{"id":14090,"date":"2024-10-15T18:26:51","date_gmt":"2024-10-15T12:56:51","guid":{"rendered":"https:\/\/razorpay.com\/learn\/?p=14090"},"modified":"2026-02-09T17:39:41","modified_gmt":"2026-02-09T12:09:41","slug":"gst-on-silver","status":"publish","type":"post","link":"https:\/\/razorpay.com\/learn\/gst-on-silver\/","title":{"rendered":"GST on Silver in 2026: Latest GST Rate on Ornaments, Silver Coins"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_80 counter-hierarchy ez-toc-counter ez-toc-transparent ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69ff55cdf3096\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69ff55cdf3096\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/razorpay.com\/learn\/gst-on-silver\/#GST-on-Silver-with-HSN-Code\" >GST on Silver with HSN Code<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/razorpay.com\/learn\/gst-on-silver\/#GST-on-Silver-Coins-and-Bars\" >GST on Silver Coins and Bars<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/razorpay.com\/learn\/gst-on-silver\/#GST-on-Silver-Ornaments\" >GST on Silver Ornaments<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/razorpay.com\/learn\/gst-on-silver\/#How-to-Calculate-GST-on-Silver\" >How to Calculate GST on Silver?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/razorpay.com\/learn\/gst-on-silver\/#Pre-and-Post-GST-Silver-Rates\" >Pre- and Post-GST Silver Rates<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/razorpay.com\/learn\/gst-on-silver\/#Types-of-Taxes-Imposed-on-Silver\" >Types of Taxes Imposed on Silver<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/razorpay.com\/learn\/gst-on-silver\/#Impact-of-GST-on-the-Silver-Industry\" >Impact of GST on the Silver Industry<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/razorpay.com\/learn\/gst-on-silver\/#GST-Input-Tax-Credit-ITC-on-Silver\" >GST Input Tax Credit (ITC) on Silver<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/razorpay.com\/learn\/gst-on-silver\/#Frequently-Asked-Questions-FAQs\" >Frequently Asked Questions (FAQ&#8217;s)<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"GST-on-Silver-with-HSN-Code\"><\/span><b>GST on Silver with HSN Code<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The <a href=\"https:\/\/razorpay.com\/learn\/gst-goods-and-services-tax-guide\/\">Goods and Services Tax<\/a> (GST) on silver has been a significant topic since its implementation in July 2017. As of 2026, the GST rate applicable to silver is 3% on the value of the metal. The HSN (Harmonized System of Nomenclature) code for silver is <\/span><strong>7106<\/strong><span style=\"font-weight: 400;\">.<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td>\n<h3 style=\"text-align: center;\"><strong>Particulars<\/strong><\/h3>\n<\/td>\n<td style=\"text-align: center;\">\n<h3><strong>HSN Code<\/strong><\/h3>\n<\/td>\n<td style=\"text-align: center;\">\n<h3><strong>\u00a0CGST Rate<\/strong><\/h3>\n<\/td>\n<td style=\"text-align: center;\">\n<h3><strong>\u00a0SGST\/UTGST Rate<\/strong><\/h3>\n<\/td>\n<td>\n<h3 style=\"text-align: center;\"><strong>\u00a0IGST Rate<\/strong><\/h3>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p style=\"text-align: left;\"><span style=\"font-weight: 400;\">Real silver\u00a0 thread,\u00a0 combined\u00a0 with <\/span><span style=\"font-weight: 400;\">textile thread<\/span><\/p>\n<\/td>\n<td><span style=\"font-weight: 400;\">5605 00 10<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">2.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">2.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">5%<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Silver unwrought or <\/span><span style=\"font-weight: 400;\">in semi-manufactured or powder form<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">7106<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">3%<\/span><\/td>\n<\/tr>\n<tr>\n<td style=\"text-align: left;\"><span style=\"font-weight: 400;\">Base metals clad with \u00a0 silver, semi-<\/span><span style=\"font-weight: 400;\">manufactured<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">7107<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">3%<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Silver, clad with gold, semi-<\/span><span style=\"font-weight: 400;\">manufactured<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">7109<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">3%<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Base metal silver, clad\u00a0 with platinum, semi-manufactured<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">7111<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">3%<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Articles of silversmiths&#8217;\u00a0 wares and parts