FinTax24

Decision Matrix

Which code applies to your business?

Indian tax and regulatory authorities require distinct code sets depending on what you sell and where you report it.

Comparison of tax and business classification codes in India
Code ClassificationWhat It ClassifiesMandated OnFormatAction
HSN CodeHarmonized SystemPhysical goods, manufactured items, retail commoditiesGST Tax Invoices & E-Way Bills6 to 8 digitsOpen HSN Finder →
SAC CodeServices AccountingServices, consulting, IT, legal, transport, rentalsGST Service Invoices & Rates6 digits (starts with 99)Open SAC Finder →
NIC CodeIndustrial ClassificationOverall business activity & industry sectorMSME / Udyam, IEC, GST Reg5 digits (NIC-2008)Open NIC Finder →
Income Tax BPBusiness & ProfessionNature of trade, vocation, or professional practiceITR-3 / ITR-4 Schedule BP5 digits (CBDT list)Open BP Finder →
Food CategoriesFSSAI FoSCoSFood product type, processing & ingredientsFSSAI FoSCoS License ApplicationCategory 01–18Open Food Finder →

Frequently Asked Questions

What is the difference between HSN and SAC codes?

HSN (Harmonized System of Nomenclature) classifies goods — physical products like textiles, electronics, food. SAC (Services Accounting Code) classifies services — professional fees, transport, software. Both are used on GST invoices; choose HSN for goods and SAC for services.

What is a BP code and where do I declare it?

BP codes (Business / Profession codes under CBDT) classify the nature of your business or profession in ITR-3 / ITR-4. Declare the matching 5-digit code in Schedule BP of your return — incorrect BP codes trigger notice under section 142(1).

What is an NIC code and when is it needed?

NIC (National Industrial Classification) codes classify business activities for government registrations like MSME/Udyam, new GST registration, and Import Export Code (IEC). While HSN/SAC are used on transaction invoices, NIC is used to register your enterprise.

How many digits should my HSN code have?

For turnover above ₹5 crore, use 6-digit HSN codes on every invoice. For turnover above ₹1 crore (up to ₹5 crore), 4-digit HSN codes are sufficient. Turnover ≤ ₹1 crore does not require HSN codes on B2C invoices.

Are these code finders free to use?

Yes — every FinTax24 code finder (HSN, SAC, NIC, BP, FSSAI) is free, with no login, no captcha, and no rate limit. Data is sourced from CBIC / CBDT / FSSAI master files.

Need help classifying a specific product or service?

Our tax experts review GST and statutory filings daily — message us on WhatsApp and we will identify the exact HSN, SAC, NIC or BP code for you.

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