What is SAC code in GST?
A SAC code is the 6-digit code GST uses to classify services. See how it is built, how many digits your invoice needs, the 4-digit list and MSME examples.
A SAC code (Services Accounting Code) is the number GST uses to classify a service, the way an HSN code classifies goods. Every SAC code starts with 99. The full code has six digits, for example 998314 for IT design and development services. You print it on your GST invoices and report it in the HSN summary of GSTR-1.
The official list of SAC codes is the Scheme of Classification of Services, the Annexure to Notification No. 11/2017-Central Tax (Rate) dated 28 June 2017. This guide explains how the code is built, how many digits your business must show, and how to find yours. It is updated 15 October 2026. It is an explainer, not tax advice. If you are not sure which code fits a service, confirm it with your chartered accountant.
What is the difference between SAC and HSN codes?
Both codes do the same job, for different kinds of supply.
| HSN code | SAC code | |
|---|---|---|
| Used for | Goods | Services |
| Full form | Harmonised System of Nomenclature | Services Accounting Code |
| Where the list comes from | Customs Tariff (the international HS system) | Scheme of Classification of Services (Annexure to Notification 11/2017-CT (Rate)) |
| How it starts | Depends on the chapter of goods | Always 99 |
| Full length used in GST | 6 or 8 digits | 6 digits |
GST forms and the GST portal often say "HSN" for both. When a form asks for the HSN of a service, it means the SAC. For goods, read what is an HSN code in GST billing?
How is a SAC code structured?
The classification has five levels. Each level adds detail:
| Level | Example | What it means |
|---|---|---|
| Chapter | 99 | All services |
| Section | Section 8 | Business and production services |
| Heading (4 digits) | 9983 | Other professional, technical and business services |
| Group (5 digits) | 99831 | A family of services inside the heading |
| Service code (6 digits) | 998314 | Information technology design and development services |
So the first four digits name the broad heading, and the six-digit code names the exact service.
How many digits of SAC must I show on a GST invoice?
It depends on your aggregate turnover in the previous financial year. Notification No. 78/2020-Central Tax sets the rule from 1 April 2021:
| Aggregate turnover in the previous financial year | Digits on a tax invoice |
|---|---|
| Up to ₹5 crore | 4 digits (the heading, for example 9983) |
| More than ₹5 crore | 6 digits (the service code, for example 998314) |
If your turnover is up to ₹5 crore, the 4-digit rule is mandatory on invoices to registered buyers (B2B). The notification lets you leave out the code on tax invoices to unregistered buyers (B2C). Businesses above ₹5 crore show 6 digits on all tax invoices.
A CBIC press release confirms that the 6-digit requirement covers the HSN code for goods, or the SAC for services. Many businesses show 6 digits anyway, because the exact code makes the invoice clearer for the buyer and for your own returns.
Where else do I report SAC codes?
GSTR-1, Table 12 (HSN summary). Your outward supplies are summarised by HSN and SAC code, with the same 4-digit or 6-digit rule by turnover. A GSTN advisory on Table 12 says the table is now split into B2B and B2C tabs. Codes are picked from a drop-down list rather than typed in manually, and the table has a "Download HSN Codes List" button that gives the HSN and SAC list with descriptions.
So the code on your invoices and the code in your GSTR-1 should match. If you put a service under one SAC on the invoice and another in the return, your figures will not reconcile.
SAC code headings: the 4-digit list
If your turnover is up to ₹5 crore, the 4-digit heading is what you print. These are the headings in the official classification:
| Heading | Services covered |
|---|---|
| 9954 | Construction services |
| 9961 | Services in wholesale trade |
| 9962 | Services in retail trade |
| 9963 | Accommodation, food and beverage services |
| 9964 | Passenger transport services |
| 9965 | Goods transport services |
| 9966 | Rental services of transport vehicles with or without operators |
| 9967 | Supporting services in transport |
| 9968 | Postal and courier services |
| 9969 | Electricity, gas, water and other distribution services |
| 9971 | Financial and related services |
| 9972 | Real estate services |
| 9973 | Leasing or rental services with or without operator |
| 9981 | Research and development services |
| 9982 | Legal and accounting services |
| 9983 | Other professional, technical and business services |
| 9984 | Telecommunications, broadcasting and information supply services |
| 9985 | Support services |
| 9986 | Support services to agriculture, hunting, forestry, fishing, mining and utilities |
| 9987 | Maintenance, repair and installation (except construction) services |
| 9988 | Manufacturing services on physical inputs (goods) owned by others |
| 9989 | Other manufacturing services; publishing, printing and reproduction services; materials recovery services |
| 9991 | Public administration and other services provided to the community as a whole; compulsory social security services |
| 9992 | Education services |
| 9993 | Human health and social care services |
| 9994 | Sewage and waste collection, treatment and disposal and other environmental protection services |
| 9995 | Services of membership organisations |
| 9996 | Recreational, cultural and sporting services |
| 9997 | Other services |
| 9998 | Domestic services |
| 9999 | Services provided by extraterritorial organisations and bodies |
SAC code examples for small businesses
These six-digit codes are taken from the official classification. They are examples, not a recommendation for your business. Read the description in full before you use one.