thereof<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">7114<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">3%<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Silver filigree work<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">7113 11 10<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">3%<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Bar<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">71069220<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">3%<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Sheets, Plates, Strips, Tubes, And Pipes<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">71069210<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">3%<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Grains<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">71069110<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">1.5%<\/span><\/td>\n<td style=\"text-align: center;\"><span style=\"font-weight: 400;\">3%<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2><span class=\"ez-toc-section\" id=\"GST-on-Silver-Coins-and-Bars\"><\/span><b>GST on Silver Coins and Bars<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Silver coins usually attract a GST rate of 3%. This rate applies to silver coins considered legal tender, while the treatment for investment-grade coins may vary slightly. The introduction of a consistent tax rate has simplified transactions for both buyers and sellers. Silver bars are also taxed at 3%.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"GST-on-Silver-Ornaments\"><\/span><b>GST on Silver Ornaments<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Silver ornaments are also subject to a GST of 3%. Additionally, making charges for these ornaments are charged at 5%.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"How-to-Calculate-GST-on-Silver\"><\/span><b>How to Calculate GST on Silver?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><b>Step 1: Calculate the Price of Silver<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Use the formula:<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Price of Silver=Price per gram\u00d7Volume (grams)\u00d7Purity<\/span><\/p>\n<h3><b>Step 2: Calculate GST on Silver<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Apply the GST rate of 3% to the price of silver.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Use the formula:\u00a0<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">GST Amount= Rs (3\/100)\u00d7Price of Silver<\/span><\/p>\n<h3><b>Step 3: Calculate the Total Price of Silver<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Add the GST amount to the price of silver<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Total Price=Price of Silver+GST\u00a0<\/span><\/p>\n<h3><b>Step 4: Calculate GST of Making Charges (if applicable)<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">For silver jewelry, an additional GST of 5% on making charges is applied.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Use the formula: <\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">Making Charges GST= (5\/100)\u00d7Total Price<\/span><\/p>\n<h3><b>Step 5: Calculate Final Total Price<\/b><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Add the making charges GST to the total price<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Final Total Price=Total Price+Making Charges GST<\/span><\/p>\n<p><b>Example Calculation<\/b><\/p>\n<p><b>Assume<\/b><span style=\"font-weight: 400;\">:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Price of silver = Rs 95 per gram<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Volume = 100 grams<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Purity = 1 (for 100% pure silver)<\/span><\/li>\n<\/ul>\n<h4><strong>Step 1: Calculate the Price of Silver<\/strong><\/h4>\n<p><span style=\"font-weight: 400;\">Price of Silver= Rs 95\u2009(Rs\/gram)\u00d7100\u2009(grams)\u00d71= Rs9,500<\/span><\/p>\n<h4><strong>Step 2: Calculate GST on Silver<\/strong><\/h4>\n<p><span style=\"font-weight: 400;\">GST Amount=Rs (3\/100)\u00d79,500= Rs285<\/span><\/p>\n<h4><strong>Step 3: Calculate the Total Price of Silver<\/strong><\/h4>\n<p><span style=\"font-weight: 400;\">Total Price=Rs (9,500+285) =Rs9,785<\/span><\/p>\n<h4><strong>Step 4: Calculate GST of Making Charges (if applicable)<\/strong><\/h4>\n<p><span style=\"font-weight: 400;\">GST on Silver Making charges for jewelry = 5% of the Total Price<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Making Charges GST= Rs (5\/100)\u00d7 9785 = Rs 489.25<\/span><\/p>\n<h4><strong>Step 5: Calculate Final Total Price<\/strong><\/h4>\n<p><span style=\"font-weight: 400;\">Final Total Price=Rs (9,785+489.25) = Rs 10,274.25<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Calculating GST on silver purchases involves straightforward steps that ensure transparency in pricing. In this