GST HSN Code for Paints, Hardware & Flooring Items Explained

If you run a small business dealing in home improvement supplies, you know that managing GST can be a complex task. From paints and varnishes to nuts, bolts, and tiles, each item has a specific tax rate and compliance requirement. The key to unlocking this puzzle lies in a simple code. This guide is designed to simplify one of the most confusing aspects of GST compliance for your business: finding the correct HSN code for paints, hardware, and flooring. Understanding HSN codes in India is not just about following rules; it’s about ensuring your invoices are accurate, your tax filings are smooth, and you can claim your rightful input tax credits without any hassle. Getting these codes right from the start is the first and most crucial step toward penalty-free GST returns. For a detailed guide on the filing process, see our article on How to File GST Returns Online: A Step-by-Step Guide of the GST Filing Process & Procedure.

What is an HSN Code and Why is it Crucial for Your Business?

Before diving into specific product categories, it’s essential to grasp what an HSN code is and the powerful role it plays in the GST framework. Many business owners view it as just another number to put on an invoice, but its significance runs much deeper, directly impacting your financial health and legal standing.

Breaking Down the HSN Code

HSN stands for Harmonized System of Nomenclature. It’s a globally recognized system developed by the World Customs Organization (WCO) for classifying goods. Think of it as a universal language for products, allowing countries to identify and categorize items in a uniform way for customs and trade purposes. India adapted this comprehensive system for GST to create a systematic classification of goods, making taxation logical and efficient.

The HSN code is typically structured as an 8-digit number, though Indian businesses often use 4 or 6 digits depending on their turnover. Here’s a simple breakdown of its structure:

• Chapter (First 2 digits): Broadly classifies the product category (e.g., Chapter 32 for Paints).
• Heading (Next 2 digits): Narrows down the classification within the chapter (e.g., 3208 for paints based on synthetic polymers).
• Sub-heading (Next 2 digits): Provides a more specific description of the product.
• Tariff Item (Last 2 digits): Further refines the classification for utmost specificity.

The Importance of Using the Correct HSN Code

For any small business owner, using the right HSN code is non-negotiable. It’s a cornerstone of GST compliance that has several direct benefits and helps you avoid significant problems. This is the core of our HSN code explained for local businesses section.

• Accurate GST Rates: The single most important function of the HSN code is to determine the GST rate applicable to a product. A slight error in the code can lead you to charge the wrong tax rate—either overcharging your customer or underpaying the government, both of which create serious complications.
• Compliance and Invoicing: It is mandatory to mention HSN codes on tax invoices. The number of digits required depends on your annual aggregate turnover:
  • Turnover above ₹5 crore: A 6-digit HSN code is mandatory.
  • Turnover up to ₹5 crore: A 4-digit HSN code is mandatory for all B2B (business-to-business) invoices.
• Input Tax Credit (ITC): To claim ITC on your purchases, the HSN code on your supplier’s invoice must match the goods you have received and subsequently sold. Any mismatch can lead to disputes during GST audits and potential rejection of your ITC claim, directly impacting your cash flow. For more details, explore our GST Input Tax Credit (ITC) Full Guide 2025 – Eligibility, Limits & Common Issues.
• Avoiding Penalties: Using an incorrect HSN code can be considered a non-compliance issue under GST law. This can attract penalties under Section 125 of the CGST Act, which can be as high as ₹25,000. For a small business, such penalties can be a significant financial burden.

A Detailed Guide to the HSN Code for Paints and Varnishes

For businesses dealing in decorative and industrial coatings, correctly identifying the HSN code for paints is a daily necessity. Most of these products are classified under Chapter 32 of the HSN system, which covers a wide range of related items.

Understanding Chapter 32: The Home of Paints and Varnishes

HSN Chapter 32 is titled “Tanning or dyeing extracts; tannins and their derivatives; dyes, pigments and other colouring matter; paints and varnishes; putty and other mastics; inks.” This chapter is the primary reference point for almost every type of paint, varnish, primer, putty, and filler you might stock.

Common HSN Codes for Paints with GST Rates

Navigating Chapter 32 is easier when you know the key headings. Here is a simplified breakdown of the most common HSN codes for paints and related products, along with their typical GST rates.

HSN Code	Product Description	Typical GST Rate
3208	Paints and varnishes based on synthetic polymers or chemically modified natural polymers (e.g., Enamels, Lacquers, Primers).	18% / 28%
3209	Water-based paints and varnishes (e.g., Emulsions, Acrylic Distempers).	18% / 28%
3210	Other paints and varnishes (including oil-bound distempers, water pigments for finishing leather).	18%
3214	Glaziers’ putty, grafting putty, resin cements, caulking compounds, and other mastics; painters’ fillings.	28%

Key takeaways for your paint business:

• Synthetic vs. Water-based: The primary distinction is often whether the paint is solvent-based (HSN 3208) or water-based (HSN 3209). Most high-performance enamels and industrial coatings fall under 3208, while interior and exterior wall emulsions fall under 3209.
• Fillers and Putty: Remember that wall putty, wood fillers, and other mastics used in painting fall under a separate HSN code, 3214, and typically attract a 28% GST rate.
• GST Rate Variations: While most common paints fall into the 18% or 28% slab, it’s crucial to check the exact 6-digit or 8-digit code for the specific product, as rates can be revised by the GST Council.

HSN Classification for Building Materials: Hardware & Flooring

Unlike paints, which are mostly consolidated under one chapter, the HSN classification for building materials India is spread across several chapters. While this article focuses on hardware and flooring, you can find an HSN Code List for Construction Materials 2025 – Cement, Steel, Bricks & Tiles in our other guide. This makes it slightly more challenging, but understanding the basic categories can simplify the process.

