{"id":14654,"date":"2021-04-03T00:00:00","date_gmt":"2021-04-03T00:00:00","guid":{"rendered":"https:\/\/www.nextias.com\/current_affairs\/uncategorized\/03-04-2021\/harmonized-system-of-nomenclature-code\/"},"modified":"2021-04-03T00:00:00","modified_gmt":"2021-04-03T00:00:00","slug":"harmonized-system-of-nomenclature-code","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/03-04-2021\/harmonized-system-of-nomenclature-code","title":{"rendered":"Harmonized System of Nomenclature Code"},"content":{"rendered":"<p><strong>In News<\/strong><\/p>\n<p>GST taxpayers will have to furnish <strong>HSN (Harmonised System of Nomenclature Code)<\/strong> in their invoices with effect from the 1st April, 2021.<\/p>\n<ul>\n<li>It is applicable to those businesses whose turnover is more than Rs 5 crore.<\/li>\n<\/ul>\n<p><strong>About<\/strong><\/p>\n<ul>\n<li>In trade parlance, every product is categorised under an <strong>HSN code (Harmonised System of Nomenclature). <\/strong><\/li>\n<li>The common HSN codes apply to Customs and GST, importers and exporters have been furnishing these codes in import\/export documents.<\/li>\n<\/ul>\n<p><strong>Harmonized System of Nomenclature Code (HSN)<\/strong><\/p>\n<ul>\n<li>It is a six-digit identification code. Of the six digits, the first two denote the HS Chapter, the next two give the HS heading, and the last two give the HS subheading.<\/li>\n<li>It helps in systematic classification of goods across the globe.<\/li>\n<li>It was developed by the <strong>World Customs Organization (WCO) <\/strong>and it came into effect from 1988.\n<ul>\n<li>India has been a member of the <strong>WCO (World Customs Organization) since 1971<\/strong>.<\/li>\n<\/ul>\n<\/li>\n<li>Also called the <strong>\u201cuniversal economic language\u201d <\/strong>for goods.<\/li>\n<\/ul>\n<p><img decoding=\"async\" src=\"https:\/\/cfstatic.nextias.com\/cdn-cgi\/image\/format=auto\/file_library\/mix_content\/436061320366854300_image.png\" style=\"height:233px; margin-left:150px; margin-right:150px; width:419px\" \/><\/p>\n<p><strong>\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0<\/strong>Image Courtesy: <a href=\"https:\/\/www.tradefinanceglobal.com\/freight-forwarding\/what-is-an-hsn-code\/\" target=\"_blank\" rel=\"noopener\">Tradeglobal<\/a><\/p>\n<p><strong>Importance of the HSN Code<\/strong><\/p>\n<ul>\n<li>It helps in <strong>systematic classification of goods<\/strong>, it can also be used to gather data and solve problems that would otherwise be difficult to obtain.<\/li>\n<li>Over 200 countries use the system as a basis for their customs tariffs, gathering international trade statistics, making trade policies, and for monitoring goods.<\/li>\n<li>HSN numbers exist for <strong>each commodity in every country<\/strong>, and the number remains the same for almost all goods.\n<ul>\n<li>The system helps in <strong>harmonising customs and trade procedures<\/strong>, thus reducing costs in international trade.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p>Source: <a href=\"https:\/\/www.livemint.com\/news\/india\/6digit-hsn-code-mandatory-in-invoices-for-biz-with-over-rs-5-crore-turnover-11617260839364.html\" target=\"_blank\" rel=\"noopener\">LM<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>In News GST taxpayers will have to furnish HSN (Harmonised System of Nomenclature Code) in their invoices with effect from the 1st April, 2021. It is applicable to those businesses whose turnover is more than Rs 5 crore. About In trade parlance, every product is categorised under an HSN code (Harmonised System of Nomenclature). The [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":14655,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[46],"class_list":["post-14654","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-current-affairs","tag-indian-economy-related-issues"],"acf":[],"jetpack_featured_media_url":"https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2023\/07\/6462708current-affairs.jpg","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/14654","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=14654"}],"version-history":[{"count":0,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/14654\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media\/14655"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=14654"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=14654"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=14654"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}