Understanding State GST Code 06: Everything You Need to Know
If you are a businessman, a trade firm in India, or an accountant, then you would have used some state or union territory GST codes at least once. They would have been helpful during the process of uploading GST returns or generating invoices. State GST Code 06 is one such handy code. Why so? Let’s know.
All union territories and states of the Indian Goods and Services Tax (GST) regime were assigned a two-digit numerical code to be used in the identification of the place of taxpayer or the place of supply of service or goods and as one of the parameters to decide whether a supply would be inter-state or intra-state in nature.
For instance, if the buyer and seller belong to the same state, then the transaction is intra-state and CGST + SGST will be applicable. If the buyer and seller belong to two different states, then it is an inter-state transaction, and IGST will be applicable.
State GST Code 06: Which State Does It Represent?
State GST Code 06 represents the state of Haryana.
So, if your company GSTIN starts with 06, then your company’s head office is in Haryana.
Haryana GSTIN example:
06ABCDE1234F1Z5
Here:
06 is the Haryana state code
ABCD1234F is the PAN
1 is one registration under one PAN
Z is a default character
5 is the checksum digit
Why the GST State Code Is Important
- Easy Identification of Business Location:
GST state codes would have to remember the business location and the transaction location. Facilitates Identification of Tax Type:
IGST or CGST + SGST would be applied depending on whether the supply is to or from, falling under these codes.Generation of Invoice:
In invoice generation under GST, include seller state code and the buyer state code.Convenience in Filing Returns:
During the filing of GSTR-1, GSTR-3B, etc., your data is checked for correctness against these codes in the system so that tax is distributed between the Centre and the States fairly.
Use Cases of GST Code 06
Haryana GST Registration: All Haryana GST registration begins with 06.
E-invoicing: The State code is required while creating e-invoices under the GST regime.
Transport and E-Way Bills: GST Code 06 is used in the “From” or “To” state columns while transporting goods based on the direction.
Conclusion
Take one additional step to know your state GST code for easy tax compliance, and your business is under the GST regime. If your business is located in Haryana, be aware that your GST documents, bills, and returns need to be prefixed with State Code 06.
Save this code somewhere close to it is not a number; it is the beginning of GST-compliant filing!
