What is the GST rate for shoes under HSN 6403 in 2026?

As of 2026, footwear under HSN 6403 is taxed at 5% for products priced up to ₹2,500 per pair and 18% for footwear above ₹2,500 per pair.

Are traditional or handmade footwear exempt from GST?

No, traditional footwear such as Kolhapuri chappals are not exempt. They are generally taxed at 5% GST depending on price and classification.

What are common GST mistakes in footwear billing?

Common mistakes include applying a flat 18% GST on all footwear, using incorrect HSN codes, and misclassifying leather and synthetic footwear categories.

What is HSN code for leather shoes?

Leather shoes fall under HSN 6403, which covers footwear with leather uppers and soles made of rubber, plastic, or leather.

Shoes HSN Code 6403 & GST Rate in India (2026) – Leather Footwear Guide

Q: What is HSN 6403?

HSN 6403 refers to footwear with outer soles of rubber, plastics, leather, or composition leather and uppers made of leather, including shoes, boots, sandals, and slippers.

Q: Can footwear manufacturers claim ITC?

Yes, Input Tax Credit (ITC) is available on raw materials like leather, soles, adhesives, and packaging when used for taxable footwear supplies.

Q: What is the GST rate for footwear in India in 2026?

Footwear in India is taxed at 5% GST for prices up to ₹2,500 per pair and 18% GST above ₹2,500 per pair as of 2026.

Q: What is HS Code 6403?

HS Code 6403 refers to footwear with leather uppers and includes formal shoes, boots, sandals, and other leather footwear types.

Vikash

17 Oct 2025 • 6 min read

Shoes HSN Code 6403 and GST Rate

The HSN code for leather footwear is 6403, and the GST rate is 5% for shoes priced up to ₹2,500 and 18% for footwear above ₹2,500 as of 2026. This applies to all footwear with leather uppers and rubber, plastic, or leather soles.

Understanding the 6403 HSN Code is essential for footwear manufacturers, retailers, and traders dealing in leather products. The 6403 HSN Code GST rate applies to footwear with leather uppers and soles made of rubber, plastic, or composition leather.

Knowing the correct classification ensures accurate tax filing, compliance, and smooth business operations in the footwear industry. In this guide, we’ll break down what HSN Code 6403 covers, its GST rate, and how it impacts footwear businesses in India.

What is HSN Code 6403?

HSN Code 6403 covers “Footwear with outer soles of rubber, plastics, leather, or composition leather and uppers of leather.” It includes all types of leather and synthetic footwear—like formal shoes, boots, sandals, and chappals—with leather uppers.This classification is primarily used by shoe retailers, leather manufacturers, wholesalers, and footwear brands to correctly apply GST rates for compliant billing.

GST Rates & Exemptions for HSN Code 6403

As of 2026, this price-based GST structure remains unchanged, and the ₹2,500 threshold continues to determine the applicable GST rate for footwear under HSN 6403. The GST Council simplified earlier 12% and 18% slabs into a two-tier rate structure to encourage affordable footwear access.

Updated Footwear GST Structure (Applicable in 2026)

Price Range (per pair)	GST Rate (%)	Notes	Common Search Terms
Up to ₹2,500	5%	Includes leather, rubber, plastic shoes and sandals	shoes GST rate India, footwear GST 5%, GST on sandals India, budget footwear tax India
Above ₹2,500	18%	Premium or branded footwear, leather boots, designer collections	footwear GST slab 2026, GST on branded shoes India, premium shoes tax India, 18% GST footwear

This price-based structure ensures lower taxes on everyday shoes while maintaining standard rates for luxury and high-end footwear. Earlier, the threshold of ₹1,000 was increased to ₹2,500 to boost affordability in rural and semi-urban markets.

HSN Code 6403 vs 6401 & 6402 (Footwear Classification Differences)

HSN code 6403 applies specifically to footwear with leather uppers, while HSN 6401 covers waterproof footwear and HSN 6402 applies to footwear made primarily of rubber or plastic. The GST rate structure remains similar across categories, but correct classification is essential to avoid compliance errors and incorrect tax application.

Misclassifying rubber or plastic footwear under HSN 6403 is a common mistake and may lead to incorrect GST filing and audit issues.

Table Notes

The ₹2,500 threshold applies to the retail sale price per pair (exclusive of GST).
Footwear parts like soles, heels, and uppers have a flat GST rate of 18%, irrespective of final footwear price.
There is no compensation cess applicable on footwear.
Both leather and synthetic variations are included under the same HSN classification, but rate differences may arise by product cost.

GST Rates Applicable Under 6403

HSN Code	Footwear Category	Material / Construction	GST Rate (2026)	Description Example
6403	Footwear with leather uppers	Rubber, plastic, or leather sole	5% (≤ ₹2,500) / 18% (> ₹2,500)	General leather shoes
6403	Sports footwear	Leather or synthetic upper	5% / 18%	Sports shoes, boots
6403	Other leather footwear	Rubber or leather outsole	5% / 18%	Casual/formal leather shoes
6403	Leather ankle boots	Leather upper footwear	5% / 18%	Boots & ankle shoes
6403	Safety footwear	Leather with protective features	5% / 18%	Industrial safety shoes
6403	Sandals & chappals (leather upper)	Leather upper with PU/rubber sole	5% / 18%	Leather sandals
6403	Fashion leather footwear	Mixed material leather footwear	5% / 18%	Designer shoes

GST rates are applicable based on footwear price: 5% for products up to ₹2,500 per pair and 18% for footwear above ₹2,500 per pair (as per 2026 GST structure).

