Notification No.: 12/2017 – Central Tax
Date of Notification: 28th June 2017
Relevant Sections and Rules:
- Central GST Rules, 2017: Rule 46 (first proviso)
- Central GST Act, 2017: Related indirectly through Rule 46 governed by Section 31
- Integrated GST Act: Not applicable
Summary of Notification
Requirement of HSN Code Disclosure in Tax Invoices:
The Central Government, on recommendations of the GST Council and in exercise of powers under the first proviso to Rule 46 of the CGST Rules, 2017, notified the mandatory number of digits of Harmonised System of Nomenclature (HSN) codes that registered persons must mention on their tax invoices, based on their annual turnover in the preceding financial year:
| Annual Turnover (Preceding FY) | Number of Digits of HSN Code Required |
| Up to ₹1.5 crore | Nil (No HSN required) |
| > ₹1.5 crore to ₹5 crore | 2 digits |
| Above ₹5 crore | 4 digits |
This ensures classification transparency and ease in tax administration for different scales of businesses.
Effective Date:
This requirement is applicable from 1st July 2017.
