GST SAC Code: Meaning, Full List & How to Find Yours (2026)

GST SAC Code: What It Is, How to Find Yours, and How It Sets Your GST Rate

Your SAC code is a 6-digit number under Chapter 99 that tells the GST system exactly which service you provide and which GST rate applies to it. Every service in India carries one, and you need the right one on your invoices and in your GST returns, not just any code that seems close enough.

If you only need one thing from this page: open the GST portal's Search HSN/SAC tool, type in a plain description of what you actually do (not the industry name, the specific service), and match it against the description shown, not just the code. We'll walk through exactly how to do that below, along with the rate rules, the digit requirements by turnover, and the mistakes we see most often.

What a SAC code actually is

SAC stands for Service Accounting Code. The Central Board of Indirect Taxes and Customs (CBIC) built it on the UN's Central Product Classification system and adapted it for Indian GST. Every SAC code starts with 99, because all services sit under Chapter 99 of the classification. The remaining four digits narrow the service down: two digits for the broad heading (say, legal services or IT services), then two more for the specific type within that heading.

So a code like 998231 breaks down as: 99 (services), 82 (legal and accounting services), 31 (specific sub-type within that group). Once GST knows your SAC code, it knows your applicable rate, and so does everyone auditing your invoices.

SAC codes work alongside HSN codes, not instead of them. HSN (Harmonized System of Nomenclature) classifies goods and follows an international standard used in over 200 countries. SAC classifies services and exists only within India's GST framework. If your invoice includes both a product and installation or freight, you'll use an HSN code on the goods line and a SAC code on the service line, on the same invoice.

Who needs a SAC code, and who doesn't

You need a SAC code if you're registered under GST and you supply any taxable service, whether that's consulting, software development, transport, real estate services, event management, or dozens of other categories. This applies whether you run a private limited company, an LLP, or you're a solo freelancer who's crossed the GST registration threshold. If you haven't registered for GST yet, our guide on GST registration covers when registration becomes mandatory and how to complete it.

You generally don't need to worry about SAC codes if you supply only exempt services (certain healthcare and educational services, for instance) or if your turnover sits below the registration threshold and you haven't registered voluntarily. Even then, once you do register, the SAC code requirement kicks in immediately, so it's worth knowing your code before you need it on your first invoice.

How many digits you need: the turnover rule

This is where we see the most confusion, because the rule depends on your turnover, not on your industry or the service itself.

This has been the rule since 1 April 2021, and it applies equally to invoicing and to your GSTR-1 filings. A business that outgrows the ₹5 crore threshold mid-year should switch to 6-digit codes going forward rather than waiting for the next financial year, since the requirement is based on the previous year's aggregate turnover.

Leaving the SAC field blank isn't a safe shortcut either. An invoice without the required code can be treated as invalid, and getting the digit count wrong (using 4 digits when 6 are required, for example) can trigger penalties of up to ₹25,000 each under the CGST and SGST Acts, or ₹50,000 under the IGST Act, for non-compliance.

How to find your SAC code, step by step

1. Go to the GST portal's Search HSN/SAC tool. It's available in pre-login mode, so you don't need to sign in first.
2. Describe your service in plain terms, not your business's marketing language. Search "accounting and bookkeeping services," not "financial solutions."
3. Match the description carefully, not just the closest-sounding code. Two codes can look similar but cover meaningfully different services with different rates.
4. Check the related codes shown. The tool displays 4-digit, 6-digit, and related entries together, so you can confirm you've picked the right level of specificity for your turnover bracket.
5. Cross-check against the CBIC's official Scheme of Classification of Services if your service sits at the edge of two categories, or if the portal's suggestion doesn't clearly match what you do.
6. When it's genuinely ambiguous, get it confirmed rather than guess. Some services (see our note on company secretarial services below) don't have a dedicated code and are correctly filed under a broader "other professional services" heading, which isn't obvious from a keyword search alone.

A quick example: a freelance business consultant searching "consulting" will find several codes across different headings. Business consulting services generally fall under 998312, but management consulting, tax consultancy, and legal consultancy each have their own separate codes even though a client might describe all of them as "consulting."

SAC codes and your GST rate

Your SAC code determines which GST rate applies to your invoice, so getting the code right isn't a filing formality, it directly affects how much tax you charge and remit.

