Which HSN or SAC code should you choose when registering GST for e-commerce?

Is there an HSN code for e-commerce?

No. HSN codes classify goods, not the way you sell them. A T-shirt has the same code whether you sell it in a shop, on Amazon or on your own website. "Online retail" or "e-commerce" is not a product, so there is no HSN code for it.

Founders often search for an "e-commerce HSN code" during registration and pick something vague. Don't. The code you choose should point to the chapter and heading of the Customs Tariff that covers your actual product. If you sell candles, pick the code for candles. If you sell candles and soap, pick both.

The same logic applies if you run several product lines under one GSTIN. Our guide on using one GST number for multiple businesses or brands explains how to list them.

What does the GST registration form ask for?

The "Goods and Services" tab of the registration application asks for the main goods you supply and, separately, the main services. The portal lets you add your top five goods and your top five services. You can type a product name or a code and pick from the drop-down list.

A few practical points:

• List the products that make up most of your sales, not every SKU you might stock one day.
• If you sell only goods, you do not need to add a SAC code.
• If you sell only exempt goods, check first whether you need GST at all. See GST-exempt products on Amazon.

Under CBIC Instruction 03/2025-GST, central GST officers should not ask presumptive questions unrelated to your documents, such as whether an HSN code is banned for sale in the state. Answer any genuine query clearly, but you should not be pushed to change a correct code.

How do you find the right HSN code for your product?

Start with what the product is made of and what it does. Then check these, in order:

1. GST portal search. On gst.gov.in, go to Services › User Services › Search HSN Code. You can search by name or code before logging in, and download the HSN directory in Excel.
2. Customs Tariff. HSN codes follow the First Schedule to the Customs Tariff Act. The chapter notes and heading text decide where a product belongs.
3. GST rate notifications. The rate schedules list goods by chapter, heading or tariff item. Check your code against the current schedule, not an old rate chart.
4. Your supplier's invoice. Useful as a hint, but if you change, combine or rebrand the product, your code may differ.

Rates were rationalised from 22 September 2025, with most goods moved to the 5% or 18% slab and 40% for a short list. Any rate list printed before that date may be wrong for your product.

How many HSN digits do you need: 4, 6 or 8?

It depends on the document and on your aggregate turnover in the previous financial year. Notification 78/2020-Central Tax sets the digits for tax invoices from 1 April 2021.

Since the February 2025 return period, GSTR-1 Table 12 accepts HSN codes only from a drop-down, split into B2B and B2C tabs. A new seller is almost always in the "up to ₹5 crore" column. Using a longer, more precise code is allowed and often helps you get the rate right.

Where does your HSN code show up after registration?

The codes on your registration certificate are only a summary. The code that matters is the one on each sale. It shows up in:

• Every tax invoice you issue, including invoices a marketplace generates in your name.
• The HSN summary in Table 12 of GSTR-1.
• E-way bills when you move goods above the threshold.
• Your product listings. Seller Central asks for an HSN code, and the tax it charges comes from the Product Tax Code you set. The default code, A_GEN_STANDARD, applies 18%.

Amazon does not choose the code for you. Our guide on whether Amazon handles your GST explains what stays with the seller.

Can you add or change HSN codes after registration?

Yes. Goods and services are a non-core field of your registration. You change them on the GST portal through Services › Registration › Amendment of Registration Non-Core Fields, then sign and submit.

The GST portal's user guide says non-core amendments do not need approval from a tax official. They are approved automatically once filed. No officer visit, no new documents for this change.

Report a change in your business details within 15 days of the change. If you start selling a new product line that will be a large share of sales, add it then. Not every new SKU needs an amendment. Your invoices and returns must always carry the right code for each sale.

Address changes are different. A new principal place of business is a core field and needs officer approval. If that is your situation, see what to use when your landlord won't give a NOC.

What happens if you choose the wrong HSN code?

The code on your registration form rarely causes trouble by itself. The real risk is charging the wrong rate on your invoices because the code is wrong.

• If you charge less tax than the correct rate, you pay the shortfall yourself, with interest, and possibly a penalty after a notice.
• If you charge more, your B2B customers may dispute the invoice, and getting the excess back is slow.
• If your marketplace tax code and invoice HSN point to different rates, your GSTR-1 will not match the marketplace's TCS data.

If you find an error, correct the code on future invoices, fix your listings, and work out whether past sales were under-taxed. Pay any shortfall with interest through GSTR-3B before a notice arrives.

Which SAC code applies if you also sell services?

Services use SAC codes, which are 6 digits and start with 99. Add a SAC code only if you actually supply a service to customers, such as installation, repairs, design or consulting.

Fees you pay to a marketplace, courier or ad platform are their services, not yours. They carry their own SAC on their invoices to you, and you claim input tax credit on them. You do not add those codes to your registration.

What we'd check in your case

• The products behind most of your sales and the HSN code for each.
• Whether each code matches the current rate schedule from 22 September 2025.
• That your marketplace tax codes and invoice HSN codes give the same rate.
• Whether you need any SAC code at all.
• Your last GSTR-1 Table 12 against your sales report.

Send us your product list on WhatsApp and we will tell you which codes to use before you apply. If you still need a GSTIN, see our GST registration service.

Related questions

See our service: GST registration for online sellers →

Sources

• Notification 78/2020-Central Tax: HSN digits on invoices
• GST portal user guide: Search HSN code
• GST portal user guide: Amendment of non-core fields
• CBIC Instruction 03/2025-GST on processing registration applications
• TaxGuru: Phase-III changes to Table 12 of GSTR-1

General information based on rules as of November 2026, not legal or tax advice for your specific case. Rules change; we confirm what applies to you before any filing.