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GST on Gold: Rate, HSN Code and Making Charges

Gold and jewelleryChapter 713% GSTJob work 5%Checked 2 Nov 2026

HSNGST 3%

7108 / 7113

Gold bars, coins, jewellery, ornaments and other articles of gold

GST on gold is 3% in India, whether it is bullion under HSN 7108 or jewellery under HSN 7113. When the shop and the buyer are in the same state it is collected as 1.5% CGST plus 1.5% SGST. When the gold goes to a customer in another state it is collected as 3% IGST. The same rate covers goldsmiths' wares (7114), other articles of gold (7115) and gold coins (7118). The GST 2.0 changes of 22 September left this rate untouched.

Most doubts at the counter are about the making charge. On a ready piece bought from a jeweller, the whole bill, making included, is taxed at 3%. When you hand your own gold to a karigar (goldsmith) and pay only for the work, that work is job work taxed at 5%. Below you will find the sub-codes, both making charge cases, two sample bills, invoice tips and links to the silver, diamond and imitation jewellery pages of this group.

Gold: codes and GST rates

Item / HSN / GST
  1. Gold bars and biscuits, 99.5% pure or more (995 or 999 fineness)3%Unwrought gold sold by bullion dealers and banks
  2. Other unwrought gold below 99.5% purity3%Lower purity bars and lumps
  3. Gold wire, foil, sheet and strip (semi-manufactured)3%Use 7108 13 10 at 99.5% purity or more, 7108 13 90 below it
  4. Gold powder3%Same entry as bars and wire
  5. Plain gold jewellery and ornaments (22 or 18 carat)3%Unstudded chains, bangles, rings; 3% on gold plus making on one bill
  6. Gold jewellery studded with pearls3%Pearl value is part of the same taxable value
  7. Gold jewellery studded with diamonds3%Diamonds of heading 7102 set in gold
  8. Gold jewellery with other precious or semi-precious stones3%Ruby, emerald, sapphire and similar stones set in gold
  9. Articles of gold (goldsmiths' wares, puja items)3%Gold idols, plates, cups and similar articles
  10. Goldsmiths' wares of base metal clad with gold3%Clad articles such as plates and puja items, not imitation jewellery
  11. Gold coins3%Coins sold by jewellers and banks; any weight, from 1 gram up
  12. Making charge on customer's own gold (karigar job work)5%Job work on a Chapter 71 product; customer supplies the gold
  13. Hallmarking charges18%A service billed by the hallmarking centre
  14. Old gold sold by a private individual to a jewellerOutside GSTThe individual is not in business, so no GST is charged

Quick facts

  • HSN headings

    7108 gold, 7113 jewellery, 7114 goldsmiths' wares, 7115 other gold articles, 7118 coins
  • Chapter

    71: pearls, precious stones, precious metals and articles of them
  • GST rate

    3%: 1.5% CGST + 1.5% SGST, or 3% IGST between states
  • Making charges

    Inside the 3% on a jeweller's bill; 5% when it is job work on your own gold
  • Rate before the reform

    3%, no change on 22 September
  • Digits to print

    4 digits (7113) for smaller jewellers; 6 digits such as 711319 once turnover tops Rs 5 crore
  • Official entry

    Schedule IV, S. No. 5 (7108) and S. No. 10 (7113), notification 9/2025-Central Tax (Rate)
  • Common wrong code

    7117 is imitation jewellery, not gold ornaments

Gold HSN code: picking the right heading in Chapter 71

Gold is split across a few headings depending on its form. Raw and semi-finished gold sits in 7108, finished jewellery in 7113, decorative and household articles in 7114, industrial articles in 7115 and coins in 7118. The eight digit line then tells purity or what the piece is studded with.

Gold codes a jeweller or bullion trader uses most
CodeWhat it covers
7108 11 00Gold powder
7108 12 10Unwrought gold of 99.5% purity or more (bars, biscuits)
7108 12 90Other unwrought gold
7108 13 10Semi-manufactured gold of 99.5% purity or more (wire, foil)
7108 13 90Other semi-manufactured gold
7113 19 11Gold jewellery, unstudded
7113 19 12Gold jewellery studded with pearls
7113 19 13Gold jewellery studded with diamonds of heading 7102
7113 19 15Gold jewellery with other precious or semi-precious stones
7114 19 10Articles of gold (goldsmiths' wares)
7114 20 10Base metal articles clad with gold
7115 90 20Spinnerets made mainly of gold
7118 90 00Coins, including gold coins

Carat does not have its own code. A 22 carat necklace and an 18 carat ring both go under 7113 19 11 if they carry no stones. Silver ornaments use the 7113 11 lines instead; see the silver GST page.

Gold GST rate for 24, 22 and 18 carat: one slab

Every gold heading above is listed in Schedule IV, the 1.5% central tax list in notification 9/2025-Central Tax (Rate). Add the matching 1.5% state tax and the GST on the bill is 3%. If the ornament is billed to a customer outside the state, the jeweller charges 3% IGST in place of the two halves.

Purity only changes the value of the piece, never the rate. So the 24 carat gold GST rate, the 22 carat gold GST rate and the 18 carat rate are all 3%. Weight works the same way: 1 gram, 10 gram or a full kilo bar is taxed at 3% of its value.

