A sac code is the Services Accounting Code used under GST to classify services: every SAC starts with 99, runs to 6 digits, and tells the tax office which service you supplied. Most services carry GST at 18%, but the code points to the entry that decides whether a lower rate or an exemption applies.
This hub explains what SAC is, how it differs from HSN, how to search for a code, and lists the main headings with links to every service page on this site. For goods codes, see the HSN code list.
SAC code: codes and GST rates
Item / HSN / GST- Construction services18%SAC 9954
- Accommodation and food services5% or 18%SAC 9963
- Goods transport services5% or 18%SAC 9965
- Financial and insurance services18% (some exempt)SAC 9971
- Real estate and rent18% (homes exempt)SAC 9972
- Leasing and rental without operatorAs the goodsSAC 9973
- Professional and technical services18%SAC 9982 and 9983
- Support services18%SAC 9985
- Repair and installation18%SAC 9987
- Education and health servicesExemptSAC 9992 and 9993
Quick facts
Full form
Services Accounting CodeStructure
99 + heading + group + service = 6 digitsDigits to print
4 up to Rs 5 crore turnover, 6 aboveMost common rate
18% with input tax creditNotification
11/2017-Central Tax (Rate) as amended by 15/2025Residual rate
18%
What is sac code in gst
SAC was drawn up by the tax department based on the UN Central Product Classification. Goods use HSN codes from the World Customs Organization; services use SAC. Both go in the same HSN/SAC column on an invoice and in the HSN summary of GSTR-1.
- 99 marks a service.
- Two digits give the heading, for example 9965 for goods transport.
- One digit gives the group, for example 99651 for road transport of goods.
- One digit gives the service, for example 996511.
Difference between hsn and sac code
| Point | HSN | SAC |
|---|---|---|
| Used for | Goods | Services |
| Starts with | Any chapter 01 to 98 | Always 99 |
| Length on invoices | 4, 6 or 8 digits | 4 or 6 digits |
| Source | World Customs Organization | Tax department, based on UN classification |
| Example | 2523 for cement | 9954 for construction |
SAC code list by heading
| Heading | Services | Usual GST |
|---|---|---|
| 9954 | Construction and works contracts | 18% |
| 9961, 9962 | Wholesale and retail trade on fee basis | 18% |
| 9963 | Hotels, restaurants, catering | 5% or 18% |
| 9964 | Passenger transport | 5% or 18% |
| 9965 | Goods transport | 5% or 18% |
| 9966 | Rental of vehicles with operator | 5% or 18% |
| 9967 | Cargo handling, warehousing, port and airport services | 18% |
| 9968 | Postal and courier | 18% |
| 9971 | Banking, insurance, financial services | 18% or exempt |
| 9972 | Real estate, rent | 18% or exempt |
| 9973 | Leasing or rental without operator | As the goods |
| 9981 | Research and development | 18% |
| 9982 | Legal and accounting | 18% |
| 9983 | Professional, technical, IT | 18% |
| 9984 | Telecom, broadcasting, information supply | 18% |
| 9985 | Support services: security, cleaning, manpower, travel agents | 18% |
| 9986 | Support for agriculture, mining, utilities | 18% or exempt |
| 9987 | Maintenance, repair, installation | 18% |
| 9988 | Manufacturing services on inputs of others (job work) | 5% or 18% |
| 9989 | Other manufacturing services, printing | 18% |
| 9991 | Public administration | Exempt in many cases |
| 9992 | Education | Exempt or 18% |
| 9993 | Health and social care | Exempt |
| 9994 | Sewage and waste collection | Exempt or 18% |
| 9995 | Membership organisations | 18% |
| 9996 | Recreation, culture, sports, events | 18% |
| 9997 | Other services: salons, laundry, gyms | 5% or 18% |
9973 sac code and 997331
Heading 9973 covers leasing or renting goods without an operator: machinery, vehicles without driver, equipment and also intellectual property. 997331 is the code for licensing the right to use computer software and databases. The rate for renting goods without operator is usually the same as the rate on the goods themselves. 998346 is the code for technical testing and analysis services, in group 99834, taxed at 18%. 99839 holds other professional, technical and business services, and 99799 other miscellaneous services.
Service pages on this site
| Page | SAC | GST |
|---|---|---|
| Service HSN code | 99 | 18% |
| Construction and works contract | 9954 | 18% |
| Professional and consultancy | 9983 | 18% |
| Labour charges | 9954 or 9988 | 18% |
| Job work | 9988 | 5% or 18% |
| Repair and maintenance | 9987 | 18% |
| Installation charges | 9987 | 18% |
| Hotel rooms | 9963 | 5% or 18% |
| Restaurants | 9963 | 5% or 18% |
| Commission and brokerage | 9961 or 9971 | 18% |
| Bank charges | 9971 | 18% |
| Advertising | 9983 | 18% |
| Mobile recharge and internet | 9984 | 18% |
| Salon and gym | 9997 | 5% (no ITC) |
| Event management | 9985 | 18% |
| Education | 9992 | Exempt or 18% |
Sac code search: how to find yours
- Describe the service in one line: what you do and for whom.
- Find the heading in the table above.
- Use the HSN code finder on the home page, which also searches SAC codes by words.
- Check the 6 digit code in the official list on the GST portal.
- Confirm the rate in the services notification, since some codes have more than one rate.
Sac code for business support services
Many common business services fall under 9985: manpower supply (998519), security services (998521), cleaning (998533), packaging services (998540), travel arrangement (998551) and other support services (998599). All are 18%. Security services from a non-body corporate to a registered business can fall under reverse charge.
SAC code in GST returns and invoices
The SAC goes on every tax invoice for a service and into the HSN summary table of GSTR-1, where turnover is grouped by code. Businesses with turnover above Rs 5 crore must report 6 digits; smaller ones may report 4 digits for B2B supplies. A service provider with several kinds of work, such as a firm that does both installation and annual maintenance, should keep a separate line and code for each, because the rates or reverse charge rules may differ even within one contract.
This SAC overview is general information drawn from the official SAC list and the services notification as amended. Some codes have special rates or exemptions with conditions, so confirm your code and rate on the GST portal and consult a GST practitioner or chartered accountant before settling a contract.
Frequently asked questions
What is SAC code in GST?
SAC is the Services Accounting Code. It is a code starting with 99 that classifies each service for GST.
How many digits is a SAC code?
The full code is 6 digits. A business with turnover up to Rs 5 crore may print 4 digits on B2B invoices; above that, 6 digits.
How is a SAC code different from an HSN code?
HSN is the goods system and SAC is the services system. An invoice line carries one of the two, never both.
What is 9973 sac code?
9973 covers leasing or rental of goods without an operator, such as machinery hire without staff.
What GST rate applies to services?
18% for most services. Some are 5% without credit, some are exempt, and specified gaming and betting is 40%.