LATEST
< >
Revise or Resolve Defective ITR
or even efile your Update ITR by yourself 👍

Home > GST > Help Center > GST Rate, HSN Code, SAC Code FinderLast Updated: Oct 25th 2024

GST Rate, HSN/SAC Code Finder

A smart way to search a product / service to find the relevant 1. GST Rate, 2. HSN Code for Goods or SAC Code for Services. Just type a keyword or HSN / SAC Code

  {{catId}}
  #  

No data found for "{{authSearch}}"Type a keyword to search HSN / SAC Code database.

HSNDescriptionIGSTCGSTSGSTCondition
{{hsCode.id}}{{hsCode.display}}{{hsCode.IGST}}{{hsCode.CGST}}{{hsCode.SGST}}{{hsCode.Condition}}
  •  Page {{curPage + 1}} of {{authTotal}} 

What is HSN?

HSN is a short form for "Harmonised System of Nomenclature". A coding system created by the World Customs Organisation (WCO) to standardize the classification of goods worldwide. HSN has a 2, 4, 6 digit universal coding system covering 5000+ goods, widely used in the export and import business around the world.

HSN Code is nothing but a 2, 4, 6, 8 digit code from HSN system related to a product.

HSN / SAC Requirement for Indian Businesses

Key Components of GSTR 4 Return

  1. HSN Classification
  2. How different are the Indian HSN codes from the worldwide HSN codes ?
  3. HSN Codes in GST
  4. What is SAC?
  5. How to find GST rates with HSN or SAC codes?
  6. What are Goods GST slab rates in India?
  7. What are Services GST slab rates in India?
  8. What are the consequences in using a wrong HSN / SAC code?

1. HSN Classification

HSN codes are broadly classified into 21 sections underwhich close to 5000 codes were defined to identify a type of product to trade. Below are the Section Number and the Description.

SectionDescription
1Live animals; Animal products
2Vegetable products
3Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes
4Prepared foodstuffs; beverages, spirits and vinegar; tobacco and manufactured tobacco substitutes
5Mineral products
6Products of the chemical or allied industries
7Plastics and articles thereof; rubber and articles thereof
8Raw hides and skins, leather, furskins and articles thereof; saddlery and harness; travel goods, handbags and similar containers; articles of animal gut (other than silk-worm gut)
9Wood and articles of wood; wood charcoal; cork and articles of cork; manufactures of straw, of esparto or of other plaiting materials; basketware and wickerwork
10Pulp of wood or of other fibrous cellulosic material; recovered (waste and scrap) paper or paperboard; paper and paperboard and articles thereof
11Textiles and textile articles
12Footwear, headgear, umbrellas, sun umbrellas, walking-sticks, seat-sticks, whips, riding-crops and parts thereof; prepared feathers and articles made therewith; artificial flowers; articles of human hair
13Articles of stone, plaster, cement, asbestos, mica or similar materials; ceramic products; glass and glassware
14Natural or cultured pearls, precious or semi-precious stones, precious metals, metals clad with precious metal and articles thereof; imitation jewellery; coin
15Base metals and articles of base metal
16Machinery and mechanical appliances; electrical equipment; parts thereof; sound recorders and reproducers, television image and sound recorders and reproducers, and parts and accessories of such articles
17Vehicles, aircraft, vessels and associated transport equipment
18Optical, photographic, cinematographic, measuring, checking, precision, medical or surgical instruments and apparatus; clocks and watches; musical instruments; parts and accessories thereof
19Arms and ammunition; parts and accessories thereof
20Miscellaneous manufactured articles
21Works of art, collectors pieces and antiques

2. How different are the Indian HSN codes from the worldwide HSN codes ?

Broadly, HSN Codes defined by World Customs Organisation (WCO) are being followed around the world, including India. The only difference would be the last 2 digits in the 8-digit code (7th and 8th digits) are some what represents the localisation requirement for India. WCO revise the HSN codes every 5 years.


3. HSN Codes in GST

From 1st Apr 2021, Central Board of Indirect Taxes and Customs, Government of India (CBIC) notified most business to follow a minimum of 4 digit HSN Code while issuing a Tax Invoice via Notification No. 78/2020 – Central Tax, dated 15th October, 2020

TurnoverTax Invoice TypeMin. no. of HSN digitsMandatory?
Up to 5 Crores B2B4Yes
Up to 5 Crores B2C4Yes
above 5 Crores B2C, B2B6Yes

Note: The e-invoices of taxpayers with an AATO of Rs. 5 Crores are required to include a minimum of a six-digit HSN code as of December 15, 2023.

4. What is SAC?

SAC stands for "Services Accounting Code" used in GST to classify the services to measure the trade and to use in taxation, very similar to HSN codes. An example, SAC Code 9982 represents "Legal and accounting services"

SAC code is nothing but a 2, 4, 6, 8 digit code related to a service.


5. How to find GST rates with HSN or SAC codes?

Search above GST Rate Search using a keyword from your product description to find the HSN code and the related GST rates consists of three percentages, CGST, SGST, IGST.

If you are using EZTax.in Books GST Accounting software or portal, you can select the HSN / SAC code directly in the Product Master. Refer Help Center @ Product Master Help


6. What are Goods GST slab rates in India?

Central Board of Indirect Taxes and Customs (CBIC) has categorised all the products under seven (7) GST slab rates and they are Nil Rated, 0.25%, 3%, 5%, 12%, 18%, 28%.


7. What are Services GST slab rates in India?

Central Board of Indirect Taxes and Customs (CBIC) has categorised all the services under five (5) GST slab rates and they are Nil Rated, 5%, 12%, 18%, 28%.


8. What are the consequences in using a wrong HSN / SAC code?

Accurate identification of a HSN or SAC code is crucial in finding the correct GST rate for a product or service. Selling a product or a service with incorrect GST rate would attract scrutiny, penalty, and interest.

Let's consider, two products that has similarities (contains the word 'Milk') yet the tax treatment would differ.

HSN CodeDescriptionGST RateWhat's Common?
0403Curd, Lassi, Butter milk, pre-packaged and labelled5%'Milk'
0405Butter and other fats (i.e. ghee, butter oil, etc.) and oils derived from milk; dairy spreads12%'Milk'

How to get help from EZTax.in



Disclaimer: This article provides an overview and general guidance, not exhaustive for brevity. Please refer Income Tax Act, GST Act, Companies Act and other tax compliance acts, Rules, and Notifications for details.