Each and every goods manufactured or produced have to be classified for finding out the rate of duty applicable. Accordingly, Central Excise Tariff Act 1985 classifies all the goods under 91 chapters and specific code is assigned to each item. This code is called Tariff Classification code, which consists of 8 digits. First 4 digits represent Chapter and heading and next 2 digit represents sub-heading and the last 2 digit represents sub-sub heading.
To create Tariff Classifications press Alt+T or select the option T: Tariff Classifications (HSN) and press Enter to view Tariff Classifications (HSN) Setup screen.
In Tariff Classifications (HSN) Setup screen
Enter the name of the Tariff Classification e.g. Plastic Bottles in the Name of Tariff field.
In Used For field - Excise will be displayed automatically.
Enter the Tariff Classification Code e.g. 39233010 in HSN Code field
Note: The Harmonized Commodity Description and Coding System (HS) of tariff nomenclature popularly known as Harmonised System of Nomenclature (HSN), is an internationally standardized system of names and numbers for classifying traded products developed and maintained by the World Customs Organization.
Note: From Multi Tariffs Classification Alteration screen you can create multiple Tariff classifications.
Press Enter to save.
Note: You can also create Tariff Classification from Gateway of Tally > Inventory Info. > Tariff/VAT Commodity
To know more on creating Tariff Classification from Tariff/VAT Commodity refer the topic - Creating Tariff Classification.