The GST Council established the GST rate for legal, accounting, and professional services. Services are subject to 5%, 12%, 18%, or 28% GST rates. The GST rate is determined by the SAC code, which is a services classification system developed by the service tax department. In this article, we will look at the SAC code and GST rate in India for legal, accounting, and professional services. Professionals who are taxable under GST must obtain GST Registration. Let’s have a basic understanding of SAC (Service Accounting Code), before moving to the SAC Code and GST rate on Legal, Accounting and Professional Services.
The term “SAC” stands for Servicing Accounting Code. The service tax department in India has developed the SAC Codes as a system of categorization for services. The GST Council has opted to use the SAC code system for the purpose to levy GST (Goods and Service Tax) in India.
SAC refers to the 6-digit code in GST under GST law. For example, the SAC for IT design and development services is 998314.
There are several benefits of SAC codes given below :
SAC Code and GST rate on Legal Services
SAC Code |
Particulars |
GST Rate |
998211 |
Legal consultation and representation in criminal law. |
18% |
998212 |
Other types of legal advice and representation are available. |
18% |
998213 |
Services for patent, copyright, and other intellectual property documentation and certification. |
18% |
998214 |
Other document legal documentation and certification services |
18% |
998215 |
Services for arbitration and conciliation |
18% |
998216 |
Additional legal services |
18% |
SAC Code and GST rate on Accounting Services
SAC Code |
Particulars |
GST Rate |
998221 |
Financial Auditing Services |
18% |
998222 |
Accounting and Bookkeeping Services |
18% |
998223 |
Payroll Services |
18% |
998224 |
Other similar services |
18% |
SAC Code and GST Rate on Professional Services
SAC Code |
Particulars |
GST Rate |
998391 |
Interior design, fashion design, industrial design, and other specialised design services are available. |
18% |
998392 |
Original designs |
18% |
998393 |
Services for scientific and technical consulting |
18% |
998394 |
original fact/information compilations |
18% |
998395 |
Services for translation and interpretation |
18% |
998396 |
Franchises and trademarks |
18% |
998397 |
Services for Sponsorship and Brand Promotion |
18% |
998398 |
Other specialists, technical and business services |
18% |
Final Thoughts
SAC codes are four to six digits long and are classified by heading and section numbers. Job functions have their own SAC code. SAC code 9983 covers other technical, professional, and business services. These codes are used to generate invoices and submit GST returns.
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