How to Check HSN and GST Rate Wise Stock Items in Tally Prime: Step-by-Step Guide with Report Analysis and Practical Examples

Oct 25, 2025

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in Finance and Accounting, Tally ERP 9 Training

For every GST-registered business in India, accurate reporting of HSN (Harmonized System of Nomenclature) codes and GST rates for stock items is essential for compliance and audit readiness. Tally Prime makes this process simple through in-built reporting tools that allow users to analyze inventory according to HSN codes and applicable GST rates.

In this comprehensive guide, we’ll explain how to check HSN- and GST-rate-wise stock items in Tally Prime, how to configure them correctly, and how to generate analytical reports to ensure your filing and reporting are accurate.

This article will cover step-by-step instructions, tables for easy reference, and important tips for smooth GST management in Tally.

What Are HSN Codes and Why Are They Important?

HSN (Harmonized System of Nomenclature) is a globally accepted system for classifying goods under a standardized structure. In India, it helps determine the GST rate applicable to specific products.

HSN Digits	Applicability	Description
4 digits	Businesses with turnover below ₹5 crore	Used for B2C and small-scale reporting
6 digits	Businesses with turnover above ₹5 crore	Used for B2B and export reporting
8 digits	Used for international trade	Highly detailed classification

Example:

HSN for Computers: 8471
HSN for Steel: 7208
HSN for Plastic Goods: 3923

Using accurate HSN codes ensures proper GST filing, invoice accuracy, and reduced chances of penalties during audits.

Step-by-Step: How to Enable and View HSN & GST Rate-Wise Stock Items in Tally Prime

Let’s go through a complete walkthrough of how to check and analyze GST-related stock details in Tally.

Step 1: Enable GST in Tally Prime

Before viewing HSN or GST rate reports, GST must be enabled in the company settings.

Path:
Gateway of Tally → F11 (Features) → Statutory Features → Enable Goods and Services Tax (GST) → Yes

Then, set the following:

Set/alter GST details: Yes
Enable HSN/SAC details: Yes

Once enabled, enter your GSTIN, registration type, and state.

Step 2: Assign HSN and GST Rate to Each Stock Item

To view stock reports by HSN or rate, you need to configure each item properly.

Path:
Gateway of Tally → Inventory Info → Stock Item → Alter/Create

Now, enter the following details under Statutory Information:

HSN Code: (Example – 8471)
GST Rate: (Example – 18%)

Repeat this for each product in your stock list.

Tip: You can also use the “Copy HSN from Stock Group” feature if multiple items belong to the same category.

Step 3: Record Sales and Purchase Transactions

After HSN and GST setup, record regular Sales and Purchase vouchers with proper stock items.

Tally automatically tracks HSN, tax rate, and tax amount for each entry.

Example Transaction:

Item Name	HSN Code	Quantity	GST Rate	Value (₹)
Laptop	8471	2 pcs	18%	80,000
Mouse	8471	10 pcs	18%	5,000
Printer	8443	1 pc	18%	10,000

Step 4: Generate HSN Summary Report

To view HSN-wise details for all stock items:

Path:
Display More Reports → Statutory Reports → GST → HSN/SAC Summary

This report displays data for sales and purchases grouped by HSN.

Report Fields:

Field	Description
HSN Code	Code linked with stock item
Description	Product/Service name
UQC	Unit Quantity Code (e.g., Nos, Kg, Ltr)
Total Value	Value of goods sold/purchased
Taxable Value	Amount subject to GST
Integrated, Central, State Tax	Detailed GST breakup

Tip: Use Alt + F12 (Range Filter) to display data for specific months or transactions.

Step 5: View GST Rate Wise Stock Report

If you wish to see stock items grouped by GST rate rather than HSN:

Path:
Display More Reports → Statutory Reports → GST → Rate-wise Analysis

This report groups all stock items under 0%, 5%, 12%, 18%, and 28% GST slabs.

