Where do I get a HS code?

The HS code for your product will be listed on the commercial invoice a buyer receives with their order. It may be used to classify products upon export and to calculate applicable taxes and duties upon import.

What is a Tariff Code HS code?

Harmonized codes (or tariffs) are an international customs classification system now used by most trading nations throughout the world. HS Codes are commonly used throughout the export process for goods. The Harmonized System is a standardized numerical method of classifying traded products.

What are HS codes in shipping?

The Harmonized System is a standardized numerical method of classifying traded products. It is used by customs authorities around the world to identify products when assessing duties and taxes and for gathering statistics.

What is HS code in SAP?

The Harmonized Tariff Schedule (HTS) was developed by the World Customs Organization and comprises codes that are used to classify and define internationally traded goods.

Is HS code same for all countries?

In other words, first six digits of HS code (HTS code) are same in all countries. But countries can add additional digits to categorize and define commodities at more detailed level without modifying or changing first six digits.

What is HS code for international shipping?

What is an HS Code? The HS (Harmonized Commodity Description and Coding System) Code is a 6–10 digit number that is required for all international shipments. This number is used by customs to identify the products shipped across international borders.

How do you read HS codes?

The first two digits designate the HS Chapter. The second two digits designate the HS heading. The third two digits designate the HS subheading. HS code 1006.30, for example indicates Chapter 10 (Cereals), Heading 06 (Rice), and Subheading 30 (Semi-milled or wholly milled rice, whether or not polished or glazed).

What is a product HS code?

HS code is short for Harmonized Commodity Description and Coding System. It’s a list of numbers used by customs to classify a product.

Are HS codes different for each country?

There are six digits in an HS code. You use an HS code because it is a universal classification tool. Many governments add additional digits to the HS number to further distinguish products in certain categories. These additional digits are typically different in every country.

Is HS code 8 digit or 10 digit?

Similarly, in India, goods for export and import have an eight-digit code called an ITC (HS) code, where ITC stands for Indian Trade Classification and/or Indian Tariff Code.

Who is responsible for HS code?

The HS was developed and is maintained by the World Customs Organization (WCO), an independent intergovernmental organization with over 179 members and is based in Brussels, Belgium. The HS is the standard coding structure and related product descriptions used in international trade.

Is HS code same as tariff code?

The HTS code or HS code are part of a worldwide standardized system of classifying goods in international trade. They are also know as a Harmonized System Code or a Tariff Code.

How do I find my 8 digit HSN code?

In the 8 digit structure of an HSN Code, the first 2 digits define the Chapter, at 4 digit level are the headings, at 6 digit are the subheadings and finally at 8 digit are the tariff items.

Can I ship without HS code?

A 10 digit HS code is required at the time of release to allow Customs to make the appropriate admissibility, examination, and release decisions.

What happens if you use wrong HS code?

By incorrectly classifying goods for entry, an importer is committing a customs violation which can lead to shipment delays, fines, liquidation and other penalties. Additionally, you could end up paying more in customs duty than you otherwise would with the correct HTS code.

Is HS code required on commercial invoice?

If you know—or believe—an HS number is incorrect and proceed to use it anyway, you’re committing fraud. Ultimately, it is your responsibility to use the correct code no matter the circumstance. Not including an HS number on your export invoice allows you to avoid this conflict.

How do I find my HSN code online?

Use ClearTax HSN Calculator to find out the HSN code for your product. Our ClearTax GST Software has all the HSN codes inbuilt.

What is 4 digit and 6 digit HSN code?

Headings (4 digits HS), subheadings (6 digits HS), and tariff items are all categorised under HS codes in Customs Tariffs (8 digits). Furthermore, the GST portal includes an HSN search function. HSN Codes are extensively used by manufacturers and importers/exporters.

Who is responsible for correct HS code?

The HS is administered by the World Customs Organisation and is updated every 5 years. It serves as the foundation for the import and export classification systems used in every country.

Can you ship without HS code?

While it is not necessary to indicate your product’s HS code in any of the documents, it is always recommended to indicate it on your invoice to give a clear and accurate representation of the contents of your shipment, especially if the item you are shipping is very technical.

What happens if you use the wrong HS code?

Using the Correct HS Number

The exporter’s certificate of origin will be prepared incorrectly. The goods will be entered into another country under an incorrect classification number. Border customs may dispute the number. Import clearance delays may occur.

How do I find my 6 digit HSN code?

The first two digits (39) indicate the chapter under HSN codes. The next two digits (08) indicate the headings under chapters. The next 2 digits (90) indicate the sub-headings, 6 digits HSN code is accepted worldwide.

What is the HSN code for 12% GST?

HSN Code 0101 to 2202 for 12% GST Rate Items
[Substituted w.e.f. 01.01. 2022 vide Notification No. 18/2021-Integrated Tax (Rate), G.S.R. 893(E) dated 28.12.

How do I find my 4 digit HSN code?

Example: Where HSN 6 digits are specified to be reported in invoice, valid HSN codes as available in tariff, at both 6-digits and 8-digits can be mentioned.

Clarification on reporting 4-digit/6-digit HSNs.

S. No. Aggregate Turnover in the preceding Financial Year Number of Digits of HSN Code
1. Upto INR 5 crores 4

What happens if I use the wrong HS code?

Using the wrong HTS will result in an incorrect payment of duties whether too little or too much, this creates an issue for CBP in their revenue collection mission and may result in them issuing penalties for failure to provide correct and accurate information to CBP.