What is a SAC Code?
SAC stands for Services Accounting Code. It is a 6-digit classification code used under India's Goods and Services Tax system to identify services and determine the applicable GST rate. All SAC codes start with 99, which distinguishes them from HSN codes used for goods.
Every service provider in India must mention the correct SAC code on their GST invoices. The code tells the GST system what type of service is being rendered, whether it is exempt, nil-rated, or taxable, and at what rate. Using the correct SAC code is essential for accurate GST calculations and clean return filing.
- SAC codes are always 6 digits long and always begin with 99
- The first two digits (99) identify the code as a service code. The next two digits identify the service category. The last two digits specify the exact service type
- From April 2021, SAC codes are mandatory on all GST invoices for service providers in B2B transactions
- The official SAC code list is maintained and updated by the Central Board of Indirect Taxes and Customs (CBIC)
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SAC Code vs HSN Code: What Is the Difference?
Businesses in India use two types of GST classification codes. SAC codes are used for services, while HSN codes are used for goods and products. Understanding the difference helps you apply the right code on every invoice.
| Feature |
SAC Code |
HSN Code |
| Applies to |
Services |
Goods and products |
| Number of digits |
Always 6 digits |
4, 6, or 8 digits |
| Starting digits |
Always starts with 99 |
Starts with chapter number (01-98) |
| Origin |
Developed by CBIC for India |
Based on WCO international system |
| Example |
996331 (restaurant services) |
1006 (rice) |
A restaurant that sells food (goods) and also provides dine-in service uses both codes on the same invoice. Packaged food items sold across the counter use HSN codes. The service of serving food at a table uses SAC code 996331. You can calculate the applicable tax using our GST invoice value calculator.
Common SAC Codes for Restaurants in India
Restaurants, cafes, cloud kitchens, and catering businesses operate under the 9963 service group. Each type of food service has a specific SAC code with its own GST rate. Here are the most commonly used ones:
| SAC Code |
Service Description |
GST Rate |
| 996331 |
Restaurant, cafe, and eating facility services (including takeaway) |
5% |
| 996332 |
Restaurant services in hotels with room tariff above Rs 7,500 |
18% |
| 996333 |
Outdoor catering services for events and functions |
18% |
| 996334 |
Indoor catering services for banquets and parties |
18% |
| 996335 |
Food delivery services by e-commerce operators (Swiggy, Zomato) |
5% |
| 996336 |
Cloud kitchen and virtual restaurant food preparation services |
5% |
Restaurants under the GST composition scheme do not charge GST on their invoices. Instead, they pay a flat composition tax rate. Regular-scheme restaurants must mention SAC 996331 on every dine-in or takeaway bill.
SAC Codes by GST Rate
GST rates for services in India range from 0% (exempt) to 18%. Unlike goods, services do not attract the 28% slab. Here is a summary of SAC codes grouped by their applicable GST rate:
Exempt (0% GST): Healthcare services (999311-999314), educational services up to higher education (999210-999230), and residential property rental (997211)
5% GST: Restaurant and cafe dine-in services (996331), food delivery via aggregators (996335), cloud kitchen services (996336), road transport of goods by GTA (996511), rail and air transport economy class (996521, 996531)
12% GST: Hotel accommodation with restaurant services (996311), air transport business class (996532)
18% GST: IT and software services (998311-998319), consulting and professional services (998211-998216), construction services (995411-995468), financial services (997111-997159), transport logistics (996601-996721), manpower and security services (998511-998516)
Use our Reverse GST Calculator to extract the base price from a GST-inclusive service charge, or our GST Rate Finder to verify the rate for any specific service.
How to Find the Right SAC Code
Finding the correct SAC code for your service is important for GST compliance. Here is a step-by-step approach to identify the right code for any service your business provides:
- Step 1 - Identify your service type: Determine the broad category of your service (food, transport, IT, consulting, healthcare, etc.) and whether it is taxable or exempt under GST
- Step 2 - Use this finder tool: Search by your service name or browse by the relevant category. The tool shows the SAC code, full description, and applicable GST rate
- Step 3 - Verify on CBIC portal: Cross-check your code on the official CBIC GST portal under the Services Accounting Code lookup section
- Step 4 - Check for ITC eligibility: Some services like restaurant services (996331) do not allow Input Tax Credit. Use our ITC Calculator to understand your ITC position
- Step 5 - Add to your invoice template: Once confirmed, add the SAC code to your standard invoice template or configure it in your invoicing software so it auto-fills on every bill
How to Use This SAC Code Finder
This free tool is designed for service businesses, restaurants, IT companies, consultants, and anyone who needs to find the correct SAC code quickly. Here is how to get the most from it:
- Search by service name: Type a keyword like "restaurant", "IT consulting", "security", or "transport" in the search box. Results appear as you type
- Search by SAC code: If you already have a partial SAC code, type it directly. The tool will show all matching codes and their descriptions
- Browse by category: Use the category filter pills to see all codes in a specific service sector such as IT, Healthcare, Financial Services, or Construction
- Read the GST rate: Each result clearly shows the applicable GST rate so you can apply it correctly on your invoice
The database covers SAC codes across 10 major service categories used by businesses across India. For automatic SAC code mapping on every invoice, use Petpooja Invoice, which pre-configures SAC codes for your service type.