GST Rate	Items Included	Taxable Value (₹)	Total GST (₹)
0%	Books, Food Items	12,000	0
5%	Essentials	18,000	900
12%	Appliances	40,000	4,800
18%	Electronics	95,000	17,100
28%	Luxury Goods	15,000	4,200

This report is especially useful for:

Checking compliance with GST slabs
Detecting incorrect item categorization
Preparing data for GSTR-1 filing

Step 6: Drill Down to Item-Wise and Voucher-Wise Details

From the HSN Summary or Rate-Wise Report, press Enter on any line to open Item-Wise Analysis.

You can view:

Item name and stock quantity
Voucher references
Party name
GST breakup (CGST, SGST, IGST)

This helps cross-verify your sales and purchase data before filing GST returns.

Step 7: Export the Report for Analysis or Filing

You can export the HSN Summary or Rate-wise Report to Excel or PDF for easy sharing.

Path:
Alt + E → Export → Excel / PDF / HTML

This exported file helps in:

Reconciliation with GST portal data
Sharing details with accountants
Maintaining audit trail

Example Report View in Tally (Summary Table)

HSN Code	Description	GST Rate	Taxable Value (₹)	CGST (₹)	SGST (₹)	Total (₹)
8471	Computers & Accessories	18%	85,000	7,650	7,650	100,300
8443	Printers	18%	10,000	900	900	11,800
3923	Plastic Goods	12%	20,000	1,200	1,200	22,400
7208	Steel Products	18%	15,000	1,350	1,350	17,700

Common Issues and Solutions

Issue	Possible Reason	Solution
HSN not appearing in report	HSN not set for item	Edit stock item and assign correct HSN
GST rate mismatch	Wrong rate setup	Check “Taxability” in item setup
Tax calculation not showing	GST not enabled	Enable GST in Statutory Features
Items grouped incorrectly	Missing classification	Reclassify items under correct stock groups

Additional Tips for Accuracy

Regularly Update HSN Codes: GST Council occasionally revises codes. Always keep your item list current.
Use Stock Groups for Bulk Assignments: Assign HSN and tax rates at group level for efficiency.
Cross-Verify Tax Reports: Compare Tally’s HSN summary with GSTR-1/3B filings for accuracy.
Backup Data Monthly: Keep secure backups for each return period.
Audit with Range Filter: Use date filters to check monthly or quarterly HSN transactions.

Benefits of Using HSN & GST Rate Reports in Tally

Benefit	Description
Compliance	Ensures correct tax filing and avoids penalties
Transparency	Easy visibility of stock and tax classification
Reporting	Simplifies preparation for GST returns
Accuracy	Detects incorrect item coding
Efficiency	Saves manual effort during reconciliation

Conclusion

Checking HSN and GST rate-wise stock items in Tally Prime is not only useful for compliance but also crucial for business accuracy. With features like HSN Summary, Rate-wise Analysis, and Voucher Drill-Down, you can track every item’s tax classification and value in just a few clicks.

By properly setting up HSN codes and GST rates for each stock item and using analytical reports regularly, you can ensure 100% accuracy in your GST filings and inventory management.

Disclaimer:
The data, tax rates, and report examples shared in this article are for educational purposes only. GST rates and Tally versions may change periodically. Users are advised to verify the latest updates in Tally Prime and the official GST notifications before implementation.

About the author

I’m Himanshu Dhar, a dedicated MIS trainer proudly associated with I Turn Institute. My journey in the realm of data management and automation spans over 14 enriching years. My passion for this field extends to freelancing projects, where I bring real-world practicality into my teaching. My impact in education is marked by the success of over 25,000 students I’ve had the privilege of mentoring, hailing from diverse backgrounds. Beyond the classroom, I’ve had the honor of conducting corporate training sessions and seminars, catering to the unique needs of businesses. Let’s unlock your potential together in the realm of data analysis and automation.