example, the total cost for 100 grams of silver at Rs 95 per gram, including GST and making charges, amounts to Rs 10,274.25<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Pre-and-Post-GST-Silver-Rates\"><\/span><b>Pre- and Post-GST Silver Rates<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Before the implementation of the Goods and Services Tax (GST) in July 2017, the taxation structure for silver in India was complex and varied significantly from state to state. Various indirect taxes were levied on silver, including Value Added Tax (VAT) ranging from<\/span><b> 1% to 5%<\/b><span style=\"font-weight: 400;\">, excise duty at<\/span><b> 1%<\/b><span style=\"font-weight: 400;\">, and local levies. These taxes changed depending on the state, resulting in a convoluted pricing mechanism that often led to price discrepancies across different regions.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For example, in states like Maharashtra and Gujarat, the VAT rates on silver could be as high as <\/span><b>5%<\/b><span style=\"font-weight: 400;\">, while other states had additional local taxes that further increased the cost. This multitude of taxes not only complicated the purchasing process for consumers but also created significant barriers for businesses, resulting in inconsistencies in pricing and taxation compliance. The implementation of GST on silver at the rate of <\/span><b>3%<\/b><span style=\"font-weight: 400;\"> across all states has standardised the pricing of silver in India.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Types-of-Taxes-Imposed-on-Silver\"><\/span><b>Types of Taxes Imposed on Silver<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ol>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h3><b>GST (Goods and Services Tax)<\/b><span style=\"font-weight: 400;\">:<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Applicable at a rate of <\/span><b>3%<\/b><span style=\"font-weight: 400;\"> on silver purchases, including bullion, coins, and ornaments. This simplifies the tax structure by replacing multiple state and central taxes.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h3><b>Short-term Capital Gains Tax<\/b><span style=\"font-weight: 400;\">:<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">If silver is sold within three years of purchase, any profit is subject to short-term capital gains tax, which is taxed at the individual&#8217;s applicable income tax rate.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h3><b>Long-term Capital Gains Tax<\/b><span style=\"font-weight: 400;\">:<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">For silver held for more than three years, profits are subject to long-term capital gains tax, currently set at <\/span><b>20%<\/b><span style=\"font-weight: 400;\"> with indexation benefits, which can reduce the tax burden.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\">\n<h3><b>Silver ETFs Tax<\/b><span style=\"font-weight: 400;\">:<\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Investments in silver exchange-traded funds (ETFs) are also subject to capital gains tax. Gains from selling silver ETFs are treated similarly to physical silver, with short-term and long-term capital gains tax applied based on the holding period.<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">These taxes collectively influence the investment decisions related to silver and its derivatives.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Impact-of-GST-on-the-Silver-Industry\"><\/span><b>Impact of GST on the Silver Industry<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Post-GST, the tax rate on silver fell drastically. This reduction led to a notable shift in market dynamics:<\/span><\/p>\n<h3><b>1. Price Stabilization<\/b><span style=\"font-weight: 400;\">: <\/span><\/h3>\n<p><span style=\"font-weight: 400;\">The uniform tax rate has contributed to more stable prices for silver across the country. Consumers now face fewer discrepancies in silver prices, regardless of where they purchase it.<\/span><\/p>\n<h3><b>2. Competitive Market<\/b><span style=\"font-weight: 400;\">: <\/span><\/h3>\n<p><span style=\"font-weight: 400;\">The reduction in tax rates has made silver more affordable for consumers, potentially increasing demand. As a result, retailers and wholesalers have had to adopt competitive pricing strategies to attract buyers.<\/span><\/p>\n<h3><b>3. Increased Transparency<\/b><span style=\"font-weight: 400;\">: <\/span><\/h3>\n<p><span style=\"font-weight: 400;\">The simplification of the tax structure has fostered a more transparent market, where consumers can easily understand the price breakdown, including the tax component.