or traditional sarees, there can also be full exemption in specific schemes, especially when supplied by certain small units or cooperative societies.
High value designer sarees and premium branded sarees can fall in the standard 18 % slab when they are treated in the same way as other higher value garments under their respective HSN lines. The exact rate in such cases depends on the rate entry that applies to that chapter and heading after the latest changes.
Because saree GST rates can be influenced by value, material and special notifications, businesses should always confirm the latest rate for each saree category instead of assuming that all sarees will always be taxed at 5 %.
Even when the GST rate for sarees is changed by the council, the underlying HSN classification normally stays the same. Cotton sarees remain in cotton fabric chapters, silk sarees remain in silk fabric chapters and synthetic sarees remain in the man made fabric chapters. Only the percentage of tax linked to each heading moves between 0 %, 5 % and 18 % as policy changes over time.
Conclusion
The saree HSN code is a key part of correct GST treatment for the textile and fashion trade. Cotton sarees, silk sarees and synthetic sarees do not share one single HSN code. They are classified in different chapters such as 50, 52, 54 and 55 based mainly on the fibre used and the way the fabric is prepared.
When you classify each saree correctly by fibre and finish, choose the matching HSN code and apply the right GST slab, your invoices remain accurate, your input tax credit remains safe and your GST returns are easier to prepare. This helps saree manufacturers, wholesalers and retailers avoid disputes and penalties on account of wrong classification or wrong GST rates.
I’m CA Shivani Kandalkar, a Chartered Accountant based in Mumbai with over 1 year of experience. My focus areas are Taxation and GSTR compliance, where I help individuals and businesses file accurate returns and avoid notices. With a background in M.Com and professional training as a Chartered Accountant, I aim to provide clear, practical guidance that simplifies tax laws and supports better financial decisions.
Frequently Asked Questions
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What is the HSN code for sarees in India?
There is no single HSN code for all sarees. Silk sarees are often classified under heading 5007, cotton sarees under headings such as 5208 or 5209 and synthetic sarees under headings like 5407 or 5516 depending on the fibre and weave.
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How does GST apply to cotton and silk sarees?
Most regular cotton and silk sarees fall in the 5 % GST slab in the present structure, while some handloom or special categories may be fully exempt and some premium designer sarees can attract 18 % GST. The exact rate depends on the heading and any special notifications that apply.
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Are cotton sarees and silk sarees classified under separate HSN codes?
Yes. Cotton sarees are generally classified in the cotton fabric chapter 52, while silk sarees are classified in the silk fabric chapter 50. Within these chapters there are different headings and sub codes such as 5208, 5209 and 5007 that depend on weight, processing and composition.
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How do saree manufacturers use the HSN code for tax filing?
Saree manufacturers map every saree design to the correct HSN code in their billing software, print that code on all sales invoices and then use HSN wise summaries when filing GST returns. This supports correct GST rates, proper input tax credit and clear records during audits.
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What is the GST rate applicable to sarees under the HSN code?
In general, common sarees are taxed at 5 % GST and some high value sarees may be taxed at 18 % depending on their heading and price segment. Certain handloom or traditional sarees can also enjoy 0 % GST where specific exemption entries apply, so sellers should always confirm the latest rate for each category.