9954 SAC Code: Services in building & construction
SAC Code 9954 belongs to the category of "Construction Services" within the Services Accounting Code (SAC) system developed by the Indian government. The SAC system serves the purpose of classifying services for taxation. SAC Code 9954 covers an extensive range of construction-related services, including projects in the residential, commercial, industrial, and civil engineering sectors.
Book A Demo
Scope of SAC Code 9954
SAC Code 9954 covers various construction-related services, which involve the creation, modification, or maintenance of physical structures. These services are crucial for the development and growth of infrastructure and play a vital role in shaping the urban landscape.
Applying SAC Code 9954
To apply SAC Code 9954 to a specific construction service, businesses need to identify the service’s nature and match it with the closest fitting SAC code. This correct classification is essential for accurate tax reporting and compliance with regulations. It is recommended that businesses consult with tax professionals or refer to the official SAC Code list for precise classification.
Categorisation of SAC Code 9954
SAC Code 9954 under GST can be classified in the following ways:
| SAC Code | Description | Old GST Rate (till 21 Sep 2025) |
New GST Rate (from 22 Sep 2025) |
Notes on change / inclusions |
|---|---|---|---|---|
| 9954 | Services provided by way of pure labour contracts of construction, erection, commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration of a civil structure or any other original works pertaining to the beneficiary-led individual house construction or enhancement under the Housing for All (Urban) Mission or Pradhan Mantri Awas Yojana. | 0% without ITC | 0% without ITC | Pure labour contracts for beneficiary led individual house construction or enhancement under Housing for All (Urban) / PMAY have been given a full exemption, recognising them as social housing. This treatment continues post 22 Sep 2025; these contracts remain non taxable so long as they meet the scheme conditions. |
| 9954 | Services by way of pure labour contracts of construction, erection, commissioning, or installation of original works pertaining to a single residential unit otherwise than as a part of a residential complex. | 0% without ITC | 0% without ITC | This is the well known exemption for pure labour construction of a single standalone residential unit (not part of a larger complex). It remains exempt both before and after the GST 2.0 changes. Materials supplied by the contractor or composite supplies with goods are not covered by this entry. |
| 9954 | Other construction services | 18% with ITC | 18% with ITC | This is the residual construction services bucket under SAC 9954. General construction and works contract services that do not meet any special exemption / concessional conditions are taxed at the standard service slab of 18% with ITC. The 56th Council rationalisation targeted specific concessional entries, not this general 18% line, so the typical rate stays 18%. |
| 9954 | Construction of a complex, building, civil structure or a part thereof, including a complex or building intended for sale to a buyer, wholly or partly, except where the entire consideration has been received after issuance of completion certificate, where required, by the competent authority or after its first occupation, whichever is earlier. (the value of land is deemed to be one-third of the total amount charged for such supplies) | 18% with ITC | 18% with ITC | Formally, this entry charges 18% on the service portion, with land deemed to be one third of the total amount (so GST applies on the remaining two thirds). The effective incidence on the full agreement value is 12%, but the notified service rate is 18% with ITC, which remains unchanged under the new slab structure; only the underlying standard slabs (5 / 18 / 40) are retained. Separate residential realty notifications (1% / 5% without ITC for specific projects) operate in parallel and are fact specific. |
| 9954 | Composite supply of Works contract as defined in clause 119 of section 2 of CGST Act, 2017 | 18% with ITC | 18% with ITC | This is the default works contract entry under GST. General works contract services (supply of goods and services together in relation to immovable property) are taxed at 18% with ITC. The 56th Council changes have not altered this general rate; rationalisation was mainly aimed at concessional 12% variants. |