<\/span><\/p>\n<h3><b>4. Market Variability<\/b><span style=\"font-weight: 400;\">:<\/span><\/h3>\n<p><span style=\"font-weight: 400;\"> Although the GST has standardized the tax rate, silver prices continue to fluctuate based on global market conditions, currency valuations, and domestic demand. For instance, the price of silver experienced significant volatility in 2020 and 2021 due to global economic uncertainties, impacting consumer purchasing behavior.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"GST-Input-Tax-Credit-ITC-on-Silver\"><\/span><b>GST Input Tax Credit (ITC) on Silver<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Businesses engaged in the sale of silver can claim <a href=\"https:\/\/razorpay.com\/learn\/input-tax-credit-under-gst\/\">Input Tax Credit<\/a> (ITC) on the GST paid for silver purchases. To be eligible to claim Input Tax Credit, the following conditions must be met:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The silver must be used in the course of business.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Proper <a href=\"https:\/\/razorpay.com\/blog\/tax-invoice\/\">tax invoices<\/a> must be maintained.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The GST must have been paid on the purchase.<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Frequently-Asked-Questions-FAQs\"><\/span><b>Frequently Asked Questions (FAQ&#8217;s)<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><b>1. What is the HSN code for silver?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">The <a href=\"https:\/\/razorpay.com\/learn\/what-is-the-gst-hsn-code\/\">HSN code<\/a> for silver is <\/span><b>7106<\/b><span style=\"font-weight: 400;\">.<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><\/p>\n<h3><b>2. What is the GST rate for silver in India?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Silver is taxed in India as per the applicable GST rate of 3.00%.\u00a0<\/span><\/p>\n<h3><b>3. What Are the Different Ways to Invest in Silver?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Silver can be invested in through physical forms like coins and bars, silver ETFs, and mining stocks.<\/span><\/p>\n<h3><b>4. What are the Critical Factors Affecting the Price of Silver?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Supply and demand dynamics, economic conditions, and global industrial usage influence silver prices.<\/span><\/p>\n<h3><b>5. What is the GST on silver utensils?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">The GST on utensils of silver is <\/span><b>3%<\/b><span style=\"font-weight: 400;\"> as well.<\/span><\/p>\n<h3><b>6. What is the GST on scrap silver?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Scrap silver is also subject to a <\/span><b>3%<\/b><span style=\"font-weight: 400;\"> GST.<\/span><\/p>\n<h3><b>7. What is the difference between the GST rate on silver and other precious metals like gold?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Gold has a GST rate of <\/span><b>3%<\/b><span style=\"font-weight: 400;\">, similar to silver, but the overall tax structure may vary based on local regulations.<\/span><\/p>\n<h3><b>8. Does GST apply to exports of silver?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Exports of silver are generally exempt from GST, promoting international trade.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>GST on Silver with HSN Code The Goods and Services Tax (GST) on silver has been a significant topic since its implementation in July 2017. As of 2026, the GST rate applicable to silver is 3% on the value of the metal. The HSN (Harmonized System of Nomenclature) code for silver is 7106. Particulars HSN<\/p>\n","protected":false},"author":151156612,"featured_media":16105,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3913,1],"tags":[3821,2039],"class_list":{"0":"post-14090","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-gst-rates-goods-and-service-tax-rates-slabs","8":"category-uncategorized","9":"tag-goods-and-services-tax","10":"tag-gst"},"_links":{"self":[{"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/posts\/14090","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/users\/151156612"}],"replies":[{"embeddable":true,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/comments?post=14090"}],"version-history":[{"count":6,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/posts\/14090\/revisions"}],"predecessor-version":[{"id":18835,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/posts\/14090\/revisions\/18835"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/media\/16105"}],"wp:attachment":[{"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/media?parent=14090"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/categories?post=14090"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/learn.razorpay.in\/learn\/wp-json\/wp\/v2\/tags?post=14090"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}