The HSN code for copper waste and scrap is 7404, and the applicable GST rate in India is 18%. The six-digit code is 740400, while eight-digit codes distinguish copper scrap, brass scrap, bronze scrap and other copper-alloy scrap.
What Is the HSN Code for Copper Waste and Scrap?
Copper waste and scrap falls under HSN heading 7404 of Chapter 74, which covers copper and articles thereof.
This heading includes copper waste generated during manufacturing and fabrication, as well as copper and copper-alloy articles that are no longer usable for their original purpose and are intended for recovery or recycling.
The correct eight-digit HSN code depends on whether the scrap consists of copper or a copper alloy, and whether it meets a specific tariff description.
Copper Waste and Scrap HSN Code List
| HSN Code | Product Description | GST Rate |
|---|---|---|
| 74040011 | Specified empty or discharged copper cartridges | 18% |
| 74040012 | Specified copper scrap, including certain copper wire and heavy copper scrap grades | 18% |
| 74040019 | Other copper waste and scrap | 18% |
| 74040021 | Specified empty or discharged copper-alloy cartridges | 18% |
| 74040022 | Specified brass scrap grades | 18% |
| 74040024 | Specified bronze scrap | 18% |
| 74040025 | Specified copper-nickel scrap | 18% |
| 74040029 | Other copper-alloy waste and scrap | 18% |
These tariff items distinguish scrap by metal composition and specified commercial grades. Businesses should verify the material description before selecting an eight-digit code.
GST Rate on Copper Waste and Scrap in India
Copper waste and scrap under HSN 7404 attracts 18% GST.
For intra-state sales, GST is generally divided into 9% CGST and 9% SGST. For inter-state sales, 18% IGST generally applies.
The rate covers qualifying copper and copper-alloy waste and scrap under Heading 7404.
GST Calculation Example
Suppose a scrap dealer sells copper wire scrap worth ₹50,000, excluding GST.
| Particular | Amount |
|---|---|
| Taxable Value | ₹50,000 |
| GST @ 18% | ₹9,000 |
| Total Invoice Value | ₹59,000 |
For an intra-state sale, the GST amount comprises ₹4,500 CGST and ₹4,500 SGST.
Compliance note: Scrap dealers should also check the applicable GST reverse-charge and tax-deduction-at-source provisions. These affect who must pay or deduct tax in specified transactions; they do not change the 18% product rate.
HSN Code for Different Types of Copper Scrap
Copper Wire Scrap – HSN 74040012
Specified copper wire scrap grades, including those covered by relevant ISRI classifications, fall under HSN 74040012.
However, not every item described commercially as copper wire scrap automatically falls under this tariff item. The material must meet the applicable description.
Brass Scrap – HSN 74040022
Specified brass scrap grades fall under HSN 74040022.
Brass is an alloy primarily containing copper and zinc. Common scrap sources include manufacturing offcuts, fittings, valves and discarded brass components.
Other copper-alloy scrap not covered by a specific tariff item may fall under HSN 74040029.
Bronze Scrap – HSN 74040024
Specified bronze scrap falls under HSN 74040024.
Bronze is a copper-based alloy, commonly containing tin or other alloying elements. The exact classification depends on the scrap’s composition and tariff description.
Other Copper Scrap – HSN 74040019
Copper scrap that does not meet the descriptions of the more specific copper tariff items may fall under HSN 74040019.
This classification applies to other waste and scrap of copper, rather than copper alloys.
Copper Scrap vs Copper Products: HSN Code Difference
Copper scrap should not be confused with finished copper products or reusable copper materials.
| Product Category | HSN Heading |
|---|---|
| Copper waste and scrap | 7404 |
| Refined copper and copper alloys, unwrought | 7403 |
| Copper bars, rods and profiles | 7407 |
| Copper wire | 7408 |
| Copper tubes and pipes | 7411 |
For example, copper wire manufactured and sold as usable wire is generally classified under Heading 7408. Copper wire that qualifies as waste or scrap may instead fall under Heading 7404.
The distinction depends on the condition, characteristics and intended use of the goods, not merely whether they are second-hand.
Frequently Asked Questions
What is the HSN code for copper scrap?
The four-digit HSN code for copper waste and scrap is 7404, and the six-digit code is 740400. The applicable eight-digit code depends on the type of scrap.
What is the GST rate on copper scrap?
Copper waste and scrap classified under HSN 7404 attracts 18% GST in India.
What is the HSN code for brass scrap?
Specified brass scrap grades fall under HSN 74040022. Other copper-alloy scrap may fall under HSN 74040029, depending on its composition and tariff description.
Is copper wire scrap classified under HSN 7404 or 7408?
Copper wire that qualifies as waste or scrap falls under Heading 7404. Usable copper wire sold as a product generally falls under Heading 7408.
Sources
- CBIC – GST Goods and Services Rates – GST rate on HSN 7404.
- Ministry of Corporate Affairs – ITC-HS Code List – Indian eight-digit tariff classifications.
- Engineering Export Promotion Council of India – HS Code 740400 – Copper scrap tariff descriptions.
- Notification No. 9/2025-Central Tax (Rate), as amended – Current GST rate schedule.
Last Reviewed: 15 October 2026
