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GST SAC Code List for Manufacturers in India

SAC stands for Services Accounting Code. It plays the same role for services that HSN plays for goods. This list gives the four-digit groups a factory sees most often, from job work under 9988 to freight under 9965.

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SAC	Service group	Where a factory meets it
9954	Construction services	Plant building, civil works, shed erection
9961	Services in wholesale trade	Trading margin services
9965	Goods transport services	Road, rail, air and water freight; GTA services
9967	Supporting services in transport	Cargo handling, warehousing, storage, packing for transport
9968	Postal and courier services	Courier of samples and documents
9969	Electricity, gas and water distribution	Power wheeling and distribution services
9971	Financial and related services	Bank charges, guarantees, forex services
9972	Real estate services	Industrial land and building rent, leasing of property
9973	Leasing or rental services without operator	Rental of machinery, vehicles, equipment
9981	Research and development services	Contract R and D, prototyping studies
9982	Legal and accounting services	Audit, tax and legal fees
9983	Other professional, technical and business services	Engineering consulting, testing and analysis, design, IT consulting
9984	Telecommunications, broadcasting and information services	Telecom, internet, data hosting
9985	Support services	Manpower supply, security, housekeeping, travel agency
9986	Support services to agriculture, hunting, forestry, fishing, mining and utilities	Support services for mining and utilities
9987	Maintenance, repair and installation services (except construction)	Machine repair, AMC, installation and commissioning
9988	Manufacturing services on physical inputs owned by others	Job work: machining, plating, heat treatment, assembly for another party
9989	Other manufacturing services; publishing, printing and reproduction	Printing of labels and manuals
9991	Public administration services	Licences, fees and levies paid to authorities
9992	Education services	Employee training programmes
9993	Human health and social care services	Occupational health services
9994	Sewage and waste collection, treatment and disposal	Effluent treatment, scrap and waste handling
9995	Services of membership organisations	Industry association membership
9996	Recreational, cultural and sporting services	Events, sponsorship
9997	Other services	Services not classified elsewhere

General guidance at the four-digit group level. Invoices often need six digits, so confirm the exact code and the GST rate notification before use. Not tax advice.

Service item master clean-up

Optional: we can scan purchase service items in your ERP and flag missing SAC codes.

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How to use the list

Search by the service you buy or sell, such as repair, rent or freight, and read the matching SAC group. Copy the code onto the vendor master, the service purchase order or the sales invoice. Then confirm the six digit code against the GST service code list and the rate notification. Export the list to Excel if you want to attach it to a vendor setup checklist.

Job work is SAC 9988

Many factories send material to a job worker for machining, plating or heat treatment. The job worker invoices for a service, and the service falls under manufacturing services on physical inputs owned by others, SAC 9988. The principal tracks the goods on a delivery challan and an ITC-04 return, while the job worker charges GST only on the job work charge unless the job worker also supplies material. Keep the two flows separate in your ERP.

Material out on challan, no GST invoice for the principal's own goods
Job work charge invoiced under SAC 9988
ITC-04 filed by the principal for goods sent and received

Mistakes to avoid

A common mistake is placing repair and installation under professional services. Machine repair and AMC fall under 9987. Another is using the construction SAC for a machine foundation that is part of a plant installation, which changes the input credit position. Freight bought from a goods transport agency is also an area where the reverse charge rules can apply, so the SAC alone does not tell you who pays the tax.

ERP notes

In SAP the SAC is held as a service master or material master with a service type and the India tax code. In other ERPs it is typically a tax category on a service item. Make sure purchase service items carry the SAC so that your GSTR-2B reconciliation and your reverse charge register can group by it.

Frequently Asked Questions

How many digits does a SAC have?

SAC codes start with 99 and run to six digits. The four-digit group tells you the broad category, and the full six digit code tells you the exact service. Invoices must show the SAC at the digit level required by your turnover and the current notification.

Is job work always SAC 9988?

Job work on goods owned by someone else is generally 9988, although some job work has a special rate in the notification. The rate can differ for specific sectors, so check the current entry and do not assume it is the same as the goods rate.

Where is freight classified?

Transport of goods by road is under 9965, with 996511 for road transport. Supporting services such as loading and warehousing are 9967. The GTA rules and reverse charge can apply, so check who must pay the tax on the invoice you received.

Do I need a SAC for exempt services?

Yes, an exempt or nil rated service still carries its SAC on a tax invoice or bill of supply where reporting is required. The code identifies the service for the return tables and for audits, even when the tax rate is zero.

If you are cleaning up service items and vendor masters before an ERP change, we can help assess the data and automate the checks.

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