It is now mandatory for taxpayers to report a minimum of six-digit valid HSN code for their outward supplies having AATO of more than 5 crores in any previous financial year. (As per notification no. 78/2020 – Central Tax dated 15th October 2020)
This requirement has already been implemented in the GST system, and are now in the process of implementing the same at IRPs portal in collaboration with our IRP partners including NIC.
It is further suggested that in case wherever valid six-digit HSN code is not available, a corresponding valid eight-digit HSN code be reported instead of artificially creating six-digit HSN code.
This requirement may require changes to systems as well. As per advisory issued by GSTIN portal they are intended to provide sufficient time for taxpayers and IRP partners to make the necessary changes to comply with this requirement.
Exact date of implementation will be communicated shortly.
Disclaimer: This Article is only a knowledge sharing initiative and is based on the Relevant Provisions as applicable and as per the information existing at the time of the preparation. In no event RMPS & Co. or the Author or any other persons be liable for any direct and indirect result from this Article or any inadvertent omission of the provisions, update etc if any.
