The HSN code for cotton fabric is 5208. GST is 5%: 2.5% CGST + 2.5% SGST within a state, or 5% IGST to another state. Woven cotton fabric (5208 to 5212) is 5% regardless of price; khadi fabric sold through KVIC outlets is nil.
HSN code and GST rate for cotton fabric
| Item | Cotton fabric |
|---|---|
| HSN heading | 5208 |
| Description | Woven fabrics of cotton |
| GST rate | 5% |
| Same state | 2.5% CGST + 2.5% SGST |
| Other state | 5% IGST |
Woven cotton fabric (5208 to 5212) is 5% regardless of price; khadi fabric sold through KVIC outlets is nil.
Example: GST on a ₹1,000 sale of cotton fabric
Taxable value ₹1,000.00. Within your state: CGST ₹25.00 + SGST ₹25.00 = ₹50.00, invoice total ₹1,050.00. To a buyer in another state: IGST ₹50.00, the same total.
How to show it on your invoice
Write the HSN code against each item line: at least 4 digits (5208) if your turnover in the previous year was up to ₹5 crore, 6 digits above that. Charge CGST and SGST when the buyer is in your state and IGST when the place of supply is another state. A GST invoice also needs your GSTIN, the buyer's GSTIN for B2B sales, the invoice number and date, the taxable value and the tax for each rate. Make one in a minute with the free GST invoice generator, or keep billing in FundRaksha Book, which fills the HSN and splits the tax for you.