HSN Finder
Find the Right HSN Code and Its GST Rate
Every product needs an HSN code, and the GST directory is long. The HSN finder in the product editor searches it by the words you would use, and shows the rate that applies, with its source.
- In every plan
- Free for 14 days
Kosha is a demo store on Mercayo. Its products, orders and customers are sample data.
In short
What It Does
Find an HSN Code sits in two places: the GST card of the product editor, and the rate dialog of Settings → Taxes. It works the same in both:
- Type what the product is ("phone case", "kurta", "earrings") or part of a code, at least 2 characters. Searching understands trade words, synonyms and plurals, so "earrings" finds what "earring" would.
- Suggestions show the code, where it sits ("Under …", the chapter and heading above it), and the GST rate, in plain words:
| What the Finder Shows | What It Means |
|---|---|
| 18% GST | One rate for these goods |
| Nil rate (0%) | No GST on these goods |
| 5% up to ₹2,500 per piece, 18% above | The rate depends on the price per piece |
| Depends on the exact code | The goods under this code are not all taxed alike: pick a longer code |
| Depends on the goods | Particular goods under this code have their own rates: choose the one that fits |
| Rate not known | The rate changed in a notification not in the list yet: ask your accountant |
- Open a suggestion for its detail: what it applies to, the date it is in force from, any rate change coming on a later date, and the source notification with Open the notification.
- A rate that has not been confirmed from an official notification is marked Unconfirmed, with a note to check it with your accountant before you use it.
Choosing a Code
From a suggestion, USE THIS CODE fills in the code alone; USE CODE AND RATE (or USE CODE AND ALL RATES for a code with price bands) also adds the rate to your store's GST Rates by HSN Code, if your store has none for that code yet and you have the right to change settings. A code whose goods have different rates asks you to choose the rate that fits your product first: nothing is filled in until you do.
In the product editor, the GST card then tells you where you stand: "Your store charges 18% for this code, the same as the list", or that your rate differs from the list, or that the list's rate changed on a date while your store still charges the old one ("Nothing was changed for you"). When your store has no rate for the code, it offers ADD 18% TO MY STORE.
The finder never replaces a rate you already have. You can always type a code yourself instead ("Or type the code yourself"): products take HSN codes of 4 to 8 digits.
The directory is Mercayo's reference data, kept for every store: the GST portal's goods HSN codes (2, 4, 6 and 8 digits) and the rate rules of the goods rate notifications, each rule with its source and dates.
For your store
Why It Matters
A wrong HSN code means a wrong rate on every invoice of that product, and a wrong rate is paid for later, in back taxes or in an unhappy accountant. Looking codes up by hand on government PDFs takes time, the official descriptions rarely use the words a shopkeeper uses, and the rates changed in 2025.
The finder puts the directory and the current rate rules where you set up products, in your own words, with the source one click away, so you can decide with confidence and show your accountant exactly where a rate came from.
It is honest about what it does not know. A rule that was not read from an official notification says so; a code whose goods are taxed differently asks you to choose; a rate the list does not have says "ask your accountant". You are never handed a confident-looking number that might be wrong.
And it saves a step. Choosing a code and its rate together adds the rate to your store's table, so the product can be sold at once, instead of a second trip to Settings → Taxes.
Step by step
How It Works
Open a Product
In Products, open a product (or create one) and find its GST card, with Find an HSN Code above the HSN Code field.
Type What It Is
Type at least 2 characters: a kind of product ("silver earring", "cotton kurta", "phone case") or the start of a code. Suggestions appear with their code, where they sit and their rates; "Nothing matches" suggests another word, or typing the code yourself.
Check the Detail
Open a suggestion to see what it covers, the date it is in force from, any coming change, and its source notification, which Open the notification opens. An Unconfirmed rate asks you to check it with your accountant. A code whose goods are not all taxed alike points you to a more exact code below it.
Use the Code, and Its Rate
Press USE THIS CODE, or USE CODE AND RATE to also add the rate to your store's GST rates (for a code with price bands, USE CODE AND ALL RATES adds each band). The editor says what happened, such as "HSN 7113 filled in, and 3% added to your store's GST rates". Save the product to keep the code.
Keep Your Rates in Step
The product's GST card compares your store's rate for its code with the list. If they differ, or the list changed on a date, it says so and changes nothing. Decide with your accountant, and edit the rate in Settings → Taxes → GST Rates by HSN Code, where the same finder helps you add new rates.
Settings
Settings You Control
Each one is in your admin. A new store starts with the value shown.
Nothing to set up: it works the same way in every store.
Mercayo
Mercayo's Controls
Mercayo maintains the HSN directory and the rate rules for every store, records which version of the data was loaded, when and from where, and marks any rule not read from an official notification as unconfirmed. The finder only suggests: it never changes a product or a rate in your table on its own, and adding a rate from it needs a person on your team with the right to change settings. Mercayo does not give tax advice; the finder points to its sources so you and your accountant can check them.
Limits today
Good to Know Before You Start
- It suggests; it does not decide. Your rates table sets what is charged.
- Goods codes only: service codes (SAC) are not in the finder.
- A rate rule not confirmed from an official notification is shown as Unconfirmed.
- The rules come from the goods rate notifications Mercayo has loaded; a later notification may not be in the list yet.
- Adding a rate from the product editor needs the right to change settings; without it, only the code is filled in.
Questions
About HSN Finder
Is the rate shown always the one I charge?
No. The finder shows the rate the notifications set; what you charge comes from your own rates table in Settings → Taxes. The product's GST card compares the two and tells you when they differ, so you can keep them in step with your accountant.
Where does the data come from?
The GST portal's directory of goods HSN codes, and the goods rate notifications of 2025 and 2026 (Central Tax (Rate)), each rule with its source and the date it is in force from. Mercayo records every load of the data, and a rule not read from an official notification is marked Unconfirmed.
Can I type a code that is not suggested?
Yes. You can always type the code yourself in the HSN Code field: 4 to 8 digits for a product. The GST card then tells you whether your store has a rate for it.
What does "5% up to ₹2,500" mean?
Some goods, such as clothing, have rates that depend on the price per piece. The finder shows the bands, and USE CODE AND ALL RATES adds one rate per band to your table, so each product is charged by its own price.
Will the finder change my existing rates when the government changes one?
No. When the list's rate for a code changes, the product's GST card says so ("GST rate changed on … the list now shows …, your store still charges …") and changes nothing for you. Add the new rate yourself, with an Applies From date if it starts later.
Why does it ask me to choose a rate?
Because different goods under the same code are taxed differently, and only you know which one your product is. Nothing is filled in until you choose, so a product never gets a rate meant for other goods.
Related
Related Features
- Tax SettingsSet your registration type, state, GSTIN and legal name, choose whether prices include GST, and keep a rates table by HSN code that every bag and order uses.
- ProductsA fast product list with a health strip, saved views and bulk changes you can undo, and an editor for options, variants, photos, descriptions and SEO.
- GST InvoicesEvery order gets the right GST document, a tax invoice or a bill of supply, numbered without gaps per financial year, as a PDF for you and your shopper.
- Import and ExportImport products and customers from Shopify, WooCommerce or Dukaan with a preview first, copy their pictures, and export your store's data as one ZIP.
More in GST and Invoices: GST Invoices · Credit Notes · Tax Settings · Business (B2B) Invoices · Invoices Screen and GSTR-1 Export
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