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HSN vs SAC: what is the difference?
HSN codes for goods
Harmonised System of Nomenclature is a 4 to 8 digit classification for physical goods. Example: 8517 = mobile phones.
SAC codes for services
Services Accounting Code is a 6 digit code for services under GST. Example: 998313 = IT consulting services.
When to use HSN on invoices
HSN is mandatory for many businesses based on turnover and is recommended for accurate GST invoices.
CGST + SGST vs IGST
State-within sale: GST is split into CGST and SGST. State-to-state sale: full GST applies as IGST.