How to Find HSN Code of Your Product

Ankit, a newcomer to the world of business from Mumbai, set up his online shop for green kitchen items. He thought he had a whole strategy ready: getting items, packing, and starting his site. But when he had to deal with GST, his CA asked, "Do you know the ocean freight HSN code for what you sell?"   Ankit did not know. Like lots of new shop owners, he had never heard of an HSN code or how to find it.   If you are like Ankit, no need to stress. This post will help you get what an HSN code is, why it's key, and, big thing — how to find the right one for what you sell.

What is HSN Code?

HSN means the Harmonized System of Nomenclature. Made by the World Customs Group (WCG), they agreed to use HSN as a way to name items by a set code all over the world.   Each HSN code has 6 to 8 numbers that put things in set groups. These codes are used everywhere to help trade between lands go easy. In India, they also help find out GST (tax on goods and services) rates.   For example:

• HSN code 3304 is for "make-up or beauty-related things."
• HSN code 8421 is for "machines that spin, filter, or clean."

Why is HSN important?

Think of HSN codes as the same words for things around the world.   If you are making soaps in Chennai or bringing in tech goods to Delhi, HSN codes make sure that everyone—from folks at customs to GST folks—knows what you have, without a need to check for it.   Here is why HSN codes are key:

• GST Math: GST costs link right to the HSN code.
• Rules Must: You must put the right HSN code on bills.
• Ease of trade: Helps customs and moving pros name goods for coming in or going out.
• Stay out of trouble: Bad HSN codes can bring fines, lost tax help, and checks.

How does HSN Code work?

HSN codes are structured logically. Each digit or set of digits tells a part of the product’s story:   Structure of HSN Code: First 2 digits: Product chapter (e.g., Chapter 62 = clothing)   Next 2 digits: Product heading   Next 2 digits: Sub-heading   Optional 2 digits: Further classification (used in India)   E.g., HSN code 6406.10.00 is broken down like this:   64 – Footwear 06 – Parts of footwear 10 – Uppers and parts thereof 00 – Indian classification

HSN code of Ocean Freight and Air Freight

Air and ocean freight have their own codes:   

• Ocean freight HSN code: 996521
• Air freight HSN code: 996522

  This way, they make sure that the ship helps get the right tax under GST rules.

Importance of HSN code in India

India took up the HSN method to make GST easy and the same for all. If you make, sell in bulk, or sell to all, you must use the right HSN code. It's a must for all who are signed up for GST.   Air and Ocean Freight GST HSN Code:

• GST costs lean on HSN: The same thing in varied looks might pull in different GST costs by its type.
• Tax Credit You Get Back (ITC): You only get it if you use the right HSN code.
• Bill is Okay: If you miss or mess up HSN codes, your bill may not be good.
• Ease with Export/Import: The right HSN codes make moving through customs easier.

Find the HSN Product Code — Step-by-Step

You do not need to know a lot about tax to find your HSN code. Here is an easy way, step by step:

Step 1: Know Your Product

Get all the details that you can about your product. What is it made from? What do we use it for? Who uses it?

Step 2: Go to Government Sites

Go to the official GST site of India or the CBIC (Central Board of Indirect Taxes and Customs) website.

Step 3: Use the Search Tool

On these sites, use the HSN/SAC search tool. Put in words linked to your product (for example, "wooden furniture" or "hand sanitizer"). You will see a list of codes that match.

Step 4: Check with GST Rate Schedules

See if the HSN code fits the right GST rate from the official lists. GST rates go from 0% to 28%, based on what the product is.

Step 5: Ask a Tax Expert (Optional but Good)

If your product is complex or fits more than one type, talk to a CA or GST expert. It is good to spend a few minutes checking now to avoid problems later.

Is HSN Code Necessary?

Yes, it's a must if you run a GST-listed company in India. Here's some quick info on the ocean freight HSN code requirement:  

Business Turnover	HSN Code Requirement
Up to ₹5 crore	4-digit HSN
Above ₹5 crore	6-digit HSN

  For firms that buy or sell from/to other lands, HSN codes are key even under ₹5 crore.    Not using HSN codes can lead to: 

• Bills tossed out 
• No GST credit 
• Law papers from tax folks 
• Hold-ups at the border checks

Conclusion

Whether you run a small online shop, provide moving help, or sell goods abroad, the ocean freight HSN code can be your quiet helper.   They give orders, a clear direction, and follow the rules of what you sell. Just like Ankit, when you get the code right, your work runs better, more openly, and is ready for GST.   So, when you're set to make a bill or put in your GST report next time, ask "Do I have the right HSN code?"

Frequently Asked Questions

Q1. How do I find my 6 digit HSN code?

You can get your 6-digit HSN code by knowing your product type and looking it up on the CBIC tariff site or the GST site. Use words tied to your product and link them to the right group.

Q2. How do I search HSN code in GST portal?

Go to www.gst.gov.in, go down to "Search HSN Code" under the “Services” tab. Put in your product name or keyword to see the matching HSN codes and the GST rates that go with them.

Q3. How is the HSN code determined?

HSN codes are set by the type of the product, what it's made of, how it's used, and its group in the industry. They start with a broad group (2 digits) and get more exact with each extra digit.

Q4. How to generate HSN code?

You don't make an HSN code by hand. It is a set group made by the World Customs Group and used by Indian tax officials. You just find and use the right one for your product kind.

Q5. How to check HSN code?

You can look at the HS code (global kind of HSN) on the WCO’s Harmonized System or India’s customs list on cbic.gov.in by looking with your product name or by checking the product chapters.

Q6. How do I find my HSN account?

There is no "HSN account." Your HSN code is tied to your GSTIN (GST sign-up). You can find the right HSN codes in your GST profile or when you make bills in your GST billing tool or site.