| 9954 | Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017(inserted on 14/11/2017), provided to the Central Government, State Government, Union Territory, a local authority or a governmental authority or government entity by way of construction, erection, commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration of Ð (a) a civil structure or any other original works meant predominantly for use other than for commerce, industry, or any other business or profession; (b) a structure meant predominantly for use as (i) an educational, (ii) a clinical, or(iii) an art or cultural establishment; or (c) a residential complex predominantly meant for self-use or the use of their employees or other persons specified in paragraph 3 of the Schedule III of the Central Goods and Services Tax Act, 2017. | 12% with ITC | 18% with ITC | This is one of the concessional Government works contract entries that historically enjoyed a 12% rate where the structures were predominantly for non business use (schools, hospitals, art / cultural centres, self use staff housing etc.). Under the rationalisation, these 12% works contracts for Government projects are aligned to the standard 18% slab. Practically: old concessional projects at 12% now move to 18% with ITC for supplies made on or after 22 Sep 2025; existing contracts may need contract specific analysis for rate transition. |
| 9954 | Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017, involving predominantly earth work (that is, constituting more than 75 per cent. of the value of the works contract) provided to the Central Government, State Government, Union territory, local authority, a Governmental Authority or a Government Entity. | 12% with ITC | 18% with ITC | Earthwork heavy Government works contracts under this entry previously attracted a concessional 12% rate when more than 75% of the contract value was earth work. The 56th Council specifically picked up high earthwork contracts in the construction sector rationalisation and moved them to 18% with ITC, removing the 12% slab for this category. So for this line, your sheet should clearly show 12% → 18% and explain that the concessional slab has been withdrawn. |
| 9954 | Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017(inserted on 14/11/2017), provided to the Central Government, State Government, Union Territory, a local authority or a governmental authority or government entity by way of construction, erection,commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration of Ð (a) a civil structure or any other original works meant predominantly for use other than for commerce, industry, or any other business or profession; (b) a structure meant predominantly for use as (i) an educational, (ii) a clinical, or(iii) an art or cultural establishment; or (c) a residential complex predominantly meant for self-use or the use of their employees or other persons specified in paragraph 3 of the Schedule III of the Central Goods and Services Tax Act, 2017. Explanation (inserted on 27/07/2018) :- “Explanation. – For the purposes of this item, the term ‘business’ shall not include any activity or transaction undertaken by the Central Government, a State Government or any local authority in which they are engaged as public authorities.”. | 12% with ITC | 18% with ITC | This is the same core concessional entry as the earlier “non commercial Govt works contracts” line, expanded with an Explanation to clarify that certain Government activities as public authorities are not treated as “business”. The rate evolution is the same: historically 12% with ITC, now rationalised to 18% with ITC from 22 Sep 2025 onward. The Explanation only refines which projects qualify; it does not change the new 18% rate. |
| 9954 | Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017, supplied to the Central Government, State Government, Union territory, a local authority, a Governmental Authority or a Government Entity by way of construction, erection, commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration of, – (a) a historical monument, archaeological site or remains of national importance, archaeological excavation, or antiquity specified under the Ancient Monuments and Archaeological Sites and Remains Act, 1958 (24 of 1958); (b) canal, dam or other irrigation works; (c) pipeline, conduit or plant for (i) water supply (ii) water treatment, or (iii) sewerage treatment or disposal. | 12% with ITC | 18% with ITC | Composite supply of works contract to Central / State Govt, UT, local authority, Governmental Authority or Government Entity covering (a) notified historical monuments and archaeological sites, (b) canals, dams and irrigation works, and (c) pipelines, conduits or plants for water supply, water treatment or sewerage treatment / disposal. Earlier this sat in a concessional 12% slab; under rationalisation it aligns to the standard 18% works contract rate for supplies on or after 22 Sep 2025. |
| 9954 | Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017, supplied by way of construction, erection, commissioning, installation, completion, fitting out, repair, maintenance, renovation, or alteration of,- (a) a road, bridge, tunnel, or terminal for road transportation for use by general public; (b) a civil structure or any other original works pertaining to a scheme under Jawaharlal Nehru National Urban Renewal Mission or Rajiv Awas Yojana; (c) a civil structure or any other original works pertaining to the “ln-situ redevelopment of existing slums using land as a resource, under the Housing for All (Urban) Mission/ Pradhan Mantri Awas Yojana (Urban);’;(substituted on 25/01/2018) (d) a civil structure or any other original works pertaining to the ÒBeneficiary led individual house construction / enhancementÓ under the Housing for All (Urban) Mission/Pradhan Mantri Awas Yojana; (e) a pollution control or effluent treatment plant, except located as a part of a factory; or (f) a structure meant for funeral, burial or cremation of deceased. | 12% with ITC | 18% with ITC | Covers composite works contracts for: (a) roads, bridges, tunnels, road terminals for public use; (b) civil structures under JNNURM / Rajiv Awas Yojana; (c) in-situ slum redevelopment under Housing for All / PMAY(U); (d) beneficiary-led individual house construction / enhancement under Housing for All (Urban) / PMAY(U); (e) pollution control / effluent treatment plants, except when part of a factory; (f) funeral, burial or cremation structures. All of these enjoyed a 12% concessional rate which is now moved to 18% with ITC. |