What’s Included in HSN 6403 Footwear?

HSN 6403 encompasses all footwear where the upper is leather and soles are made of rubber, plastic, or composition leather. It includes:

Formal & casual leather shoes (men/women/children)
Boots & safety shoes
Kolhapuri & handcrafted slippers
Leather sandals & chappals
Sports and outdoor footwear with leather finishes
School shoes
Office formal footwear
Leather sneakers

Leather accessories and parts used in footwear manufacturing, like straps and uppers, also fall under this category but are taxed differently at the flat 18% rate.

How to Choose the Correct HSN Code for Footwear?

To determine the correct HSN code for footwear, businesses must identify the material used in the upper portion of the shoe. If the upper is made of leather, the product falls under HSN 6403. If the upper is made of rubber or plastic, it may fall under HSN 6401 or 6402.

Additionally, GST rates depend on the retail price per pair. Footwear priced up to ₹2,500 attracts 5% GST, while higher-priced products attract 18%. Proper classification ensures accurate billing, GST compliance, and smooth input tax credit claims.

Explore Gimbooks HSN/SAC code & GST Rate finder

Key Exemptions Under GST for Footwear

Footwear priced below ₹2,500 per pair enjoys 5% GST (essential category).
Handmade or traditional leather chappals (e.g., Kolhapuri) may qualify for special consideration under the 5% bracket, subject to turnover and price.
No broad exemptions apply to branded or synthetic footwear above ₹2,500 per pair.
Raw materials like EVA soles or adhesives may attract higher GST (12–18%) under input classifications.

Input Tax Credit (ITC) Rules for Footwear

Registered footwear businesses can claim Input Tax Credit (ITC) on:

Raw materials (rubber, leather, adhesives, soles)
Components (heels, buckles, insoles, laces)
Transport and packaging services

ITC Eligibility Conditions:

Footwear must be sold under a taxable rate (5% or 18%); ITC cannot be claimed for exempted goods.
Proper GST invoices and supplier registration are mandatory for credit claims.
Manufacturers producing both low-cost (5%) and premium (18%) shoes should maintain distinct input accounts for accurate credit filing.

GST on Footwear Billing: Practical Scenarios

A retail outlet selling leather sandals at ₹2,000 per pair charges 5% GST.
A luxury brand pricing shoes at ₹4,000 per pair applies 18% GST.
A footwear manufacturing company bills imported leather parts at 18% GST but claims ITC against final taxable sales.
An online seller listing ₹2,499 footwear remains under the 5% bracket; ₹2,501 triggers 18%.

Common Mistakes in Footwear GST Compliance

Misclassifying rubber/plastic footwear under leather codes (6403 vs 6401/6402).
Charging flat 18% on all footwear despite price brackets.
Missing ITC documentation for input parts or misusing credits for non-taxable categories.
Not revising GST invoicing systems post the 2025 rate reform.

Conclusion

HSN Code 6403 ensures simplified GST compliance for footwear uppers made of leather across both everyday and luxury segments. Under GST 2.0 reforms (effective 22 September 2025), affordable footwear up to ₹2,500 attracts just 5% GST, while premium or designer models are taxed at 18%. Correct classification and consistent documentation help footwear manufacturers, wholesalers, and retailers maintain compliance and cost efficiency and GST compliance in 2026..

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Quick Summary: HSN 6403 & GST Rate

HSN Code: 6403
Category: Footwear with leather uppers
GST Rate:
5% (up to ₹2,500 per pair)
18% (above ₹2,500 per pair)
Applies to: Shoes, sandals, boots, Kolhapuri chappals, leather footwear

FAQs: HSN Code 6403 & Footwear GST

What is HSN 6403?

It refers to footwear with outer soles of rubber, plastics, or leather and uppers made of leather, including shoes, boots, sandals, and slippers.

What’s the GST rate for shoes under HSN 6403?

Footwear up to ₹2,500 per pair attracts 5% GST; above ₹2,500 is taxed at 18%.

Are handcrafted or traditional footwear exempt from GST?

Traditional leather chappals like Kolhapuri are taxed at 5%, subject to price and category; full exemption doesn’t apply.

Can footwear manufacturers claim ITC?

Yes, ITC is available on leather, soles, adhesives, and other input materials if footwear is supplied under taxable rates.

What are common errors to avoid in footwear billing?

Applying flat 18% GST on all shoes or using the wrong HSN sub-code for materials and pricing are common compliance mistakes.

What is the GST rate for HSN Code 6403 in 2026?

The GST rate for footwear under HSN Code 6403 is 5% for products priced up to ₹2,500 per pair and 18% for footwear above ₹2,500, as per the current GST structure in 2026.

What are examples of HSN codes under 6403?

Common sub-codes under HSN 6403 include 640319 (other leather footwear), 640351 (ankle-length leather shoes), and 640340 (safety footwear with metal toe caps), depending on design and usage.

What is HS Code 6403?

HS Code 6403 refers to “Footwear with outer soles of rubber, plastics, leather, or composition leather and uppers of leather.” This includes leather formal shoes, boots, sandals, and similar footwear.

What is the GST rate for footwear in India in 2026?

Footwear in India is taxed at 5% GST if priced up to ₹2,500 per pair and 18% GST if priced above ₹2,500, regardless of whether it is leather or synthetic.

What is the HSN code for shoes?

The HSN code for shoes depends on the material. Leather footwear falls under HSN 6403, while rubber or plastic footwear is classified under HSN 6401 or 6402.