Gst rate for designer saree
Vishnu Das (145 Points)
25 November 2019Vishnu Das (145 Points)
25 November 2019
SameeraSheriff
(Business Owner)
(22 Points)
Replied 26 December 2019
Hi Vishnu Dos,
Saree designer, embroidered or otherwise value-added — will attract 5% of goods and services tax, the Central Board of Excise and Customs (CBEC) said.
Cleaving the air whether the sarees are to be treated like clothing or fabric, the CBEC said that the sarees are to be treated as fabric and remain so even after embroidery, etc. as no new item emerges with a distinct name, character, and use.
"Thus, sarees, embroidered or not, would be taxed at the same rate that the fabric is taxed," the board explained in a series of frequently asked questions (FAQs).
It is claimed that 5 percent of GST is imposed on work processes related to textile yarn (other than man-made fiber/filament) and textiles.
With respect to clothing products, the response to the frequently asked question made it clear that if the sale value does not exceed Rs 1,000, a GST of 5 percent will be imposed and a GST of 12 percent will be levied in cases where it exceeds Rs 1,000.