| 9954 | Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017, supplied by way of construction, erection, commissioning, or installation of original works pertaining to,- (a) railways, excluding(including substituted from 25/01/2018) monorail and metro; (b) a single residential unit otherwise than as a part of a residential complex; (c) low-cost houses up to a carpet area of 60 square metres per house in a housing project approved by competent authority empowered under the ‘Scheme of Affordable Housing in Partnership’ framed by the Ministry of Housing and Urban Poverty Alleviation, Government of India; (d) low cost houses up to a carpet area of 60 square metres per house in a housing project approved by the competent authority under- (1) the ÒAffordable Housing in PartnershipÓ component of the Housing for All (Urban) Mission/Pradhan Mantri Awas Yojana; (2) any housing scheme of a State Government; (e) post-harvest storage infrastructure for agricultural produce including a cold storage for such purposes; or (f) mechanised food grain handling system, machinery or equipment for units processing agricultural produce as food stuff excluding alcoholic beverages. | 12% with ITC | 18% with ITC | Composite works contracts for: (a) railways including monorail and metro; (b) a single residential unit not forming part of a residential complex; (c) low-cost houses up to 60 sq. m in specified approved housing projects; (d) low-cost houses up to 60 sq. m in housing schemes under PMAY(U) / State schemes; (e) post-harvest storage infrastructure including cold storage; (f) mechanised food grain handling systems and equipment for units processing agricultural produce as food (excluding alcoholic beverages). All of these were at 12% with ITC and now stand at 18% with ITC as the concessional 12% slab has been removed. |
| 9954 | ‘(da) a civil structure or any other original works pertaining to the “Economically Weaker Section (EWS) houses” constructed under the Affordable Housing in partnership by State or Union territory or local authority or urban development authority under the Housing for All (Urban) Mission/ Pradhan Mantri Awas Yojana (Urban); | 12% with ITC | 18% with ITC | This is a specific limb for civil structures or original works related to Economically Weaker Section (EWS) houses under the Affordable Housing in Partnership component of Housing for All (Urban) / PMAY(U). It shared the same 12% concessional rate as other affordable housing works contracts and is now aligned to 18% with ITC for post-22 Sep 2025 supplies. |
| 9954 | a civil structure or any other original works pertaining to the “houses constructed or acquired under the Credit Linked Subsidy Scheme for Economically Weaker Section (EWS)/ Lower Income Group (LIG)/ Middle Income Group-1 (MlG-1)/ Middle Income Group-2 (MlG-2)” under the Housing for All (Urban) Mission/ Pradhan Mantri Awas Yojana (Urban);’; | 12% with ITC | 18% with ITC | Covers civil structures / original works relating to houses constructed or acquired under the Credit Linked Subsidy Scheme (CLSS) for EWS, LIG, MIG-1 and MIG-2 under PMAY(U). Previously taxed at 12% with ITC as a targeted housing concession; now shifted to the standard 18% works contract rate as part of the rationalisation. |
| 9954 | a building owned by an entity registered under section 12AA of the Income Tax Act, 1961 (43 of 1961), which is used for carrying out the activities of providing, centralised cooking or distribution, for mid-day meals under the mid-day meal scheme sponsored by the Central Government, State Government, Union territory or local authorities.”; | 12% with ITC | 18% with ITC | Applies where the building is owned by an entity registered under section 12AA of the Income Tax Act and is used to provide centralised cooking / distribution for mid-day meals under Government-sponsored schemes. It was specifically granted a 12% concessional works contract rate; under GST 2.0 service rationalisation this moves to 18% with ITC. |
| 9954 | low-cost houses up to a carpet area of 60 square metres per house in an affordable housing project which has been given infrastructure status vide notification of Government of India, in Ministry of Finance, Department of Economic Affairs vide F. No. 13/6/2009-INF, dated the 30th March,2017;”; | 12% with ITC | 18% with ITC | This covers low-cost houses up to 60 sq. m carpet area in an affordable housing project which has been granted infrastructure status via the specified Ministry of Finance notification. Again, this was a 12% concessional works contract line and is now standardised to 18% with ITC. |
