SAC codes explained: the 99 prefix, major service groups (construction, transport, restaurants, professional, IT, rental, financial) with examples, and how to choose the right 6-digit SAC for your invoice.
SAC (Services Accounting Code) classifies services under GST. Every SAC starts with 99, followed by a 2-digit heading and further digits for groups and individual services, ending at 6 digits — for example 998314 for IT design and development services. Pick the most specific 6-digit code that describes the main service you supply.
The GST classification scheme for services has 5 sections, around 30 headings and over 500 six-digit service codes. Taxpex imported the full CBIC scheme into its HSN/SAC Finder, so you can search by service name, keyword or code.
| Part | Digits | Example | Meaning |
|---|---|---|---|
| Services prefix | 99 | 99 | All services |
| Heading | 4 | 9983 | Other professional, technical and business services |
| Group | 5 | 99831 | Management consulting and management services; IT services |
| Service code | 6 | 998314 | IT design and development services |
| Heading | Covers | Typical businesses |
|---|---|---|
| 9954 | Construction services | Contractors, builders, interior works |
| 9961 / 9962 | Wholesale and retail trade services (on commission/fee) | Commission agents, distributors on fee |
| 9963 | Accommodation, food and beverage services | Hotels, restaurants, caterers |
| 9964 / 9965 | Passenger and goods transport | Cab operators, GTAs, courier |
| 9967 / 9968 | Supporting transport; postal and courier | Warehousing, freight forwarding |
| 9971 | Financial and related services | NBFCs, brokers, insurance agents |
| 9972 | Real estate services | Rental of property, brokers |
| 9973 | Leasing or rental without operator; licensing of IP | Equipment hire, software licensing |
| 9982 | Legal and accounting services | Lawyers, CAs, bookkeepers |
| 9983 | Other professional, technical and business services | Consultants, IT, marketing, design |
| 9985 | Support services | Manpower supply, security, cleaning |
| 9987 | Maintenance, repair and installation | AMC providers, repair shops |
| 9992 | Education services | Coaching, training institutes |
| 9993 | Human health and social care | Clinics, diagnostic labs |
| 9997 | Other services | Salons, laundry, personal services |
GST rates for services depend on the specific entry in the services rate notification, not just the heading. Restaurant service, goods transport and construction each have special conditions such as rates with or without input tax credit.
If you bundle services (or goods and services) naturally, the principal supply decides classification and rate — a composite supply. If items are bundled artificially for a single price, the highest-rated item applies — a mixed supply. Example: a hotel stay with breakfast is usually composite with accommodation as principal.
Freelancers and agencies often pick a generic code like 998399 ('other professional services'). Use it only when no specific code fits; specific codes reduce queries.
Exporting services? The SAC is the same, but the supply may be zero-rated under LUT if the export conditions under the IGST Act are met.
Senior contributor at Taxpex Consultancy. Reviewed by a practising Chartered Accountant. Published on 16 October 2026 · Updated on 16 October 2026.
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