HSN Full Form In GST, What Does HSN Stand For?
What Is The Full Form Of HSN In GST?
HSN full form in GST is Harmonized System of Nomenclature, which is just a fancy way of saying it’s a standardized system for naming and coding goods in international trade. Essentially, it’s a way for countries to identify and classify different types of goods for the purpose of calculating customs duties and taxes. In the context of India’s goods and services tax (GST), HSN codes are used to classify goods for the purpose of calculating GST tax. India’s GST system involves taxing goods and services at different stages of production and distribution, and HSN codes help determine the applicable GST rate for a particular good or service.
What Else Should You Know About HSN?
HSN codes are organized into 21 sections, which are further divided into 99 chapters. Each chapter has a list of goods and their corresponding HSN codes. These codes are used to classify a wide range of goods, including agricultural products, textiles, minerals, chemical products, and machinery. Each HSN code consists of a series of digits, with the first two digits representing the section, the next two digits representing the chapter, and the remaining digits representing the specific goods within the chapter. For example, an HSN code of 8418 might represent refrigerators, while an HSN code of 6109 might represent t-shirts.