| 9954 | (ix) Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017 provided by a sub-contractor to the main contractor providing services specified in item (iii) or item (vi) above to the Central Government, State Government, Union territory, a local authority, a Governmental Authority or a Government Entity. Provided that where the services are supplied to a Government Entity, they should have been procured by the said entity in relation to a work entrusted to it by the Central Government, State Government, Union territory or local authority, as the case may be. | 12% with ITC | 18% with ITC | This entry extends the same concessional rate to a sub-contractor providing works contract services to the main contractor, where the main contractor is providing eligible services under item (iii) or (vi) to Govt / LA / Governmental Authority / Government Entity and, in case of Government Entities, the work is in relation to a function entrusted by Govt / LA. Old rate followed the principal 12% concessional slab; after rationalisation these sub-contracts also move to 18% with ITC. |
| 9954 | (x) Composite supply of works contract as defined in clause (119) of section 2 of the Central Goods and Services Tax Act, 2017 provided by a sub-contractor to the main contractor providing services specified in item (vii) above to the Central Government, State Government, Union territory, a local authority, a Governmental Authority or a Government Entity. Provided that where the services are supplied to a Government Entity, they should have been procured by the said entity in relation to a work entrusted to it by the Central Government, State Government, Union territory or local authority, as the case may be. | 12% with ITC | 18% with ITC | Similar to the previous entry but linked to item (vii). Sub-contract works contract services supplied to the main contractor (who is providing eligible concessional works contract services under item (vii) to Govt / LA / Governmental Authority / Government Entity) inherited the 12% concessional rate earlier. With the withdrawal of 12% as a standard services slab, these sub-contract supplies now follow the new standard 18% works contract rate with ITC, subject to transition rules for on-going contracts. |
| 9954 | (xi) Services by way of housekeeping, such as plumbing, carpentering, etc. where the person supplying such service through electronic commerce operator is not liable for registration under subsection (1) of section 22 of the Central Goods and Services Tax Act, 2017 | 18% with ITC | 18% with ITC | The underlying housekeeping services (plumbing, carpentering, small repair etc.) are standard service supplies at 18% with ITC. The special point here is who pays the tax. When such services are supplied through a notified electronic commerce operator and the individual supplier is below the registration threshold, the ECO is treated as the supplier and pays 18% under section 9(5). The service itself is not exempt; it has always been taxable at 18% both before and after GST 2.0. |
| 995411 | Construction services of single dwelling or multi dwelling or multi-storied residential buildings | 18% with ITC | 18% with ITC | For SAC 995411, sectoral summaries explicitly note 18 percent as the construction service rate, while separate notifications prescribe concessional 1.5 percent, 5 percent or 7.5 percent without ITC for specified residential housing schemes. Those concessional entries are narrow and project specific, so the typical SAC wise rate is kept at 18 percent with ITC. |
| 995412 | Construction services of other residential buildings such as old age homes, homeless shelters, hostels etc | 18% with ITC | 18% with ITC | Similar to 995411, this code is shown at 18 percent in construction service overviews, with lower slabs only where housing projects meet specific scheme conditions. For a generic SAC table, 18 percent with ITC is the correct headline rate. |
| 995413 | Construction services of industrial buildings such as buildings used for production activities (used for assembly line activities), workshops, storage buildings and other similar industrial buildings | 18% with ITC | 18% with ITC | Industrial building construction under 995413 is covered by the general 9954 construction heading, which is typically taxed at 18 percent. There are no sector specific 56th Council changes targeting this line; the rationalisation discussions on works contracts focus instead on specialised offshore and high earthwork contracts. |
| 995414 | Construction services of commercial buildings such as office buildings, exhibition & marriage halls, malls, hotels, restaurants, airports, rail or road terminals, parking garages, petrol and service stations, theatres and other similar buildings. | 18% with ITC | 18% with ITC | Commercial building construction has consistently been treated as an 18 percent service; composite supplies with land follow the 18 percent with one third land abatement mechanism. No change is indicated for this SAC in the 56th Council material. |
