HSN Code Finder

The full form of HSN stands for “Harmonized System of Nomenclature”. HS Code which is known as HSN Code in India was developed by World Customs Organization (WCO) as a standardised system that classifies goods all over the world in a systematic manner. In India, HSN Code has 4, 6 & 8-digit uniform codes that classify more than 5000 products and are accepted worldwide.

Being an internationally recognized standard, the first 6 digits of the HSN Code are the same for all the countries. But for further classification countries have added more digits to their respective HS Code systems. For example, In India, we have an 4, 6 & 8 digit classification whereas the US uses HTS Codes known as Harmonised Tariff Schedule, which has a 10 digit classification.

Since HSN Code is an internationally accepted standard for classifying products, that makes it a logical way of identifying goods for both domestic and foreign trade. It can be used to gather data and understand foreign and domestic trade happening internally as well as outside the country in a much more efficient manner. This will further help the government in deciding macroeconomic policies related to the trade of these commodities.

Any changes or formulation or addition of new codes in HSN Codes are carried out by DGFT (Directorate General of Foreign Trade). Changes in product descriptions, removing defunct codes, the addition of new codes etc., are done periodically as a part of the ongoing process towards perfecting HSN Codes.

Harmonized System of Nomenclature code (HSN Code) is used for classifying goods under GST. The codes have been issued by World’s Customs Organization (WCO). They are used for the classification of commodities under various sections, chapters, headings, and sub-headings that belong to alike nature. Services Accounting Code (SAC Code) is used for Classifying services under GST. The codes have been issued by the Central Board of Excise and Customs (CBEC). They are used for the classification of all the services as each service has been assigned a unique SAC. In both scenarios, it makes the GST return filing process much systematic & simpler.

ITC stands for Indian Trade Classification or Indian Tariff Code. ITC-HS was adopted in India for Import-Export operations. ITC HS Codes are divided into two parts or schedules, the first schedule has the 8 digit nomenclature and the second schedule includes the description of goods. The main difference between ITC-HS Code and HSN Code is that ITC has added further 2 digits in the 6 digit HSN structure to classify “Tariff Items”. This addition has been done within the regulations of the HS system setup by WCO without any changes in the existing structure.