Cement HSN Code 6810 & GST Rate 2025

What is HSN Code 6810?

HSN Code 6810 is used for “Articles of cement, of concrete, or of artificial stone, whether or not reinforced.”This category covers all cement-based construction materials, including bricks, building blocks, flooring tiles, prefabricated concrete sections, and mosaic cement products.

In simple terms, if a product is made primarily from cement or concrete, it typically falls under the 6810 HSN code.These goods play a major role in construction projects including residential buildings, industrial structures, roads, and civil infrastructure.

GST Rates & Exemptions for HSN Code 6810

Earlier, cement attracted one of the highest GST slabs at 28%, making it relatively expensive.However, following the GST 2.0 rate reforms (effective 22 September 2025), the GST rate on cement has been reduced to 18%, offering relief to builders, developers, and homeowners alike.

This updated structure applies uniformly to cement articles, except for standard building bricks and blocks, which have also been reduced to 5% GST, promoting affordable housing and rural construction initiatives.

Key Highlights for 2025

Cement GST rate (HSN 6810): 18%
Building & cement bricks: 5%
Prefabricated structures: 18%
Cement tiles & artificial stone articles: 18%
No compensation cess applies to cement or its derivatives.

Table Notes

The new 18% GST slab standardizes taxation across cement-based products under HSN 6810.
5% GST under government initiatives applies only to bricks and blocks used in registered low-cost housing.
Cement and concrete items used in decorative or non-standard products still fall under the 18% bracket.

GST Rates Applicable Under 6810

Cement Type / Product	HSN Code	GST Rate (2025)	Notes / Examples
Articles of cement, concrete, or artificial stone	6810	18%	All reinforced or plain concrete products
Building blocks and bricks	681011	5%	Building blocks for residential construction
Cement bricks	68101110	5%	Benefitting from affordable housing GST concession
Other cement bricks / blocks	68101190	5%	Fly-ash and hollow blocks
Mosaic or cement tiles	68101910	18%	Decorative and flooring-grade products
Prefabricated structural components	68109100	18%	Ready-to-install concrete structures
Cement tiles and artificial stone	681019	18%	Includes paver tiles, slabs, and flooring cement sheets
Other articles of cement or concrete	681099	18%	Miscellaneous cement-based construction materials

(Rates updated per GST Council reforms, 22 September 2025).

What’s Included in 6810 HSN Code Cement Products?

Under HSN 6810, products are classified as cement-based materials used in civil structures, flooring, tiling, or ornamental applications.This category includes:

Cement bricks and building blocks
Cement-based paver tiles or mosaic sheets
Plain or reinforced concrete sections
Prefabricated slabs, panels, and lintels
Decorative cement articles and artificial stone
Ready-mix concrete and precast items

Such cement goods are essential in construction, ensuring structural strength and durability for both commercial and residential use cases.

Explore Gimbooks HSN/SAC code & GST Rate finder

Key Exemptions Under GST for Cement & Concrete Products

While no general exemption exists for cement manufacturing, certain commodities and conditions enjoy lower or zero GST rates in 2025:

Product	GST Rate (%)	Exemption Details
Building bricks and blocks	5	Reduced rate for affordable housing
Cement articles for rural infrastructure	5	Under specified housing schemes
Prefabricated houses for government projects	5–12	If part of PMAY or public utility works
Standard OPC/PPC Cement	18	No exemption; standard slab
Ready-mix concrete / specialty concrete	18	Commercial/industrial use

This differential structure helps balance fiscal inflow while encouraging cost-effective housing programs under government GST 2.0 reforms.

Input Tax Credit (ITC) Rules for Cement under GST

Cement is classified as a taxable input good, meaning businesses can claim ITC on cement purchases under specific conditions.However, ITC on cement is restricted in some real estate and construction applications.

ITC Eligibility

You may claim ITC on:

Cement used for commercial manufacturing or resale.
Cement procured by registered dealers or industrial enterprises producing taxable goods.
Cement used for infrastructure, machinery foundations, or civil projects billed under works contracts.

ITC Not Allowed

When cement is used for personal or residential construction projects.
For immovable property (e.g., warehouses, offices, homes) not intended for further supply.
Under composition schemes where ITC is explicitly disallowed.

Example:If a builder purchases cement worth ₹10 lakh at 18% GST (₹1.8 lakh GST), and the construction is part of a taxable commercial project, full ITC can be claimed toward output tax liability.

GST on Cement Billing: Practical Scenarios

Homebuyer purchase:A homeowner purchasing 10 cement bags at ₹500 each pays 18% GST—₹90 per bag is GST-inclusive.
Construction project vendor:A developer sourcing cement for housing projects under PMAY pays 5% GST if categorised as approved “affordable housing construction.”
Manufacturer or trader:A cement factory selling finished OPC under HSN 2523 charges 18% GST and may claim full ITC on clinker or coal inputs.
Precast and prefabricated unit:A contractor making RMC panels under HSN 681091 bills at 18% with ITC benefit.

Common Mistakes in Cement GST Filing

Misusing HSN 2523 (raw cement) instead of HSN 6810 (cement-based articles).
Claiming ITC for residential self-construction or rented property builds.
Ignoring the revised 2025 slab cut and charging 28%.
Failing to segregate GST percentages (5% vs 18%) for mixed concrete orders.
Incorrectly describing “Ready-Mix Concrete (RMC)” under non-applicable HSN codes.

Proper categorization under the correct cement HSN code 6810 avoids audits, penalties, and unnecessary tax liabilities.

Conclusion

The Cement HSN Code (6810) classifies all major cement, concrete, and artificial stone products used in construction.With GST 2.0, effective 22 September 2025, the rate on cement products has significantly dropped from 28% to 18%, while building bricks now attract only 5%.These changes simplify the tax structure, reduce project costs, and encourage affordability in real estate and infrastructure development.

Businesses must use the accurate 6810 HSN code GST rate while invoicing to ensure compliance and maximize Input Tax Credit (ITC) benefits.

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FAQs: HSN Code 6810 & Cement GST Rate

What is HSN Code 6810?

HSN Code 6810 covers articles made from cement, concrete, or artificial stone — such as bricks, tiles, and prefabricated cement structures.

What’s the current GST rate on cement (2025)?

As per GST Council updates, most cement and concrete articles are taxed at 18%, while standard building bricks are now 5%.

Is ITC available on cement purchases?

Yes, ITC is available for businesses using cement for commercial or resale purposes. However, it’s not allowed for residential or personal construction.

Does the GST cut in 2025 affect ready-mix concrete pricing?

Yes, RMC under HSN 6810 now attracts 18% GST, reducing total construction costs by 10% compared to pre-September 2025 rates.

Why was cement shifted from 28% to 18% slab?

The move simplified taxation and aimed to boost India’s real estate and infrastructure affordability under the GST 2.0 reform.