The Indian government revised GST rates on carpets from 12% to 5%. But for Indian handmade carpet industry, nothing really changed — except one thing that truly matters.
Sometimes, a government ‘big announcement’ changes everything. Other times… it changes nothing at all.
This week, the Indian government announced a revision of GST rates on carpets — bringing them down from 12% to 5%.
Sounds like great news, right?
Well, not really for the handmade carpets.
Because here’s the truth: handmade carpets and rugs were always taxed at 5%.
What Made Things Difficult
The problem was never the actual tax rate — it was the confusion around it.
1. Almost every website, even the official GST portal, wrongly showed 12% instead of 5%.
2. Whenever our handmade rugs crossed state borders, trucks were held up and shipments delayed.
3. Officials argued the rate was 12%, forcing us to pay unnecessary fines, penalties, and even lawyers’ fees for “undervalued GST”.
4. To fight back, we had to waste months running between courtrooms and government offices — just to claim the money that already belonged to us.
What This “Revision” Actually Means
Now, with this revision, all carpets — including handmade — are officially listed at 5% GST.
So, what’s changed for us?
Not the tax rate. But something bigger:
Now, we finally get to save on endless legal fees, wasted hours, and unnecessary court battles.
Which means we can spend less time buried in paperwork and more time doing what we love most: crafting exquisite handmade carpets and rugs that bring warmth and luxury to homes across India and the world.
The Bigger Lesson
Sometimes, real reform doesn’t lie in changing the law.
It lies in updating the information people rely on.
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