GST · Glossary
HSN (Harmonized System of Nomenclature)
6-8 digit code that classifies goods for GST reporting (the goods equivalent of SAC).
Updated 2026-10-08Source: Income-tax Act · CGST Act · CBDT/CBIC
What it means
HSN is an internationally standardised code (World Customs Organization taxonomy) used in India under the CGST Rules to classify goods for GST. India uses 6, 8, or rarely 4-digit HSN depending on the supplier's aggregate turnover and customer type. Most freelancers do not deal with HSN since they provide services (which use SAC), but freelance product sellers (e.g., illustrators selling prints, photographers selling stock photos) need HSN.
A worked example
A freelance illustrator selling Rs. 50,000 of art prints would classify them under an HSN code (e.g. 4911, printed pictures), not a SAC, and charge the rate set after the September 2025 GST rate rationalisation — check the current rate notification. Mixed engagements (digital design + print delivery) need both: SAC for the design service line, HSN for the print line.
If your invoice has both goods and services, list separate line items with their own HSN/SAC and rate — never collapse them under one heading even if the customer pays a single total.
Run it on your own numbersFree GST Invoice Generator — no signup.Look up the details
- GST rates & SAC codes — the rate and SAC for any service.
- All 28 terms — the full glossary, by category.
Income-tax entries cite the Income-tax Act 1961, which governs FY 2025–26 (the return filed in 2026); from tax year 2026–27 the Income-tax Act 2025 applies, with new section numbers shown where we give them. GST law is unchanged. General information, not tax advice; verify with your CA before you file.
Related terms
Compliance without the vocabulary
Learn it once, or never learn it.
HourSlip works out the GST on each invoice, logs every TDS deduction and estimates your advance-tax instalments — you check the numbers, and the glossary stays optional.
• No card required• Export your data as CSV