Yes, GST is applicable on the sale of old/second-hand furniture if sold by a registered business, generally at the same rate as new furniture (18% for most types). For registered dealers in second-hand goods, GST applies only to the margin (selling price minus purchase price), provided no Input Tax Credit (ITC) was claimed.
The GST rate for most finished furniture items in India is now uniformly set at 18%, regardless of the material used. This includes furniture made from wood, metal, plastic, glass, and stone.
Selling Second-Hand Goods: Standard GST Method Applies
These goods, when sold by a GST-registered entity, are subject to GST on the full sale price, even if the item was originally acquired from a non-GST-registered seller.
The GST rate on furniture in India continues to remain 18% in 2025, unchanged from previous years. This rate applies across most categories, including all types of wooden furniture, modular kitchen accessories, lighting, carpets, office furniture, and home décor.
GST on wooden furniture is 18%, including for home, office, or modular units.
In general, sales of medical and dental supplies are either taxable or zero-rated. Sales of equipment and furniture are generally subject to GST/HST.
The HSN code for general furniture and its parts is 9403. This category includes various items used in homes and offices.
The 18% GST rate is now the new standard rate, applying to a wide range of goods and services. This includes many items that were previously taxed at a higher rate, such as mobile phones, air conditioners, refrigerators, televisions, and small cars.
Exemptions on Second-Hand Goods
For instance, the sale of used goods like personal household items or goods exchanged in trade is often exempted from GST. However, this exemption is subject to specific conditions, including the nature of the transaction and the type of goods involved.
India's Goods and Services Tax (GST) system has entered a new era with the rollout of GST 2.0, effective from September 22, 2025. The Council has simplified the structure into a 5% slab for essentials, 18% for standard goods, and 40% for luxury/sin items, replacing the earlier complex categories.
What Products Can Be Sold Without GST Registration?
If you are GST-registered you may be able to claim a credit for GST purposes when you buy secondhand goods. If the seller is not registered for GST or the goods are private (exempt), there is no GST charged.
In India, GST is not applicable on the sale of resale flats. This is because a resale flat is considered an immovable property, and GST is not levied on immovable properties once the completion certificate is issued. Simply put, if you are purchasing a ready-to-move-in flat from a previous owner, GST does not apply.
The HSN code for wooden furniture in the context of GST is 9403, and the applicable GST rate is typically 18%.
How to Calculate GST
The general gst on scrap is 18%, unless a different rate is notified for a specific type.
Cereals, edible fruits and vegetables (not frozen or processed), edible roots and tubers, fish and meat (not packaged or processed), tender coconut, jaggery, tea leaves (not processed), coffee beans (not roasted), seeds, ginger, turmeric, betel leaves, papad, flour, curd, lassi, buttermilk, milk, and aquatic feeds, and ...
Let us say you operate a small furniture workshop. You would pay Goods and Services Tax (GST) when you purchase wood and fittings to manufacture the table.
Maximum marginal rate is the highest rate of tax at any income level. This means for those with incomes between Rs 2 crore and Rs 5 crore, 39% will be the highest applicable tax rate, and for those with incomes above Rs 5 crore, it will be 42.74% — the highest tax rate since 1992.
You could get up to: $533 if you are a single individual. $698 if you are married or have a common-law partner. $184 for each child under the age of 19.
Example
In India, GST on furniture is categorised based on the material and the type of product. Furniture items are generally taxed under a standard rate of 18% GST.
GST Rate for HSN Code 4820 : Registers, account books, note books, order books, receipt books, letter pads, memorandum pads, diaries and similar articles, excise books, blotting-pads, binders (loose-leaf or other), folders, file covers, manifold business forms, interleaved carbon set.
HSN Code 997313: Leasing or rental services concerning construction machinery and equipment with or without operator.