| 995415 | Construction services of other non-residential buildings such as educational institutions, hospitals, clinics including veterinary clinics, religious establishments, courts, prisons, museums and other similar buildings | 18% with ITC | 18% with ITC | Unless covered by a specific exemption (for example, certain government or charitable projects), construction of non residential buildings under 995415 attracts 18 percent GST as a standard construction service. |
| 995416 | Construction Services of other buildings n.e.c | 18% with ITC | 18% with ITC | This residual building construction code falls under the same 99541 group. Service classification tables list 18 percent as the default rate for 9954, with concessions limited to notified categories. |
| 995419 | Services involving Repair, alterations, additions, replacements, renovation, maintenance or remodelling of the buildings covered above. | 18% with ITC | 18% with ITC | Repair and renovation of buildings are treated as works contract services and, for general commercial and residential projects, attract 18 percent. The 56th Council rationalisation did not alter this; it only pushed certain earlier 12 percent earthwork variants up to 18 percent. |
| 995421 | General construction services of highways, streets, roads, railways and airfield runways, bridges and tunnels. | 18% with ITC | 18% with ITC | Civil engineering infrastructure under 995421 is part of 99542. Earlier rate tables offered 12 percent for some government works contracts; those specific entries are now merged into 18 percent under the rationalisation. For standard B2B/B2G contracts this SAC is correctly shown at 18 percent with ITC both before and after, with certain legacy 12 percent government contracts shifting to 18. |
| 995422 | General construction services of harbours, waterways, dams, water mains and lines, irrigation and other waterworks | 18% with ITC | 18% with ITC | Port, water and irrigation projects also sit in the 99542 group. 18 percent is the normal construction service rate; only very specific government contracts enjoyed 12 percent earlier and those are now aligned to 18 percent as per the rate rationalisation notes. |
| 995423 | General construction services of long-distance underground/overland/submarine pipelines, communication and electric power lines (cables); pumping stations and related works; transformer stations and related works. | 18% with ITC | 18% with ITC | Long distance pipelines and power line construction are included in 99542; SAC wise tools show 18 percent as the working rate, even though some older notifications offered 12 percent for specific types of works contracts which the 56th Council has now rationalised to 18. |
| 995424 | General construction services of local water & sewage pipelines, electricity and communication cables & related works | 18% with ITC | 18% with ITC | Local network works remain in the standard construction slab of 18 percent. Independent SAC rate lists for 995424 show 18 percent, and there is no specific carve out for this code in the service rate change annexures. |
| 995425 | General construction services of mines and industrial plants | 18% with ITC | 18% with ITC | Mines and industrial plant construction appears with both 12 and 18 percent entries in some older rate charts depending on contract conditions. However, more recent GST 2.0 summaries and civil construction overviews treat heavy industrial construction uniformly at 18 percent, reflecting the move away from 12 percent variants. For a typical SAC wise table it is safest to show 18 percent both before and after, while noting that certain legacy 12 percent contracts have now converged to 18. |
| 995426 | General Construction services of Power Plants and its related infrastructure | 18% with ITC | 18% with ITC | Power plant and associated infrastructure construction is also treated as a standard works contract at 18 percent in current rate compilations, with the 56th Council focusing specific 12 to 18 percent changes on offshore and high earthwork contracts rather than this general power-plant SAC. |
| 995427 | General construction services of outdoor sport and recreation facilities | 18% with ITC | 18% with ITC | Construction of stadiums, sports grounds and recreation facilities under 995427 is covered by 18 percent GST as a civil construction service. Separate concessional treatment can exist for certain notified sports bodies, but these are not tied to a different SAC line. |
| 995428 | General construction services of other civil engineering works n.e.c. | 18% with ITC | 18% with ITC | Residual civil engineering construction under 995428 follows the same 18 percent pattern. Where more than 75 percent of the contract value is earthwork for government, earlier 12 percent entries have now been rationalised to 18 percent, but the SAC code remains the same. |
| 995429 | Services involving Repair, alterations, additions, replacements, renovation, maintenance or remodelling of the constructions covered above. | 18% with ITC | 18% with ITC | Repair and maintenance of civil engineering works are treated as works contracts at 18 percent. The rationalisation has only confirmed 18 percent as the single standard slab for such repairs; earlier 12 percent variants tied to special conditions migrate to 18. |