  • Formula: GST = taxable value x 3 / 100.
  • Gold coin GST rate: 3%, under heading 7118.
  • Gold GST new rate: there is none. The reform moved many items to 5% or 18%, but gold, silver and jewellery stayed at 3%.

GST on gold making charges: jeweller sale or karigar work

Making charges are the most common doubt at the counter. The answer depends on who owns the gold.

You buy a finished piece from a jeweller

The jeweller is selling goods. The value of gold, the making charge and any wastage shown on the same invoice together form the transaction value, and 3% applies to the full amount. Showing making as a separate line does not change its rate.

You give your own gold to a karigar

Here the karigar only does work on goods that belong to you. That is job work on a Chapter 71 product, taxed at 5% on the making charge alone. No GST is due on the value of your gold because it is not being sold. A karigar who is not registered under GST cannot charge GST at all. The rules for such work are explained on the job work page.

Hallmarking is different again: the hallmarking centre bills a service at 18%.

How much GST on gold purchase: a worked bill

Case 1: ready ornament from a shop in your state. Gold value Rs 60,000 plus making Rs 7,000 brings the taxable amount to Rs 67,000. GST at 3% comes to Rs 2,010, which splits equally into Rs 1,005 of central tax and Rs 1,005 of state tax. The customer pays Rs 69,010 in all.

Case 2: karigar makes a chain from your own gold. Making charge Rs 4,000. GST at 5% comes to Rs 200, that is Rs 100 each as CGST and SGST, so the karigar collects Rs 4,200.

Notice that in case 1 the making charge carries only 3% because it is part of a goods sale, while in case 2 it carries 5% because it is a service. To test other amounts, use the GST calculator.

Gold jewellery HSN code on the invoice, e-way bill and returns

The digit count a jeweller must print depends on the shop's total turnover in the year before. A shop whose turnover stayed within Rs 5 crore may show just the 4 digit heading, such as 7113, on bills raised to registered buyers. Once turnover goes past Rs 5 crore, a six digit code such as 711319 has to appear. The complete eight digit code is accepted from everyone, so many shops simply keep it in their item master. Our HSN digits guide walks through the rule step by step.

Sample line on a jeweller's tax invoice
DescriptionHSNTaxable valueCGST 1.5%SGST 1.5%
22 carat gold bangle, 2 pcs, making included7113 19 11Rs 1,20,000Rs 1,800Rs 1,800
  • E-way bill: gold, precious metals and jewellery are in the list of goods for which the central rules do not require an e-way bill. Some states have their own rule for moving gold within the state, so check your state notification before sending stock.
  • Input tax credit: a registered jeweller can set off the 3% paid on bullion and on finished stock against the 3% collected on sales.
  • Old gold: when a private person sells old ornaments to a jeweller, no GST is charged, so the jeweller has no credit to claim on that purchase.

Pages in the gold and jewellery group

This page is the starting point for precious metal and jewellery codes. Use the table to move to the right page for each product.

Gold, silver, diamond and imitation jewellery pages
PageMain headingGST rate
Gold (this page)7108, 7113, 71183%
Silver7106, 7113 113%
Diamond7102Depends on type, see page
Artificial jewellery71173%

Rules shared across the group:

  • Purity, carat or weight never changes the rate.
  • Making charges billed with the piece follow the rate of the piece.
  • Work on a customer's own metal is job work, billed separately.

Common slips on gold bills and the fix

Gold billing errors seen at the counter
SlipCorrect way
18% or 5% charged on making in a ready jewellery saleCharge 3% on the whole value, making included
3% charged on karigar work for a customer's own goldBill the making as job work at 5%
Gold ornaments coded as 7117Use 7113 19 lines; 7117 is for imitation pieces
Gold coin billed under 7108Coins have their own heading, 7118
Half rate of 1.5% shown as the GST rateShow 1.5% CGST and 1.5% SGST, total 3%

What you read here is a general explanation of how gold is taxed, meant for information only. The government can revise rates and schedule entries through a new notification at any time, so confirm each figure against the current notification or the GST portal before billing a customer. For a question about your own shop, order or karigar deal, take advice from a chartered accountant or a seasoned GST consultant.

Frequently asked questions

What is the gold HSN code for jewellery?

Gold jewellery and ornaments fall under 7113. Plain gold pieces use 7113 19 11, pearl studded pieces 7113 19 12 and diamond studded pieces 7113 19 13. Gold bars and biscuits use 7108 instead.

How much GST on gold is charged for 22 carat ornaments?

The rate is 3%, the same as for 24 or 18 carat. On a local bill that appears as 1.5% CGST plus 1.5% SGST. Only the value changes with purity.

Is there separate GST on gold making charges?

Not when you buy a ready piece from a jeweller: making is part of the sale and is taxed at 3% with the gold. If a karigar makes jewellery from gold you supply, the making charge is job work taxed at 5%.

What is the GST on gold coin?

Gold coins are taxed at 3% under heading 7118, whatever their weight. A 1 gram coin and a 10 gram coin follow the same rate.

What does the 7113 HSN code cover?

Heading 7113 covers articles of jewellery and their parts made of precious metal or metal clad with precious metal. It includes gold, silver and platinum jewellery, all at 3% GST.

Do I pay GST when I sell my old gold to a jeweller?

No. A private individual selling personal ornaments is not in business, so no GST is charged on that sale. GST applies when the jeweller later sells new jewellery.