Job work service - stiching of upper of Shoes

[rakesh rohilla]

Dear Experts,

previously we are charging 18% GST on job work of stiching of upper of shoes upto jan 2018. Now there are some persons who charge only 5% on this service and my SAC code is 00441480. Please tell me whether i have to charge 18% or 5%.

AI Summary

Expert Clarifies GST Rate for Shoe Upper Stitching; Use SAC 9988 for Correct 5% Rate on Leather Footwear. A forum participant sought advice on the applicable GST rate for stitching the upper part of shoes, previously charged at 18%. They noted discrepancies with others charging 5% and mentioned using SAC code 00441480. An expert clarified that this code was outdated and suggested SAC 9988, which covers manufacturing services on physical inputs owned by others. The correct GST rate depends on the type of shoes, with a 5% rate applicable to leather goods or footwear under Chapter 42 or 64. The participant expressed satisfaction with the guidance provided on the correct GST rate and SAC code.