The HSN (Harmonized System of Nomenclature) code 1006 pertains to rice. Here are the details for this code:
HSN Code: 1006 - Rice
Categories and Descriptions:
1006.10.00:
- Description: Rice in the husk (paddy or rough)
- GST Rate: 5%
1006.20.00:
- Description: Husked (brown) rice
- GST Rate: 5%
1006.30.00:
- Description: Semi-milled or wholly milled rice, whether or not polished or glazed
- GST Rate: 5%
1006.40.00:
- Description: Broken rice
- GST Rate: 5%
Understanding the Sub-Categories:
Rice in the Husk (1006.10.00): This refers to rice that has just been harvested and is still encased in its husk. It requires further processing before it can be consumed.
Husked (Brown) Rice (1006.20.00): This is rice that has had its husk removed but retains the bran layer, giving it a brown color and more nutrients compared to white rice.
Semi-Milled or Wholly Milled Rice (1006.30.00): Semi-milled rice has part of the bran layer removed, while wholly milled rice is completely polished, resulting in white rice. This category includes polished and glazed rice.
Broken Rice (1006.40.00): These are fragments of rice grains that are separated during the milling process. Broken rice is often used in recipes requiring softer, stickier rice, or in animal feed.
GST Implications:
All these categories under HSN code 1006 generally attract a Goods and Services Tax (GST) rate of 5% in India. This makes it important for businesses dealing in rice to correctly categorize their products to ensure proper GST compliance.
Usage in Trade and Documentation:
HSN codes are used globally for the systematic classification of goods. This helps in international trade, ensuring that commodities are uniformly classified, which aids in the smooth processing of customs and duty regulations.
In documentation, including invoices and shipping papers, using the correct HSN code is crucial for compliance with tax regulations and for avoiding potential legal issues related to misclassification.
