HSN codes
HSN codes and GST rates for hardware and building material shops
Cement, steel, pipes, tiles, paint and the small hardware that fills a counter, with the HSN code and the rate each one usually carries.
In short
Hardware shops bill cement under 2523, TMT bars under 7214, PVC pipes under 3917 and tiles under 6907, mostly at 18%. SimpleERP keeps the HSN and rate on each product, prints them per line and builds the HSN summary.
Illustration of GST tax invoice INV-2026-27-0213 to Ravi Stores with CGST 9% and SGST 9%, round off, a UPI QR code and the amount in words.
The data
The codes and usual rates
| HSN | Goods | Usual GST rate | Notes |
|---|---|---|---|
| 2523 | Cement (OPC, PPC, white cement) | 18% | Was 28% before 22 September 2025 |
| 2505 | Natural sand | 5% | River and pit sand; manufactured sand can differ |
| 2517 | Stone chips, aggregate, gravel | 5% | Check the size and use with your CA |
| 7214 | TMT and other steel bars | 18% | Bars and rods of iron or non-alloy steel |
| 7217 | Binding wire | 18% | Iron or steel wire |
| 7308 | Steel structures, shuttering, scaffolding | 18% | Fabricated structures and parts |
| 7306 | GI and MS pipes | 18% | Other tubes and pipes of iron or steel |
| 3917 | PVC, CPVC and HDPE pipes and fittings | 18% | Pipes for plumbing and drainage |
| 3925 | Plastic water tanks, doors and windows | 18% | Builders' ware of plastics |
| 6907 | Ceramic floor and wall tiles | 18% | Vitrified and glazed tiles |
| 6910 | Sanitaryware (wash basins, closets) | 18% | Ceramic sinks, basins and pans |
| 6802 | Granite and marble slabs, cut or polished | 18% | Rough blocks sit under 2515 and 2516; check |
| 3208 | Paints and enamels (solvent based) | 18% | Water-based emulsions sit under 3209 |
| 3214 | Wall putty, sealants, fillers | 18% | Glazier's putty and similar |
| 4412 | Plywood and block boards | 18% | Laminated sheets sit under 4823 or 3921; check |
| 8481 | Taps, cocks and valves | 18% | Bathroom and plumbing fittings |
| 7318 | Screws, bolts, nuts, washers | 18% | Fasteners of iron or steel |
| 7317 | Nails | 18% | Of iron or steel |
| 8301 | Padlocks and locks | 18% | Base metal locks |
| 8302 | Hinges, handles, door fittings | 18% | Base metal mountings and fittings |
| 8205 | Hand tools (hammers, trowels, spanners) | 18% | Check 8201 to 8204 for other tools |
| 8544 | Electrical wires and cables | 18% | Insulated wire |
Sources: CBIC: Customs tariff (HSN chapters), GST Council: rate changes effective 22 September 2025, CBIC: GST rates and notifications. Verified .
Which HSN codes does a hardware shop use most?
A building material and hardware counter draws on a handful of HSN chapters. Cement sits in chapter 25 with sand and stone aggregate, steel bars and structures in chapters 72 and 73, pipes and plastic fittings in chapter 39, tiles and sanitaryware in chapter 69, and paints and putty in chapter 32. Taps and valves come from chapter 84, and locks, hinges and hand tools from chapters 82 and 83.
Most of these goods now carry 18%, so a typical contractor bill has one rate across most lines. The exceptions are the bulk materials from the quarry, such as natural sand and stone chips, which usually sit at 5%. The table lists the codes a shop meets every week.
What changed on 22 September 2025 for hardware shops?
The big change for this trade was cement. HSN 2523 moved from 28% to 18%, which brought it in line with steel, pipes, tiles and paint. A bill that once carried two rates for a cement and steel order now usually carries one.
- Cement (2523) moved from 28% to 18%.
- Steel, pipes, tiles, paint and fittings stayed at 18% in most cases.
- Bulk quarry materials such as natural sand and stone chips usually remain at 5%.
- Opening stock: update the rate on each product once, and every bill after that date uses the new rate. Rates change, so confirm the rate for your goods or services with your CA or the GST portal before you rely on it.
HSN on invoices and the GSTR-1 HSN summary in SimpleERP
How many HSN digits you print depends on your turnover, as notified: currently four up to ₹5 crore and six above it. Set the code once on each product in SimpleERP and it prints on every bill line.
- HSN per product: cement, TMT and PVC pipe each carry their own code and rate.
- Mixed units on one bill: bags, lengths, kg and pieces, each line with its HSN.
- HSN summary report groups the month's sales by code, quantity and tax, the way table 12 of GSTR-1 asks.
- CSV export of the HSN summary and the sales register for your CA.
Illustration of a profit and loss statement for April to September 2026 with net profit of ₹4,12,800, a GST summary and the lock date.
Inputs and input tax credit for hardware shops
A hardware shop buys almost everything it sells, so the GST on purchase bills is the credit that offsets the GST on sales. Most of that credit sits at 18%, the same rate as the sales.
- Purchase bills from cement and steel dealers record the supplier's GSTIN, HSN and tax, ready to match against GSTR-2B.
- Freight and unloading charges carry their own GST; ask your CA how to treat them.
- Weighted-average cost updates as each bag and length comes in, so margins on a cement bill are real.
- The purchase register in SimpleERP lists every bill's tax by rate for the monthly credit check.
FAQ
Questions, answered
What is the HSN code for cement?
Cement, including OPC, PPC and white cement, falls under HSN 2523. Since 22 September 2025 it is usually billed at 18%, down from 28%. Clinker also sits under 2523. Confirm the rate for your product with your CA or the GST portal before you rely on it.
What is the HSN code for TMT bars?
TMT bars and other bars and rods of iron or non-alloy steel fall under HSN 7214, usually at 18%. Binding wire sits under 7217 and fabricated steel structures under 7308, both commonly at 18% too. Check the six-digit code that matches your product if your turnover needs it.
Which HSN code do PVC pipes take?
PVC, CPVC and HDPE pipes and their fittings fall under HSN 3917 and are usually billed at 18%. Plastic water tanks and builders' ware sit under 3925. Pipes sold as part of a drip irrigation system can take a different rate, so check if you supply farm projects.
Can one bill carry cement, steel and sand in SimpleERP?
Yes. Each line takes its unit, HSN and rate from the product, so cement in bags at 18% and sand by the tonne at 5% sit on the same invoice. SimpleERP totals the tax per rate and splits it into CGST and SGST or IGST by place of supply.
Related
Keep reading
GST billing for hardware shops
Bills in bags, lengths, kilos and litres with HSN on every line, contractor credit days and IGST for sites across the state border.
Read moreBuilding materials and hardware
Mixed-rate GST invoices, stock by godown and shop, and contractor credit with ageing.
Read moreHSN code
The number that classifies goods for GST and customs, and so decides their GST rate.
Read more
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