Advisory on HSN and GSTR-1 Filing

Last updated: 02 September 2021

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Taxpayers are reminded that as of 1st April 2021, they must declare the HSN Code of Goods and Services on tax invoices. The required number of digits for the HSN code in GSTR-1 filing depends on the aggregate turnover in the preceding financial year: 4 digits for up to Rs. 5 crores, and 6 digits for above Rs. 5 crores. GSTN has issued an advisory to address issues faced by some taxpayers, including HSN codes not appearing in the GSTR-1 dropdown and errors encountered when using the offline tool.

1.In accordance with Notification No. 78/2020 - Central Tax, dated October 15, 2020, taxpayers need to declare Harmonised System of Nomenclature (HSN) Code of Goods and Services supplied by them on raising of tax invoices, with effect from 1st April, 2021 on the below mentioned lines.

HSN and GSTR-1 Filing Advisory for Taxpayers

S.No	Aggregate Turnover in the preceding Financial Year	Number of Digits of HSN Code to be reported in GSTR-1
1	Upto Rs. 5 crores	4
2	Above Rs. 5 crores	6

2. It has been reported by few taxpayers that HSN used by them for reporting in GSTR-1 is not available in the table 12 HSN drop-down. They have further stated that they are facing issues in adding the required HSN details in table -12 and filing of statement of outward supplies in form GSTR-1 of July 2021. Further, in some JSON files, the HSN field is coming as blank from the offline tool, along with other errors as mentioned below:-

Processed with Error, In Progress or Received but pending
Duplicate Invoice Number found in payload please correct

3. To view the detailed advisory on the action to be taken by the taxpayers to resolve above issues, click on: https://tutorial.gst.gov.in/downloads/news/advisoryonhsnandgstr1.pdf

Thanking you ,
Team GSTN

FAQ :

The requirement to declare HSN codes on tax invoices came into effect from 1st April 2021.

Taxpayers with an aggregate turnover of up to Rs. 5 crores in the preceding financial year need to report 4 digits of the HSN code. Those with an aggregate turnover above Rs. 5 crores must report 6 digits.

Some taxpayers have reported that their HSN codes are not available in the GSTR-1 dropdown (Table 12) and are facing difficulties adding them. They've also encountered errors when using the offline tool, such as blank HSN fields and duplicate invoice numbers.

Taxpayers can view detailed advisory on resolving these issues by clicking on the provided link: https://tutorial.gst.gov.in/downloads/news/advisoryonhsnandgstr1.pdf

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