GST taxpayers to now furnish six-digit HSN tariff code, check direct link here

GST taxpayers to now furnish six-digit HSN tariff code, check direct link here

A GST taxpayer with a turnover of more than Rs 5 crore will now have to provide a six-digit HSN tariff code on the invoices issued for supplies of taxable goods and services, the Ministry of Finance had said in a release.

This new rule came into effect from April 1, 2021.

“With effect from the 1st April, 2021, it has been made mandatory for a GST taxpayer, having turnover of more than Rs 5 crore in the preceding financial year, to furnish 6 digits HSN Code (Harmonised System of Nomenclature Code), or as the case may be, SAC (Service Accounting Code) on the invoices issued for supplies of taxable goods and services,” the release said.

The release also said that a taxpayer having turnover of upto Rs 5 crore in the preceding financial year is required to mandatorily furnish 4 digits HSN code on B2B invoices. Earlier, the requirement was 4 digits and 2 digits respectively.

In trade jargon, every product is categorised under an HSN code (Harmonised System of Nomenclature) which helps in systematic classification of goods across the globe.

Six digits HSN codes for goods are universally common. Hence, common HSN codes apply to Customs and GST.

 HS code in Customs Tariff is prescribed as heading (4 digits HS), sub-heading (6 digits HS) and tariff items (8 digits).

 The customs Tariff for HSN codes may be accessed at the official website of CBIC at www.cbic.gov.in

You can also access the GST rate for goods and services at www.cbic.gov.in/htdocs-cbec

 The HSN search facility is also available on the GST portal. A huge chunk of GST taxpayers have already been furnishing HS codes/ SAC at six or eight digits on voluntary basis on the invoices, e-way bills and GSTR 1 returns, reported ZEE News.

Source:-dnaindia

 

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