Most furniture in India attracts a GST rate of 18%, covering standard wooden, metal, plastic, and modular furniture, as well as mattresses and bedding (HSN 9401, 9403, 9404). While 18% is the standard rate, some specialized or raw material items may fall under different slabs, such as 12% for certain bamboo/cane furniture.
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.
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.
Cost Increase Due to Higher GST Rates
The 28% GST on high-end furniture like prefabricated units and certain luxury items increases the cost of production, which ultimately affects the retail price. Furniture manufacturers and retailers often pass on the higher tax burden to consumers.
Exempted GST Rate Slab (No Tax)
Types of GST in India
CGST (Central Goods and Services Tax) SGST (State Goods and Services. IGST (Integrated Goods and Services Tax) UTGST (Union Territory Goods and Services Tax)
The revised primary GST rates now consist mainly of two slabs: 5% and 18%, replacing the earlier 0%, 5%, 12%, 18%, and 28% slabs.
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.
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.
The HSN code for general furniture and its parts is 9403. This category includes various items used in homes and offices. To make furniture more affordable, the GST rate for this category was revised from 28% and 18% to a uniform 12%.
GST is a broad-based tax of 10% on most goods, services and other items sold or consumed in Australia. To work out the cost of an item including GST, multiply the amount exclusive of GST by 1.1. To work out the GST component, divide the GST inclusive cost by 11.
How to calculate GST percentage? There are different slabs for GST i.e. 5%, 12%, 18% and 28%. For instance, if a goods or services is sold at Rs. 1,000 and the GST rate applicable is 12%, then the net price calculated will be = 1,000+ (1,000X(12/100)) = 1,000+120 = Rs. 1,120.
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.
In India, when you sell used or second-hand goods, you don't always have to pay GST on the full sale value. Under the Margin Scheme, GST is charged only on the profit (margin), that is, the difference between the selling price and the purchase price.
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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.
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 ...
The general gst on scrap is 18%, unless a different rate is notified for a specific type.
After the September 2025 GST reforms, most finished furniture items now fall under a uniform 18% GST slab, irrespective of whether the furniture is made of wood, metal, plastic, glass, or stone.
Buyers must pay the applicable GST rate on the value of the property, which is included in the purchase price. It is important for buyers to ensure that the seller has correctly calculated and included the GST in the purchase price. Failure to do so can lead to legal issues and financial penalties.
Currently the most common GST rates on goods in India are 0% or nil rated, 5%, 12%, 18%, and 28%. Two of the lesser common GST rates applicable to goods in India are 0.25% and 3%. In other cases, such as the GST composition scheme, slightly lower GST tax rates of 1.5%, 5% or 6% are applicable.
For any standard-rated supplies of goods or services that you make on or after 1 Jan 2024, you must charge GST at 9%. For instance, if you issue an invoice and receive payments for your supply on or after 1 Jan 2024, you must account for GST at 9%.
India has four types of GST: Integrated Goods and Services Tax (IGST), State Goods and Services Tax (SGST), Central Goods and Services Tax (CGST), and Union Territory Goods and Services Tax (UTGST). This simple division makes it easy to tell the difference between interstate and intrastate goods.