HSN code reporting in invoices and GSTR-1 Table 12

Businesses with aggregate turnover up to ₹5 crore report 4-digit HSN (mandatory on B2B), and those above ₹5 crore report 6-digit HSN. The GSTR-1 HSN summary follows the same rule.

• As per Notification 78/2020-Central Tax (from 1 April 2021):
  • Aggregate turnover up to ₹5 crore in the preceding year: 4-digit HSN/SAC mandatory on B2B tax invoices (optional for B2C).
  • Above ₹5 crore: 6-digit HSN/SAC on all tax invoices.
• GSTR-1 Table 12 (HSN summary) has been split into B2B and B2C sections on the portal, with HSN selection from a dropdown, as per GSTN advisories.

Tally tip

Set HSN/SAC and rate at the stock item or stock group level (or on the ledger for services), so the HSN summary builds itself. Avoid typing HSN at voucher level.