HSN Code after GST India

Screen Shot 2017-07-07 at 5.07.28 PMWondering what is HSN? Find out your HSN code here!
HSN is abbreviation for Harmonized System of Nomenclature.


HSN
is an internationally accepted product coding system invented abroad which was earlier used for classification of manufactured goods in India in Central Excise and import export of goods. However, with excise being removed and reforms being brought in form of One Nation One Tax (only indirect taxation though), the same HSN coding system is brought to GST regime.

HSN is an 8 digit number wherein, first 2 digits are the Chapter number, first 4 digits are broader category, and then all 8 digits including the last 4 is the specific item classification, which you have to mandatorily quote while issuing invoices, and whatever rates will be specified against the tariff item/HSN will be the GST rate for the product.

E.g.: Lets take a Chetan Bhagat Books, it being a book it falls under Chapter 49, and then heading 4901, and it specifically falls under HSN – 49011010. Now whatever rate will be listed against this HSN will be the GST rate for this item, 0% in this case.

Chapter Number: 49
Heading : 4901
HSN/Tariff Item: 49011010

Since HSN is now a mandatory field for invoicing in case of both online and offline selling, there’s no escaping from it, we better get used to it.

Find out HSN of your product here Or here 

We already know that the GST slabs are pegged at 5%, 12%, 18% & 28%. According to the latest news from the GST council, the tax structure for common-use goods are as under:

GST Rates Structure

Tax Rates Products
0% Milk Kajal
Eggs Educations Services
Curd Health Services
Lassi Children’s Drawing & Colouring Books
Unpacked Foodgrains Unbranded Atta
Unpacked Paneer Unbranded Maida
Gur Besan
Unbranded Natural Honey Prasad
Fresh Vegetables Palmyra Jaggery
Salt Phool Bhari Jhadoo
5% Sugar Packed Paneer
Tea Coal
Edible Oils Raisin
Domestic LPG Roasted Coffee Beans
PDS Kerosene Skimmed Milk Powder
Cashew Nuts Footwear (< Rs.500)
Milk Food for Babies Apparels (< Rs.1000)
Fabric Coir Mats, Matting & Floor Covering
Spices Agarbatti
Coal Mishti/Mithai (Indian Sweets)
Life-saving drugs Coffee (except instant)
12% Butter Computers
Ghee Processed food
Almonds Mobiles
Fruit Juice Preparations of Vegetables, Fruits, Nuts or other parts of Plants including Pickle Murabba, Chutney, Jam, Jelly
Packed Coconut Water Umbrella
18% Hair Oil Capital goods
Toothpaste Industrial Intermediaries
Soap Ice-cream
Pasta Toiletries
Corn Flakes Computers
Soups Printers
28% Small cars (+1% or 3% cess) High-end motorcycles (+15% cess)
Consumer durables such as AC and fridge Beedis are NOT included here
Luxury & sin items like BMWs, cigarettes and aerated drinks (+15% cess)

4 Responses

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