Notification No.: 78/2020 – Central Tax
Date of Notification: 15th October 2020
Relevant Sections and Rules:
- CGST Rules, 2017:
- Rule 46 (Proviso) – Contents of tax invoice
- Amends:
- Notification No. 12/2017 – Central Tax, dated 28th June 2017
Summary of Notification
HSN Code Digits Requirement Revised w.e.f. 1st April 2021:
The Central Government, on Council recommendations, substitutes the earlier HSN Code disclosure requirement under Rule 46 with the following updated table, effective from 1st April 2021:
| Aggregate Turnover in the Preceding FY | No. of Digits of HSN Code to be Mentioned |
| Up to ₹5 crores | 4 digits |
| More than ₹5 crores | 6 digits |
🧾 Relaxation for B2C Supplies:
Registered persons with turnover up to ₹5 crores need not mention HSN Code on invoices issued to unregistered persons.
This amendment enhances classification accuracy for larger taxpayers while reducing compliance burden for smaller businesses dealing with B2C customers.
