Chapter 52 of the GST framework covers Cotton, and HSN Code 52042030 specifically identifies Cotton Sewing Thread, Whether Or Not Put Up For Retail Sale - Put Up For Retail Sale : Embroidery Cotton Thread for taxation purposes. This classification is mandatory for all businesses engaged in the supply of Cotton Sewing Thread, Whether Or Not Put Up For Retail Sale - Put Up For Retail Sale : Embroidery Cotton Thread. Tax rates applicable include CGST at 2.50%, SGST/UTGST at 2.50%, and IGST at 5.00% for interstate movements. The standard unit of measurement is kg..
HSN Codes under Chapter 52 – Cotton
Below are related HSN codes from Chapter 52 – Cotton for your reference:
| Chapter | HSN Code | Description | CGST | SGST/UTGST | IGST |
|---|---|---|---|---|---|
| Cotton... | 52010011 | Cotton, Not Carded Or Combed Cotton, Not Carded Or... | 2.50% | 2.50% | 5.00% |
| Cotton... | 52010012 | Cotton, Not Carded Or Combed Cotton, Not Carded Or... | 2.50% | 2.50% | 5.00% |
| Cotton... | 52010013 | Cotton, Not Carded Or Combed Cotton, Not Carded Or... | 2.50% | 2.50% | 5.00% |
| Cotton... | 52010014 | Cotton, Not Carded Or Combed Cotton, Not Carded Or... | 2.50% | 2.50% | 5.00% |
| Cotton... | 52010015 | Cotton, Not Carded Or Combed Cotton, Not Carded Or... | 2.50% | 2.50% | 5.00% |
| Cotton... | 52010019 | Cotton, Not Carded Or Combed Cotton, Not Carded Or... | 2.50% | 2.50% | 5.00% |
| Cotton... | 52010020 | Cotton, Not Carded Or Combed Cotton, Not Carded Or... | 2.50% | 2.50% | 5.00% |
| Cotton... | 52010021 | Cotton, Not Carded Or Combed - Cotton, Not Carded ... | 2.50% | 2.50% | 5.00% |
| Cotton... | 52010022 | Cotton, Not Carded Or Combed - Cotton, Not Carded ... | 2.50% | 2.50% | 5.00% |
| Cotton... | 52010023 | Cotton, Not Carded Or Combed - Cotton, Not Carded ... | 2.50% | 2.50% | 5.00% |
GST Rates for HSN 52042030
Tax liability for Cotton Sewing Thread, Whether Or Not Put Up For Retail Sale - Put Up For Retail Sale : Embroidery Cotton Thread under HSN 52042030 varies by transaction geography. CGST at 2.50% combined with SGST/UTGST at 2.50% applies to local sales. Interstate movement attracts IGST at 5.00%. All billing for Chapter 52 – Cotton products must use kg..
Who Should Use HSN Code 52042030?
Traders, manufacturers, and importers of Cotton Sewing Thread, Whether Or Not Put Up For Retail Sale - Put Up For Retail Sale : Embroidery Cotton Thread are required to mention HSN Code 52042030 on all GST documents. This Cotton classification under Chapter 52 is mandatory for compliance across all business formats including online sellers.
Business Registration Requirements
Starting a business involving Cotton Sewing Thread, Whether Or Not Put Up For Retail Sale - Put Up For Retail Sale : Embroidery Cotton Thread? GST registration is mandatory for collecting and remitting taxes on HSN 52042030 goods. Companies planning international trade within Cotton must obtain an Import Export Code. Exporters need AD Code registration for receiving foreign payments. New entrepreneurs should complete company registration before pursuing trade-specific approvals.
Why Correct Classification Matters
Accurate application of HSN Code 52042030 for Cotton Sewing Thread, Whether Or Not Put Up For Retail Sale - Put Up For Retail Sale : Embroidery Cotton Thread enables legitimate input tax credit claims and prevents assessment disputes. Businesses under Chapter 52 – Cotton should monitor rate updates (2.50%, 2.50%, 5.00%) through official notifications to maintain seamless compliance.
Frequently Asked Questions (FAQs)
HSN Code 52042030 falls under Chapter 52 – Cotton in the GST tariff schedule. This chapter covers various goods including Cotton Sewing Thread, Whether Or Not Put Up For Retail Sale - Put Up For Retail Sale : Embroidery Cotton Thread.
Yes, IGST at 5.00% is applicable when Cotton Sewing Thread, Whether Or Not Put Up For Retail Sale - Put Up For Retail Sale : Embroidery Cotton Thread is supplied interstate or imported. For local sales within a state, CGST at 2.50% and SGST/UTGST at 2.50% apply instead.
Yes, e-commerce sellers dealing in Cotton Sewing Thread, Whether Or Not Put Up For Retail Sale - Put Up For Retail Sale : Embroidery Cotton Thread must use HSN 52042030 on their invoices. This applies to all online platforms operating under Cotton classification.
To import goods under Cotton, complete GST registration first, then obtain an Import Export Code from DGFT. Proper company registration provides the legal foundation for your import operations.