Since the GST 2.0 rate rationalisation took effect on 22 September 2025 following the 56th GST Council meeting, the rate structure for most goods and services runs on two core slabs, 5% and 18%, with a 40% band reserved for a narrow list of luxury and sin categories (like online gaming, betting, and certain luxury goods) and a nil rate for specified essentials. The old 12% slab has been folded mostly into 5%, and most standard services that used to sit at 18% remain there.

For services specifically, 18% continues to be the default rate for most professional, technical, and business services (consulting, legal services, IT services, and similar). A smaller set of services, including some transport and hospitality categories, sit at 5%. If a service doesn't have a specific SAC code assigned to it at all, the default GST rate that applies is 18%.

Rates do get revised through CBIC notifications between Council meetings, so treat any rate figure, including the ones here, as a starting point to verify, not a final answer for your invoice. Before you finalise a rate on a client invoice, check the SAC code against the current CBIC rate notification or the GST portal's rate finder.

Common mistakes we see

Picking a code by industry instead of by service. A software company that also does staffing might assume every invoice takes an IT services code, when a staffing or manpower supply line item actually needs its own code and its own rate check.

Assuming 4 digits are always enough. Turnover crosses ₹5 crore mid-year and invoicing doesn't catch up, leaving 4-digit codes on invoices that legally need 6.

Treating one competitor's or vendor's code as authoritative. Just because another business uses a particular SAC code for a service that sounds similar doesn't mean it's correct for your specific service description.

Not revisiting codes after a rate change. GST 2.0 shifted several service categories. A code that mapped to 12% before September 2025 may now sit somewhere else entirely, and continuing to invoice at an old rate after a notified change is a compliance risk, not a rounding error.

Missing that some services genuinely don't have a dedicated code. Company secretarial services are a good example. There's no separate SAC code specifically for CS practice; practising Company Secretaries providing compliance, advisory, and secretarial services typically use 998399 (other professional, technical, and business services) or 998312 (business consulting services), depending on the exact nature of the engagement. Always confirm this kind of edge case against the GST portal rather than assuming.

What to do next

Once you've identified your SAC code, use it consistently across your invoices, your GSTR-1 filings, and your GST registration details. In our experience over the past 10 years advising businesses on GST compliance, the businesses that get this right from day one are the ones that pick the SAC code before they issue their first invoice, not after an auditor flags a mismatch. If you're still in the process of registering for GST, our GST registration guide walks through the full process, including where SAC codes come into your registration application.

FAQs

Is SAC code the same as HSN code?

No. SAC classifies services and is always 6 digits starting with 99. HSN classifies goods, generally runs to 8 digits in India, and follows an international standard. They serve the same function (fixing your GST rate) for different categories of supply.

What happens if I use the wrong SAC code?

You risk charging the wrong GST rate, which can lead to short payment or overpayment of tax, delayed input tax credit for your customer, and possible penalties on review. Correcting it usually means amending the relevant GSTR-1 entries going forward and reissuing affected invoices where needed.

Do freelancers need a 6-digit SAC code?

Only if your turnover in the previous financial year exceeded ₹5 crore. Most freelancers fall well under that threshold and need only a 4-digit code on B2B invoices, and none at all is mandatory for B2C.

Is there a single official SAC code list I can download?

The authoritative source is the CBIC's Scheme of Classification of Services, referenced through GST Council notifications. The GST portal's Search HSN/SAC tool is the most practical way to look up individual codes without downloading and cross-referencing a static PDF.

What if my service doesn't fit any listed SAC code?

Genuinely uncategorised services fall under the residual "other services" headings within the relevant category, and default to 18% GST unless a specific notification says otherwise. When you're unsure whether your service is uncategorised or you've simply searched the wrong term, it's worth a second look on the portal or a check with a tax professional before you file under a residual code.

Sources and further reading

This article draws on the CBIC's Scheme of Classification of Services, the GST portal's Search HSN/SAC user manual, and Notification No. 78/2020-Central Tax on SAC code digit requirements by turnover. GST rates change through CBIC notifications between Council meetings, so verify current rates directly through the GST portal before filing.

This article provides general information on SAC code classification and is not a substitute for advice from a qualified tax professional on your specific business situation. Rates and requirements referenced here reflect the position as of August 2026 and are subject to change through future GST Council decisions and CBIC notifications.

Written by PPSingh, drawing on 10 years of experience advising businesses on GST and tax compliance.