HSN and SAC Codes are used to classify goods and services under GST. HSN i.e. Harmonized System of Nomenclature Code used to classify different goods under GST. Where as, SAC i.e. Service Accounting Code used to classify different services under GST. GST Rates & HSN Code for Water-Mineral & Aerated are mentioned in chapter 22.
GST Rates & HSN Code for Water-Mineral & Aerated can be summarized in following table:
|
HSN Code |
Description |
Rate (%) |
Effective From |
CESS (%) |
Related Export / Import HSN Code |
|
2201 |
Water [other than aerated, mineral, purified, distilled, medicinal, ionic, battery, de-mineralized and water sold in sealed container] |
NIL |
28/06/2017 |
22011010, 22011020, 22019090 |
|
|
2201 |
Non-alcoholic Toddy, Neera including date and palm neera |
NIL |
28/06/2017 |
22011010, 22011020, 22019090 |
|
|
2201 |
Waters, including natural or artificial mineral waters and aerated waters, not containing added sugar or other sweetening matter nor flavored |
18 |
28/06/2017 |
22011010, 22011020, 22019090 |
|
|
2207 |
Ethyl alcohol and other spirits, denatured, of any strength [other than ethyl alcohol supplied to Oil Marketing Companies for blending with motor spirit (petrol) inserted on 27/07/2018] |
18 |
28/06/2017 |
22071011, 22071019, 22071090, 22072000 |
|
|
2207 |
Ethyl alcohol supplied to Oil Marketing Companies for blending with motor spirit (petrol) |
5 |
27/07/2018 |
||
|
2209 |
Vinegar and substitutes for vinegar obtained from acetic acid |
18 |
28/06/2017 |
22090010, 22090020, 22090090 |
|
|
22029090 |
Tender coconut water other than put up in unit container and bearing a registered brand name |
NIL |
28/06/2017 |
||
|
22029090 |
Tender coconut water put up in unit container and bearing a registered brand name, or bearing a brand name on which an actionable claim or enforceable right in a court of law is available [other than those where any such actionable claim or enforceable right in respect of such brand name has been voluntarily foregone, subject to the conditions as specified in the ANNEXURE] |
5 |
10/11/2017 |
||
|
22029090 |
Other non-alcoholic beverages |
18 |
10/11/2017 |
||
|
22029030 |
Beverages containing milk |
12 |
28/06/2017 |
||
|
22029020 |
Fruit pulp or fruit juice based drinks |
12 |
28/06/2017 |
||
|
22029010 |
Soya milk drinks |
12 |
28/06/2017 |
||
|
22029100 |
Other non-alcoholic beverages [other than tender coconut water] |
18 |
14/11/2017 |
||
|
22029990 |
Other non-alcoholic beverages [other than tender coconut water] |
18 |
14/11/2017 |
||
|
22021090 |
Others |
28 |
28/06/2017 |
12 |
|
|
22021020 |
Lemonade |
28 |
28/06/2017 |
12 |
|
|
22021010 |
Aerated Waters |
28 |
28/06/2017 |
12 |
|
|
22019010 |
Ice and snow |
5 |
28/06/2017 |
||
|
220210 |
All goods [including aerated waters], containing added sugar or other sweetening matter or flavored |
28 |
28/06/2017 |
Disclaimer
Rates given above for chocolate and other Cocoa items are mentioned according to 31st GST board meeting held on 22nd December 2018. There might be variations because of Government’s most recent updates. Against each rate, you must check the “Effective from” date mentioned herein. On the off chance that you have to check a rates earlier than “effective from”, you can keep an eye on government site.
FAQs
HSN codes are unique for each product. Under HSN, all the goods and services are divided into 21 sections, 99 chapters. Under 99 chapters there are 1244 headings and 5244 subheadings. Each item which is used for trade or commercial use, it is identified with 8 digit code using the HSN code rules.
HSN Code must be used by all dealers except in the following cases:
> Dealers who have an Annual Turnover of less than Rs.1.5 Cr
> Dealers who have registered to pay tax under the Composition Scheme
Taxpayers having turnover exceeds Rs. 1.5 crore but up to 5.00 crore will be required to mention only two digits of HSN code. Taxpayers having turnover exceeds Rs 5.00 crore will be required to mention four digits of HSN code.
Hey @HarishMehta
From 1st April 2021, Taxpayers with an aggregate Annual Turnover of more than INR 5 Crore during the financial Year 2020-2021 have to mandatorily mention 6 digits of the HSN Code in all tax invoices.
Businesses with a turnover of up to INR 5 crore in the preceding financial year will be required to mandatorily furnish 4 digit HSN code on B2B invoices.
Hope this helps!
Hey @Dia_malhotra
Let’s take an example of Cocoa powder to calculate the GST using the HSN code.
Cocoa Powder per Kg = INR1,000.
HSN Code = 18 05 00 00
GST Rate = 18% (For Cocoa powder, not containing added sugar or sweetening matter)
Therefore, GST = INR180
Hope this helps!
Hey,
What are the consequences of not mentioning or incorrectly mentioning the HSN Code?
Hey @SonalYadav
It is very crucial to mention the correct HSN/ SAC Code on the tax invoices and Form GSTR-1, barring to do so may attract a penalty of INR 50,000 (INR 25,000 each for CGST and SGST) for non-mentioning or incorrect mention of wrong HSN/ SAC Code under Section 125 of the CGST Act.
Hope this helps!
Hey @Prasana_Srinivasan, this tool can help