Hand Gloves Mittens HSN Code & GST Rate - 6116

HSN, or Harmonized System of Nomenclature, acts as a key component concerning the classification and structure of international taxation and trade. It is crucial for businesses that get involved with hand gloves and mittens to have an idea of the relevant HSN codes and the applicable Goods and Services Tax (GST) rates for legal compliance as well as tax obligations. This article looks at hand gloves HSN code 6116 as well as mittens, and mitts, knitted or crocheted, and explains the corresponding GST rates.

Understanding HSN Code 6116

Created by the World Customs Organization (WCO), the HSN or Harmonized System of Classification is a universally accepted method of classification that contains roughly 5000 groups of commodities, all identified with unique six-digit codes. For India, the first six digits are normally used and then the classification can be extended to eight digits for more specificity . Specifically, HSN code 6116 pertains to "Gloves, mittens, and mitts, knitted or crocheted.”

You Can Also Read: Sewing Machine HSN Code and GST Rate - 8452

GST Rates Applicable to HSN Code 6116

The GST rates under HSN code 6116 differ as per the used materials and the sale price of the items. The latest applicable GST rates are as follows:

HSN Code	Description	GST Rate (%)
61161000	Gloves, mittens, and mitts, knitted or crocheted, impregnated, coated, or covered with plastics or rubber	5% or 12%
61169100	Gloves, mittens, and mitts, knitted or crocheted, of wool or fine animal hair	5% or 12%
61169200	Gloves, mittens, and mitts, knitted or crocheted, of cotton	5% or 12%
61169300	Gloves, mittens, and mitts, knitted or crocheted, of synthetic fibers	5% or 12%
61169910	Gloves, mittens, and mitts, knitted or crocheted, of other textile materials: of artificial fibers	5% or 12%
61169990	Gloves, mittens, and mitts, knitted or crocheted, of other textile materials: other	5% or 12%

The dual rates (5% or 12%) depend on the sale value of the items. Typically, goods valued at above Rs.1, 000 tend to have 12% GST levied while those valued at Rs.1,000 and below tend to have 5% GST. This taxation system is implemented so that essential goods remain affordable and expensive goods are taxed significantly.

The Importance of Accurate Classification

Those businesses that are engaged in the manufacture, import or sale of hand gloves and mittens must ensure accurate classification under the appropriate HSN code. Misclassification can bring about the following possible outcomes:

1. Non Compliance Penalties: The wrong allocation of HSN coding results in misappropriation of the tax obligations, which bring in penalties along with additional interests.

2. Changes to the Profit and Loss Statement: Applying an incorrect GST rate leads to overpricing or covering more tax than required and therefore impacts profits.

3. Damage a Company’s Image: Constantly applying these wrong figures restricts a company’s ability to retain its customers and brings in legal problems.

You Can Also Read: 6307 HSN Code for Made-up Textile Articles

Steps to Ensure Compliance

To ensure compliance with the GST regulations, businesses need to take the following steps to reduce the chances of misclassification and errors:

1. Keep Informed: Continually check the official GST portals and updates to monitor any changes regarding HSN codes or GST rates.

2. Training Employees: Provide training for employees involved in billing and taxation to ensure they are knowledgeable about the right HSN classification and GST Application.

3. Consult: Reach out to tax professionals or consultants who specialize in compliance and accurate classification to seek proper guidance.

4. Technology: Use up-to-date accounting and billing software that is frequently maintained to ensure compliance with the current tax laws and rates to reduce the likelihood of errors.

Conclusion

For manufacturers and traders of hand gloves and mittens, the precise application for HSN Code 6116 and the accompanying GST requires utmost diligence. It is crucial for organizations to employ accurate tax policies because it will simultaneously nurture reliance from customers and other business stakeholders along with maintaining compliance to the tax laws. Businesses that are well-informed about tax rules and regulations are able to meet their legal responsibilities with the utmost efficiency and help create an effective tax system.

FAQs

1. What is the hand gloves HSN code?

The code is 6116 for hand gloves and includes knitted or crocheted gloves, mittens, and mitts.

2. What is the GST rate for hand gloves under HSN code 6116?

When it comes to GST, hand gloves with HSN code 6116 are generally subject to a tax of either 5% or 12%, depending on how much the product sells for.

3. How is the GST rate determined for gloves HSN code 6116?

Gloves priced below Rs.1,000 attract a GST of 5%, while those priced above will attract a GST of 12%.

4. Are all gloves classified under HSN code 6116?

The answer is no, HSN code 6116 only covers knitted or crocheted gloves, mittens, and mitts. Other kinds may possess other HSN codes.

5. Does the gloves HSN code apply to synthetic and cotton gloves?

Yes, this category includes both synthetic fiber gloves (61169300) and cotton gloves (61169200).

6. What are the GST taxation rates on industrial safety gloves when classified under the glove HSN codes and the corresponding GST classifications?

Most industrial safety gloves that fall under the HSN code 6116 category generally are levied a GST tax of 5% or 12% depending on the sale price.

7. Can taxpayer businesses get an Input Tax Credit for hand gloves classified under the HSN code 6116?

Yes. It is possible to get an ITC on tax paid while purchasing gloves via HSN code 6116 for resale or business activities.

8. Do rubber-coated gloves fall under the category of 6116 HSN code GST rate?

Yes. Rubber or plastic coated gloves are classified as 61161000 under the 6116 code and attract 5% or 12% GST.

9. Where can I access the most recent information regarding gloves HSN code and GST rates?

You can find the most recent information on the official GST portal or from tax related sites, for instance, Swipe.

10. What is the implication of using the incorrect hand gloves HSN code?

This also means filing taxes accurately and avoiding penalties. Accuracy in filing taxes, penalties, and avoidance of taxes starts with using the right HSN code 6116.