GST on Furniture 2026: Rates, HSN Codes & Latest Updates

GST on Furniture in India: 2026 Rates and HSN Code Guide

If you buy, sell, or manufacture furniture in India, GST decides your final price at every stage, from the raw timber a carpenter buys to the sofa a customer takes home. Most furniture is taxed at 18%. Furniture made wholly of bamboo, cane, or rattan is taxed at just 5%. Here's the full breakdown, along with the HSN codes you need for correct invoicing.

What Changed After the September 2025 GST Reforms

The GST Council's 56th meeting, held on 3 September 2025 in New Delhi, restructured tax slabs across dozens of product categories. The changes for goods took effect from 22 September 2025. For furniture, the Council folded the old four-slab system (5%, 12%, 18%, 28%) into a simpler structure and gave a specific concession to eco-friendly, handcrafted furniture.

Two changes matter most for the furniture trade:

• Bamboo, cane, and rattan furniture dropped from 12% to 5%. This falls under the Council's broader push to lower tax on handicraft and common-man items.
• Glass and stone furniture moved from 28% to 18%, closing the old luxury slab entirely for furniture goods.

Standard wooden and metal furniture, the kind most Indian households and offices actually buy, stayed at 18%. The reform wasn't a broad tax cut across the sector. It was a targeted move to make sustainable and artisanal products cheaper without touching mainstream pricing.

Current GST Rates on Furniture (HSN 9403 and Related Codes)

A word of caution here: GST classification runs on the HSN code, not just the material a product is loosely described by. Two products that look similar to a customer can sit under different codes and different rates, so the exact tariff item matters more than the marketing description.

GST on Raw Materials Used in Furniture Manufacturing

Raw material rates matter just as much as finished-goods rates, since they determine your input tax credit.

Cement-bonded and agro-waste particle boards (rice husk, sisal, bagasse, cotton stalk) also came down from 12% to 5% in the September 2025 reform, alongside wood wool and bamboo joinery. That's a direct cost saving for manufacturers who source these materials.

Why Bamboo, Cane, and Rattan Furniture Got Cheaper

The 5% rate on bamboo and cane furniture sits in the same reform bucket as tooth powder, safety matches, and hand-woven bags: everyday and handicraft items the Council specifically flagged for relief. For furniture, the reasoning is straightforward. Bamboo and cane pieces are largely produced by small workshops and rural artisans who can't absorb an 18% tax the way an organised manufacturer can.

The practical effect: a bamboo wardrobe priced at ₹54,000 now attracts ₹2,700 in GST instead of the ₹6,480 it would have carried under the old 12% rate. That's real headroom for a small workshop competing against factory-made alternatives.

If your business works with bamboo, cane, or rattan, the classification bar is specific: the piece has to be wholly made of those materials to qualify for 5%. A rattan-and-metal hybrid chair, for instance, typically doesn't get the concessional rate; it's assessed under whichever code fits its dominant material.

GST on Mattresses and Bedding

Mattresses, bedding, cushions, and similar stuffed furnishings fall under HSN 9404 and are taxed at 18%. This includes foam, spring, and coir mattresses. A narrow set of specialty products carries different rates: pneumatic (inflatable) textile mattresses under HSN 6306 attract 12%, while rubber air mattresses under HSN 40169510 stay at 18%. If your product line includes both standard and specialty mattresses, keep them in separate line items on your invoices to avoid rate mismatches.

What This Means for Manufacturers and Buyers

Lower input costs for eco-friendly makers. If your raw material list includes bamboo, cane, rattan, or agro-waste particle board, your input tax dropped from 12% to 5%. That's less cash tied up in tax and more room in your margins.

A real price edge for artisans. Small workshops making handcrafted, sustainable furniture can now price closer to mass-market alternatives without cutting into their own margins.

No disruption for mainstream manufacturers. Wood, metal, and hospital furniture stayed at 18%, so businesses building around those categories don't need to rework their pricing models.

Classification risk is the real cost. Charging 18% where 5% applies (or the reverse) shows up in audits and can turn a healthy order into a loss. Get the HSN code confirmed before you set your price, not after a return has already been filed.

Input Tax Credit still applies. GST-registered businesses can claim ITC on furniture bought for business use, whether that's office desks, showroom fixtures, or raw material purchases for manufacturing, as long as proper GST invoices are on file.

Frequently Asked Questions

What is the GST rate on wooden furniture?

Standard wooden furniture such as beds, wardrobes, and tables is taxed at 18% under HSN 9403. Furniture made wholly of bamboo, cane, or rattan is the exception, taxed at 5%.

Can I claim GST on office furniture?

Yes. A GST-registered business can claim Input Tax Credit on furniture purchased for business use, provided it holds a valid GST invoice.

What is the GST rate on furniture rental services?

Furniture rental services are taxed at 18% under SAC code 997323.

Is the GST rate the same for every type of furniture?

No. Rate depends on both material and HSN classification. Bamboo, cane, and rattan furniture sits at 5%; wood, metal, plastic, glass, and stone furniture all sit at 18%.

Does imported furniture follow the same GST rate as furniture made in India?

Yes, the same GST rate applies. Imports also carry Basic Customs Duty and other charges on top of GST, so the landed cost is higher than the domestic rate alone would suggest.

Is GST charged on furniture repair services?

Yes, furniture repair services are generally taxed at 18%, though the exact rate can depend on how the service is classified.

The Bottom Line

Most furniture in India sits at 18% GST, and that hasn't changed. What has changed is a targeted 5% rate for bamboo, cane, and rattan furniture, along with a handful of raw materials like wood wool, agro-waste particle board, and bamboo joinery. If you manufacture or sell furniture, the classification you use on your invoice, not just the material description, is what determines whether you're compliant. When in doubt on a specific product line, check it against the current HSN code before you price it.