Answer

1. F

   Facts

   Under Notification 78/2020-CT, businesses with aggregate turnover up to ₹5 crore must show at least 4-digit HSN codes on B2B invoices, and those above ₹5 crore must show 6 digits. GSTR-1 Table 12 needs the HSN summary of all outward supplies.

2. P

   Provisions and law

   • Notification 78/2020-CTHSN digits on invoices: 4 digits up to ₹5 crore turnover, 6 digits above
   • Rule 46, CGST Rules 2017Contents of a tax invoice, including a unique serial number up to 16 characters per financial year
   • Sec 37, CGST Act 2017Details of outward supplies to be furnished in GSTR-1
3. A

   Analysis

   A trader with turnover of ₹8 crore must use 6-digit HSN codes. The portal now validates HSN codes in Table 12 and has split the table into B2B and B2C sections in phases, so wrong or missing codes can stop filing. Check that the HSN totals match your invoice totals, because differences are a common scrutiny point.

4. C

   Conclusion

   1. 1Check your turnover band to decide 4 or 6 digits
   2. 2Map every item in your billing software to the correct HSN or SAC
   3. 3Fill Table 12 with value, quantity and tax by HSN
   4. 4Match Table 12 totals with the invoice tables before filing

Portal changes to Table 12 come in phases; check GSTN advisories before the filing month.

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.