What Is an HSN Code and How to Find the Right One

HSN and SAC codes explained: structure, digits required on invoices and a practical method to classify your product.

What Is an HSN Code and How to Find the Right One

HSN is an internationally standardised system for classifying goods; SAC is India's equivalent for services. The code decides the GST rate and must appear on invoices and returns.

Structure of an HSN code

The first 2 digits are the chapter, 4 digits the heading, 6 digits the subheading and 8 digits the Indian tariff item. Example: 8517 covers telephones including smartphones.

How to classify your product

  1. Search the product in our HSN/SAC finder.
  2. Read the chapter notes and heading description in the tariff.
  3. Choose the most specific entry.
  4. Check the GST rate schedule for that code.

Digits to show on invoices

The number of digits depends on annual turnover; confirm the latest requirement on the GST portal.

Wrong classification can lead to wrong rates, ITC disputes and notices. If you are unsure, ask for a professional opinion.

Need expert help with this?

Talk to the GstMan team. We will guide you step by step.

General information only; not professional advice. Rates, limits and due dates change. Verify with official sources or consult a professional. Reviewed October 2026. See our editorial policy.

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