The E-Way Bill System has issued an Advisory dated January 05, 2024 stating that the New HSN Code Requirements for E-Way Bills Effective February 01, 2024; 6 Digits for AATO > Rs. 5 Crores, 4 Digits for AATO < Rs. 5 Crores.
As per the notification No. 78/2020 –Central Tax, dated October 15, 2020, it is necessary to provide at least 6 digit HSN code for all the B2B and Export transactions by the taxpayers whose Annual Aggregate Turnover (AATO) is more than Rs. 5 Crores. The taxpayers, with AATO less than Rs. 5 Crores, need to provide at least 4 digit HSN code.
This validation will be implemented in e-way bill System from February 01, 2024. Hence, the taxpayers are advised to make necessary changes in their systems and enter 4 / 6 digit HSN codes while generating the e-way bills through web and API systems from February 01, 2024.
Source from: https://a2z-bucket.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/01/EWB-HSN-Advisory_Update.pdf