vinujaglan.com · Founder's official site 
Rates at a glance
| Item | Before 22 Sep 2025 | GST now |
|---|---|---|
| Readymade garments up to ₹2,500 per piece | 5% (up to ₹1,000) / 12% | 5% |
| Readymade garments above ₹2,500 per piece | 12% | 18% |
| Footwear up to ₹2,500 per pair | 12% / 18% | 5% |
| Footwear above ₹2,500 per pair | 18% | 18% |
| Cotton and other fabrics | 5% | 5% |
| Man-made fibre | 18% | 5% |
| Man-made yarn | 12% | 5% |
Tips for retailers
- A discount that brings the price to ₹2,500 or less changes the rate — apply it on the invoice, not afterwards
- Bundles: each piece is assessed separately unless sold as a composite set
- Textile traders with turnover up to ₹1.5 crore can consider the composition scheme (1%)
Using these rates correctly
- The rate depends on the HSN (goods) or SAC (services) code — the description on your invoice must match the code
- Old stock sold after 22 September 2025 is billed at the new rate; revise MRP stickers where the law required it
- Where a rate fell, pass on the benefit — anti-profiteering complaints are still possible
- Keep purchase invoices: input tax credit follows GSTR-2B, not the rate you expect
Frequently asked questions
If the discount is shown on the invoice and the value becomes ₹2,400, 5% applies.
Last reviewed on 11 November 2026 by Vinay Jaglan, VJ & Associates. Law and portal screens change — verify before acting, or ask the office.