| Business | SAC code | Official description |
|---|---|---|
| Restaurant or cafe | 996331 | Services provided by restaurants, cafes and similar eating facilities including takeaway services, room services and door delivery of food |
| Software or website developer | 998314 | Information technology design and development services |
| Accountant or bookkeeper | 998222 | Accounting and bookkeeping services |
| Advertising agency | 998361 | Advertising services |
| Computer repair shop | 998713 | Maintenance and repair services of computers and peripheral equipment |
| Machinery repair | 998719 | Maintenance and repair services of other machinery and equipments |
| Salon or barber | 999721 | Hairdressing and barbers services |
| Shop or office rented out | 997212 | Rental or leasing services involving own or leased non-residential property |
| Event organiser | 998596 | Events, exhibitions, conventions and trade shows organisation and assistance services |
How do I find the right SAC code for my service?
- Start from what you actually supply, not from your business name. A hardware shop that also repairs machines sells goods (HSN) and a repair service (SAC).
- Find the heading in the 4-digit list above that matches the service.
- Open the official classification (the Annexure to Notification 11/2017-CT (Rate)) and read the groups and six-digit codes under that heading. Pick the description that fits the service.
- Check it on the GST portal. The portal has an HSN/SAC search, and the GSTR-1 Table 12 drop-down uses the same list.
- Use the code consistently on every invoice for that service and in your GSTR-1.
- Ask your CA when two descriptions seem to fit, or when the service is mixed with goods. The SAC also links to the GST rate notified for that service, so a wrong code can mean a wrong rate.
Common SAC code mistakes
- Using an HSN code for a service, or a SAC for goods. Repairs, rentals, transport and consulting are services.
- Printing only 4 digits when your turnover is above ₹5 crore. The previous year's turnover decides the digits for the current year.
- Using a different code in GSTR-1 from the one on your invoices.
- Copying a code from an old invoice or a supplier without checking the description. Your service may be classified differently from theirs.
- Using a "nowhere else classified" code by default. Those catch-all codes are for services that truly do not fit a more specific description.
How billing software helps with SAC codes
The easiest way to get SAC codes right is to set them once, on each service you sell, and let every invoice reuse them.
In Billoxy, GST billing, invoicing and inventory software for Indian MSMEs on web and mobile, you add each service in the Items master with Item Type set to Service, its SAC code and its GST rate. Services do not get stock tabs. When you add that service to a GST invoice, Billoxy calculates CGST + SGST or IGST based on the place of supply. Your CA still confirms which SAC code and rate apply to your services.
Related Billoxy guides
- What is an HSN code in GST billing?
- What is a GST invoice?
- Mandatory fields in a GST invoice
- What is the difference between GSTR-1 and GSTR-3B?
- What is place of supply under GST?
Official sources
- Notification No. 11/2017-Central Tax (Rate), with the Scheme of Classification of Services (GST Council)
- Annexure: Scheme of Classification of Services (PDF, GST Council)
- Notification No. 78/2020-Central Tax, digits of HSN code on tax invoices (PDF, GST Council)
- Press release on HSN code and SAC on invoices from 1 April 2021 (PDF, GST Council)
- GSTN advisory on HSN validations in Table 12 of GSTR-1 (PDF)
- GST portal
FAQs
What is the full form of SAC in GST?
SAC stands for Services Accounting Code. It is the code GST uses to classify services, listed in the Scheme of Classification of Services.
How many digits is a SAC code?
A full SAC code has six digits and starts with 99, such as 998222 for accounting and bookkeeping services. The first four digits (9982) are the heading.
Is a SAC code mandatory on a GST invoice?
Yes, on tax invoices, with the digits set by turnover. Up to ₹5 crore of aggregate turnover in the previous year, show 4 digits on B2B invoices; the code may be left out on invoices to unregistered buyers. Above ₹5 crore, show 6 digits.
Is SAC the same as HSN?
No. HSN classifies goods and SAC classifies services. GST forms often use "HSN" as the label for both.
Where can I find the SAC code list?
The official list is the Annexure to Notification No. 11/2017-Central Tax (Rate). The GST portal has an HSN/SAC search, and GSTR-1 Table 12 offers a downloadable HSN and SAC list.
What to do next
Need one GST invoice for a service right now? Use the free GST invoice generator. For everyday GST billing, invoicing and inventory for Indian MSMEs, start with Billoxy (10-day trial).