Chapter 52 - Cotton

GST Rates of Goods

Chapter Heading	Description	Rate of GST	Schedule	Sr.No
5204	Cotton sewing thread, whether or not put up for retail sale	5%	I	209
5201 to 5203	Cotton and Cotton waste	5%	I	208
5205 to 5207	Cotton yarn [other than khadi yarn]	5%	I	210
5208 to 5212	Woven fabrics of cotton	5%	I	211
50	Khadi fabric, sold through Khadi and Village Industries Commission(KVIC) and KVIC certified institutions/outlets	0%	-	130A<sup>1</sup>
51	Khadi fabric, sold through Khadi and Village Industries Commission(KVIC) and KVIC certified institutions/outlets	0%	-	130A<sup>1</sup>
52	Khadi fabric, sold through Khadi and Village Industries Commission(KVIC) and KVIC certified institutions/outlets	0%	-	130A<sup>1</sup>
53	Khadi fabric, sold through Khadi and Village Industries Commission(KVIC) and KVIC certified institutions/outlets	0%	-	130A<sup>1</sup>
54	Khadi fabric, sold through Khadi and Village Industries Commission(KVIC) and KVIC certified institutions/outlets	0%	-	130A<sup>1</sup>
55	Khadi fabric, sold through Khadi and Village Industries Commission(KVIC) and KVIC certified institutions/outlets	0%	-	130A<sup>1</sup>
52	Gandhi topi	0%	-	129
52	Khadi yarn	0%	-	130

Other Exemptions

Description	Notification
Exemption from Registration _ small Taxpayers having turnover below threshold limit	Notification No. 10/2019-C.T., dated 7-3-2019
Composition Levy Scheme for Small Taxpayers having Turnover Up to Rs. 1.5 Crore- Old Scheme	Notification No. 8/2017-C.T., dated 27-6-2017
Composition Levy Scheme for Small Taxpayers having Turnover up to Rs. 1.5 Crore-New Scheme	Notification No. 14/2019-C.T., dated 7-3-2019
Scheme to Pay GST 0 6% - For Taxpayers having turnover less than Rs. 50 Lakhs and Not Eligible for Composition Scheme.	Notification No. 2/2019-C.T. (Rate), dated 7-3-2019
Exemption to Specified Goods supplied to Specified Recipients for Petroleum Exploration etc.	Notification No. 32017-Central Tax (Rate), dated 28-6-2017]
Exemption to Goods Supplied to CSD by way of Refund	Notification No. 6/2017-Central Tax (Rate), New Delhi, dated 28-6-2017.
Exemption to goods supplied by CSD	Notification No. 7/2017-Central Tax (Rate), New Delhi, dated 28-6-2017
United Nation, International Organisation and Foreign Diplomatic Mission Notified as Entitled for refund of GST Paid on supplies received.	Notification No. 16/2017-Central Tax (Rate), dated 28-6-2017
Reduced GST on Supply of Goods to Exporter	Notification No. 40/2017-CT. (Rate), dated 23-10-2017
Concessional GST on Supply of Scientific and technical equipment to research institutions	Notification No. 45/2017-C.T. (Rate), dated 14-11-2017

Departmental Clarifications / Case Law

Salwar Suit

The Hon'ble Authority for Advance Ruling in In Re: RmKV Fabrics Pvt. Ltd. 2019 (23) G.S.T.L. 337 (AAR-GST), ruled as under for different type of Salwar Suits. o Model 1 Salwar/Chudidar sets supplied by the Applicant, Both Top and Bottom not stitched consisting of three pieces of fabrics (Top/Bottom/Dupatta) where no stitching has been done and the pieces are merel cut into fabrics from bales/than, is classifiable as fabric Chapter 50 to 55 depending on the material, o Model 2 Salwar/Chudidar sets supplied by the Applicant, Top semi-stitched and bottom not stitched consisting of bottom and dupatta fabrics cut from bales/than and the Top has already been partially cut into Heading 6211 42/6211 43/6211 49 depending on the material. o Model 3 Salwar/Chudidar sets supplied by the Applicant, Top stitched but bottom not stitched consisting of bottom and dupatta fabrics cut from bales/than and the Top fully stitched is classifiable as made up 'des under Tariff Heading 6211 42/6211 43/6211 49 depending on the material.o s Model 4 Salwar/Chudidar sets supplied by the Applicant, Top Neck-worked, Both To and Bottom not stitched consisting of bottom and dupatta fabrics cut from bales/than and the Top has neck portion cut and design worked into it is classifiable as made up articles under Tariff Heading 6211 42/6211 43/6211 49 depending on the material.

Saree and Dhoti

Sarees are classifiable under different headings depending on their constituents and attract GST rate as under:<table> <th>Constituent fibre</th><th> Description</th><th>HS code </th><th> GST Rate</th><tr><td>Silk</td><td>Wovenfabrics of Silk-sarees</td><td>5007</td><td>5%</td></tr><tr><td rowspan="2">Cotton</td><td>Of not more than 200 gsm</td><td>5208</td><td>5%</td></tr><tr><td>Of more than 200 gsm</td><td>5209</td><td>5%</td></tr><tr><td>Man-made filaments yarn</td><td>Of any gsm</td><td>5407 or 5408</td><td>5%</tr></table>(a) The GST rate on all sarees of silk, cotton or man-made fabrics [whether or not with embroidery or chikan work] is 5%. (b) However, GST rate on sarees woven of metal thread or metallized yarn under HS code 5809 is 12%.