Finding the HSN Code for Hardware Items India

Hardware items, by their very nature, are diverse. They can be made of iron, steel, brass, or other metals and serve countless functions. Here are the key HSN chapters you’ll encounter when classifying hardware:

• Chapter 73: Articles of Iron or Steel
  • This is one of the most common chapters for general hardware.
  • Example: HSN 7318 covers Screws, Bolts, Nuts, Coach screws, Screw hooks, Rivets, Washers, and similar articles of iron or steel.
• Chapter 83: Miscellaneous Articles of Base Metal
  • This chapter covers more specialized metal fittings and fixtures.
  • Example 1: HSN 8301 is for Padlocks, Locks (key, combination, or electrically operated), and their parts.
  • Example 2: HSN 8302 includes Base metal mountings, fittings, and similar articles suitable for furniture, doors, windows, and cabinets (e.g., Hinges, Castors, Brackets).
• Chapter 82: Tools, Implements, Cutlery…
  • This chapter is for hand tools that you might sell.
  • Example: HSN 8205 covers Hand tools such as Hammers, Screwdrivers, Pliers, Wrenches, and Spanners.

Navigating the HSN Code for Flooring Items India

Flooring materials vary widely in composition, and so do their HSN codes. When determining the HSN code for flooring items India, you must first identify the primary material of the product.

• Chapter 69: Ceramic Products
  • This is the go-to chapter for all types of tiles.
  • Example: HSN 6907 covers Ceramic flags and paving, hearth or wall tiles. This includes vitrified tiles, porcelain tiles, and standard ceramic tiles.
• Chapter 44: Wood and Articles of Wood
  • For businesses selling wooden flooring options.
  • Example: HSN 4409 is for Wood that is continuously shaped along any of its edges or faces, including wooden flooring panels.
• Chapter 39: Plastics and Articles Thereof
  • This chapter covers modern flooring solutions like vinyl.
  • Example: HSN 3918 is for Floor coverings of plastics, whether or not self-adhesive, in rolls or in the form of tiles (e.g., Vinyl flooring, Linoleum).
• Chapter 57: Carpets and Other Textile Floor Coverings
  • For textile-based flooring solutions.
  • Example: HSN 5703 covers Tufted carpets and other tufted textile floor coverings.

How to Find HSN Codes in India: A Practical Step-by-Step Guide

Now that you understand the structure and importance of HSN codes, the next question is: how to find HSN codes India for your specific products? Here are three reliable methods.

Method 1: Use the Official GST Portal

The Government of India provides a free and authoritative tool to search for HSN codes.

1. Navigate to the official GST Portal.
2. Go to Services > User Services > Search HSN Code.
3. You can search for a code using either the product description (e.g., “emulsion paint”) or the chapter number if you already know it.

Actionable Tip: Searching by description can sometimes give you multiple results. It’s a good practice to cross-verify the HSN heading and sub-heading details to ensure you pick the most accurate code for your product. You can access the tool directly here: GST Portal’s HSN Search Tool.

Method 2: Check Your Supplier’s Invoices

One of the easiest ways to find the correct HSN code is to look at the invoices you receive from your suppliers, manufacturers, or distributors. In a B2B transaction, your supplier is legally required to mention the correct HSN code on their GST invoice. This ensures consistency across the entire supply chain and reduces the chances of error.

Method 3: Consult a Professional

When you deal with a vast inventory or niche products, HSN classification can become ambiguous. Guesswork can lead to costly penalties and legal issues down the line. To ensure 100% compliance and peace of mind, it’s always best to consult with a GST expert. TaxRobo’s team of professionals can help you with accurate HSN classification, error-free GST filing, and comprehensive accounting solutions tailored for your business needs.

Conclusion

Mastering GST compliance is a journey, and understanding HSN codes is a significant milestone. For any business in the building materials sector, correctly identifying the HSN code for paints, hardware, and flooring is fundamental. It ensures you charge the right tax, issue compliant invoices, and claim your Input Tax Credit without any friction. By using the official GST portal, referencing supplier invoices, and seeking professional help when needed, you can navigate the complexities of HSN with confidence.

Don’t let HSN codes complicate your GST compliance. Whether you need help with finding the right code, filing your returns, or complete accounting services, TaxRobo is here to help. Contact us today for a consultation!

Frequently Asked Questions (FAQs)

1. Is it mandatory for all businesses to mention HSN codes on invoices?

Yes, it is mandatory, but the number of digits required depends on your annual aggregate turnover. Businesses with a turnover of over ₹5 crores must use a 6-digit HSN code. Those with a turnover up to ₹5 crores must use a 4-digit code on their B2B (business-to-business) invoices. It is good practice for all businesses to use HSN codes for better record-keeping.

2. What is the penalty for using the wrong HSN code in India?

Using an incorrect HSN code can lead to a demand for differential tax (if the wrong code led to a lower tax rate) along with interest and penalty. Additionally, it can attract a general penalty under Section 125 of the CGST Act, 2017, which can be up to ₹25,000 for any offence that doesn’t have a specific penalty mentioned elsewhere in the Act.

3. What is the general GST rate for the HSN code for paints?

Most paints and varnishes, especially those classified under HSN codes 3208 (solvent-based) and 3209 (water-based), fall under the 18% or 28% GST slab. For instance, painters’ fillings and mastics under HSN 3214 are typically taxed at 28%. However, GST rates are subject to change, so it’s crucial to verify the exact rate for the specific product at the time of sale.

4. Where can I find the most updated list of HSN codes and GST rates?

The most reliable and official source for the latest HSN codes and their corresponding GST rates is the website of the Central Board of Indirect Taxes and Customs (CBIC) and the official GST portal. These platforms are regularly updated with the latest notifications and circulars from the GST Council. You can check the rates here: CBIC GST Rates page.