A quick explainer for shop owners new to GST invoicing.
HSN stands for Harmonized System of Nomenclature — an internationally standardized numeric system for classifying traded goods, developed by the World Customs Organization and used by customs and tax authorities in over 200 countries. Every physical product fits into an HSN category, from raw materials to finished electronics.
Under India's GST system, the HSN code assigned to a product is what determines (alongside any specific notifications) its applicable GST rate, and it's required on GST invoices for most registered businesses. Services use a related SAC (Services Accounting Code) instead.
The number of HSN digits your invoices need to show depends on your business's turnover and registration type under current GST rules — smaller businesses generally need fewer digits than larger ones.
The official source for looking up HSN codes and confirming current rates is the GST portal's own search tool. If you're unsure which code applies to a specific product, it's worth confirming with a GST practitioner, especially for products near a category boundary.
HisaabBox lets you record an HSN code once per product, then reuses it automatically on every invoice that product appears on — so you enter it once, not on every sale.
This page is general information, not tax advice. Confirm HSN classification and current GST rates for your specific products with a qualified GST practitioner or the official GST portal.