Official Classification

Under the Harmonized System of Nomenclature (HSN), the code 7112 specifically identifies waste and scrap of precious metal or of metal clad with precious metal; other waste and scrap containing precious metal or precious metal for the purpose of taxation and trade in Bharat. This ensures uniform classification across all Indian states and Union Territories.

Intra-State Split

CGST 1.5% + SGST 1.5%

Inter-State Split

IGST 3%

Compliance Check-list

✓Mention HSN 7112 on all Tax Invoices for waste and scrap of precious metal or of metal clad with precious metal; other waste and scrap containing precious metal or precious metal
✓Include in HSN-wise summary of GSTR-1 filings
✓Mandatory for E-way bill generation for goods above threshold
✓Ensure Input Tax Credit (ITC) matches this classification

✨ AI Compliance Insight

Expert Advice for 7112

"Classifying waste and scrap of precious metal or of metal clad with precious metal; other waste and scrap containing precious metal or precious metal correctly is critical to avoid litigation. While the base rate is 3%, always check for anti-dumping duties if importing, especially under the Gems & Jewellery category. AasanKhata automatically monitors these shifts for you."