What is HSN Code?
Last updated: 27 June 2026
An HSN Code (Harmonised System of Nomenclature) is a 6-to-8-digit numeric code used under GST to systematically classify every type of goods traded in India.
HSN is an internationally standardised classification developed by the World Customs Organization. India adopted it for GST to attach the correct tax rate to each product and to enable consistent reporting in returns. Every goods invoice and GSTR-1 filing must include the HSN code for the items sold.
How many digits are required?
The number of digits required in GSTR-1 depends on your annual aggregate turnover (AATO):
| Turnover | Digits required |
|---|---|
| Up to ₹5 crore | 4 digits (B2B mandatory; B2C optional) |
| Above ₹5 crore | 6 digits (all invoices) |
India uses an 8-digit national extension for more granular classification, though 4 or 6 digits cover most compliance obligations.
How HSN codes appear in GSTR-1
From April 2025, Table 12 of GSTR-1 requires you to select HSN codes from a dropdown (manual text entry is no longer accepted), and the table is split into separate B2B and B2C tabs. The HSN-wise summary must reconcile with the rest of your return — mismatches trigger portal validation errors.
Fact box. The same 4-digit HSN chapter for "edible oil" (Chapter 15) carries a 5% GST rate, while "aerated beverages" (Chapter 22) carry 40%. Getting the HSN right isn't just paperwork — it determines how much tax you charge.
Practical example
A manufacturer selling cotton fabric uses HSN code 5208 (woven fabrics of cotton). At 4-digit reporting (turnover ≤ ₹5 crore), they enter "5208" in Table 12. At 6-digit reporting, they would enter the more specific sub-heading, e.g., "520811".
Frequently asked questions
How do I find the HSN code for my product? Search the CBIC tariff schedule at cbic-gst.gov.in or use the GST rate finder on the GSTN portal. The description nearest to your product's material and use gives the right chapter.
Do services use HSN codes? No — services use SAC (Service Accounting Codes). See the SAC Code glossary page.
Sources: CBIC — cbic-gst.gov.in; GSTN HSN advisory, tutorial.gst.gov.in
General information, not professional advice. Verify on the official portal for your case. Reviewed by a Chartered Accountant; last updated 27 June 2026.
Related: SAC Code · GSTR-1 · GST Rates 2026