Validate GSTIN/UIN & HSN/SAC Online in TallyPrime: 3 Easy Steps

TallyPrime allows businesses to validate GSTIN/UIN and HSN/SAC details online, ensuring accuracy and compliance with GST regulations.

This feature helps in reducing errors related to incorrect GST numbers and invalid HSN/SAC codes while filing GST returns.

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1. Why Validate GSTIN/UIN and HSN/SAC Online in TallyPrime?

1. Benefits of GSTIN/UIN Validation:

• Ensures accuracy of GSTIN before recording transactions.
• Helps in avoiding penalties due to incorrect GSTIN details.
• Ensures compliance while filing GSTR-1 and GSTR-3B.

2. Benefits of HSN/SAC Validation:

• Verifies whether the HSN (Goods) or SAC (Services) code is correct.
• Ensures correct GST rates are applied.
• Reduces chances of errors in GST returns.

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2. How to Validate GSTIN/UIN Online in TallyPrime?

To validate GSTIN or UIN (Unique Identification Number), follow these steps:

Step 1: Open Party Ledger for GSTIN Validation

1. Open TallyPrime.
2. Navigate to Gateway of Tally > Alter > Ledgers.
3. Select the party ledger where GSTIN/UIN needs validation.

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Step 2: Enter or Verify GSTIN/UIN

1. In the GST Details section, enter the GSTIN/UIN of the party.
2. Ensure the correct State and Registration Type are selected.

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Step 3: Validate GSTIN/UIN Online

1. Enable Internet Connectivity in TallyPrime.
2. Press F12 (Configure) > Enable Online GST Validation: Yes.
3. Press Ctrl+I (More Details) > Validate GSTIN.
4. TallyPrime will fetch details directly from the GST portal and display:
   • Legal Name of the Business
   • GSTIN/UIN Status (Active/Inactive)
   • State and Type of GST Registration

If the GSTIN is incorrect, Tally will notify you, and you can rectify the details before saving.

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Example: GSTIN Validation for a Vendor

Scenario:
ABC Enterprises purchases goods from XYZ Pvt Ltd (GSTIN: 27AAACC1234A1Z9).

Process in TallyPrime:

1. Create/Alter Ledger for XYZ Pvt Ltd.
2. Enter GSTIN as 27AAACC1234A1Z9.
3. Press Ctrl+I > Validate GSTIN.
4. If valid, TallyPrime confirms GSTIN details fetched from the GST portal.
5. If incorrect, Tally alerts the user to verify the correct GSTIN.

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3. How to Validate HSN/SAC Online in TallyPrime?

To validate HSN (Harmonized System of Nomenclature) for goods and SAC (Service Accounting Code) for services, follow these steps:

Step 1: Open Stock Item for HSN Validation

1. Go to Gateway of Tally > Inventory Info > Stock Items > Alter.
2. Select the stock item for which HSN needs validation.

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Step 2: Enter or Verify HSN Code

1. Under GST Details, enter the HSN code for the product.
2. If it’s a service item, enter the SAC code.

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Step 3: Validate HSN/SAC Online

1. Ensure Internet Connectivity is enabled.
2. Press F12 (Configure) > Enable Online HSN/SAC Validation: Yes.
3. Press Ctrl+I (More Details) > Validate HSN/SAC.
4. TallyPrime fetches the correct GST Rate and Description from the GST portal.

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Example: HSN Validation for a Stock Item

Scenario:
A trader sells steel rods (HSN: 7215) and wants to ensure the correct HSN and GST rate.

Process in TallyPrime:

1. Create/Alter Stock Item: “Steel Rod”.
2. Enter HSN Code: 7215.
3. Press Ctrl+I > Validate HSN/SAC.
4. TallyPrime confirms:
   • Correct HSN Code: 7215
   • GST Rate: 18%
   • Product Category: Steel products
5. If incorrect, Tally suggests valid HSN codes.

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4. Impact of Incorrect GSTIN/UIN or HSN/SAC in TallyPrime

Error Type	Impact
Incorrect GSTIN	Mismatch in GSTR-1 and GSTR-3B, leading to notices from tax authorities.
Inactive GSTIN	Transactions may be rejected in GST returns.
Incorrect HSN/SAC	Wrong GST rate applied, leading to tax shortfall or excess payment.
Missing HSN/SAC	Issues in GST return validation and potential penalties.

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5. Checking Validation Results in GST Reports in TallyPrime

After validating GSTIN/UIN and HSN/SAC, you can check compliance in GST reports:

1. Go to Gateway of Tally > Display More Reports > Statutory Reports > GST Reports.
2. Open GSTR-1 or GSTR-3B to verify:
   • If validated GSTINs are appearing correctly.
   • If HSN/SAC details are correctly mapped.

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6. Conclusion

Validating GSTIN/UIN and HSN/SAC online in TallyPrime ensures businesses stay GST-compliant and error-free.

It helps in avoiding wrong tax reporting, GST notices, and mismatches in returns.

By following the above steps, you can ensure that your GST details are accurate and updated before filing returns.