GlossaryGSTWhat is HSN Code?
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What is HSN Code?

An HSN (Harmonized System of Nomenclature) code is an internationally standardised number that classifies goods for GST rate and reporting purposes.

Bare Law Reference: Notification 78/2020-Central Tax.

Detailed Explanation

How it works

The number of HSN digits required on invoices depends on turnover: 4 digits up to Rs.5 crore and 6 digits above, with 8 digits for exports and specified items.

Frequently asked questions

How many HSN digits are required?

4 digits up to Rs.5 crore turnover and 6 digits above; 8 digits for exports and notified items.

Why is the HSN code important?

It determines the GST rate and is validated in GSTR-1 reporting.

This content is for general guidance only and does not constitute professional advice. Tax law changes frequently — verify the current position and consult a qualified Chartered Accountant before acting. Last reviewed: June 2026.

Key Takeaways

  • HSN classifies goods for GST.
  • 4 or 6 digits by turnover; 8 for exports.
  • Wrong HSN can mean wrong tax.