HSN Wise Summary Reporting in GSTR-1

This query is : Resolved

satish kumar Chauhan (Querist)
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08 April 2025 R/experts

As per notification No 78/2020 dated 15.10.20, HSN mentioning is not mandatory in B2C invoice for person turnover less than 5 Crore.
1. Query is at present, disclosure of B2C sale HSN wise details in GSTR-1, is mandatory or not in case of registered person having turnover up to 5 crore
2 Can we issue B2C invoice including GST and mentioned on bill rate are inclusive of GST 5% etc and bifurcate the tax element and Taxable sale value in books of accounts in case of turnover up to 5 crore.

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Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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12 April 2025 As per Notification No. 78/2020-Central Tax (dated 15.10.2020):

B2C Invoices: Mentioning HSN codes is not mandatory for businesses with turnover up to ₹5 crore in invoices (since it is a B2C supply).

GSTR-1 Reporting:

For businesses with turnover up to ₹5 crore, HSN-wise reporting in GSTR-1 is required only for B2B supplies (Tables 12 & 13).

For B2C supplies, HSN details are not required in GSTR-1 (Table 8/8A for summary of outward supplies).

However, if the supply is to an unregistered person (B2C) where invoice value exceeds ₹2.5 lakh, the invoice must have the HSN code (Rule 46 of CGST Rules).

2.
As per Rule 46 of CGST Rules:

The invoice must show:

Taxable value,

Applicable GST rate,

Separate GST amount, and

Total invoice value.

However, if the price is inclusive of GST, the invoice can mention:

"Price inclusive of GST @5%",

But the taxable value and GST amount must be clearly determined (can be shown separately or calculated in the books).

So. you can issue a B2C invoice with "inclusive of GST" wording, but ensure proper bifurcation in books and compliance with Rule 46.