GST Rate on Wool yarn
The GST rate on wool yarn is 5%, under HSN code 5106 (wool yarn). Here is the full breakdown, a worked example, and related rates in Textiles & Apparel.
GST rate breakdown for wool yarn
- GST rate: 5%
- Intra-state: 2.5% CGST + 2.5% SGST
- Inter-state: 5% IGST
- HSN code on the invoice: 5106
- Also covers: knitting wool, woollen yarn
Rates reflect the GST 2.0 structure effective 22 September 2025 (slabs 0%, 5%, 18%, 40%). Apparel and footwear above ₹2,500 per piece are taxed at 18%; up to ₹2,500 the rate is 5%. Confirm the current rate on the official GST portal before invoicing.
Worked example: GST on wool yarn
- Taxable value: ₹10,000
- GST (5%): ₹500
- Within state: ₹250 CGST + ₹250 SGST
- To another state: ₹500 IGST
- Invoice total: ₹10,500
FAQs about GST on wool yarn
What is the GST rate on wool yarn?
The GST rate on wool yarn is 5%. Intra-state it is 2.5% CGST + 2.5% SGST; inter-state it is 5% IGST. Wool yarn falls under HSN code 5106.
What is the HSN code for wool yarn?
Wool yarn falls under HSN code 5106, which covers wool yarn. Show this code on every GST tax invoice line for wool yarn.