GST rate on beauty parlour

As of September 22, 2025, beauty parlour services in India are subject to a reduced GST rate of 5%, but this rate prohibits the claiming of Input Tax Credit (ITC). Alternatively, services might be taxed at 18% if ITC is claimed. Retail products sold by parlours are taxed separately based on their HSN code, with ITC generally available for these items. Businesses must ensure they are registered for GST if their turnover exceeds the specified thresholds.