| 995431 | Demolition services | 18% with ITC | 18% with ITC | Demolition services, when taxable, are classified under 99543 and are listed with the general construction service rate of 18 percent in SAC wise compilations. |
| 995432 | Site formation and clearance services including preparation services to make sites ready for subsequent construction work, test drilling & boring & core extraction, digging of trenches. | 18% with ITC | 18% with ITC | Site formation, preparation and similar services are treated as construction related services and are mapped to 18 percent. Separate entries for more than 75 percent earthwork for government contracts have been pushed from 12 to 18 percent, so 18 remains the single operative slab post rationalisation. |
| 995433 | Excavating and earthmoving services | 18% with ITC | 18% with ITC | Excavation and earthmoving were a key focus in the 56th Council’s service rationalisation, where earlier 12 percent concessional rates for large earthwork contracts were shifted to 18 percent. For generic SAC presentation, both old and new typical rates are 18 percent, with a note that some very specific government earthwork contracts have moved formally from 12 to 18. |
| 995434 | Water well drilling services and septic system installation services | 18% with ITC | 18% with ITC | Water well drilling and septic system installation are site preparation / civil engineering services. Updated SAC wise and construction sector summaries treat these at 18 percent with ITC as standard, with no separate 56th Council line item altering this. |
| 995435 | Other site preparation services n.e.c | 18% with ITC | 18% with ITC | Residual site preparation services under 995435 follow the same pattern as 995432 and 995433, with 18 percent as the main construction rate and earlier special 12 percent earthwork variants converging upward to 18. |
| 995439 | Services involving Repair, alterations, additions, replacements, maintenance of the constructions covered above. | 18% with ITC | 18% with ITC | This covers repair and maintenance for the site preparation and similar works. As with 995429, these are treated as works contracts at 18 percent both before and after the rationalisation, with certain government related earthwork repairs moving from 12 to 18. |
| 995441 | Installation, assembly and erection services of prefabricated buildings | 18% with ITC | 18% with ITC | Prefabricated building installation falls under 99544. Building completion and erection service compilations state 18 percent as the applicable rate for such services. |
| 995442 | Installation, assembly and erection services of other prefabricated structures and constructions | 18% with ITC | 18% with ITC | Installation and erection of prefabricated structures other than full buildings are also treated as building completion or construction services at 18 percent in service wise rate listings. |
| 995443 | Installation services of all types of street furniture (e.g., bus shelters, benches, telephone booths, public toilets, etc.) | 18% with ITC | 18% with ITC | Installation of street furniture is grouped with other prefabricated structure installation in practice and is charged at 18 percent as a standard construction service. |
| 995444 | Other assembly and erection services n.e.c. | 18% with ITC | 18% with ITC | Residual assembly and erection services under 995444 attract 18 percent as part of the building completion and erection category under 9954. |
| 995449 | Services involving Repair, alterations, additions, replacements, maintenance of the constructions covered above. | 18% with ITC | 18% with ITC | Repairs and alterations related to prefabricated and assembled structures follow the works contract rule at 18 percent. No specific HSN wise rate change is flagged for this code in the 56th Council annexures. |
| 995451 | Pile driving and foundation services | 18% with ITC | 18% with ITC | Pile driving and foundation work are specialised trade construction services under 99545 and are listed at 18 percent in construction service rate overviews. They also fall within the general earthwork rationalisation, so 18 percent remains the single slab post GST 2.0. |
| 995452 | Building framing & Roof Framing services | 18% with ITC | 18% with ITC | Building framing and roof framing are part of building completion and structural work. Service compilations for construction state that 99545 series services are taxable at 18 percent. |
| 995453 | Roofing and waterproofing services | 18% with ITC | 18% with ITC | Roofing and waterproofing are classified as building completion and finishing services; standard GST rate for these services is 18 percent, confirmed by construction service guides for SAC 9954 and specifically for completion and finishing services. |
| 995454 | Concrete services | 18% with ITC | 18% with ITC | Concrete placement and related services as a construction service are taxed at 18 percent. The civil construction rationalisation does not introduce a separate slab for pure concrete services. |
| 995455 | Structural steel erection services | 18% with ITC | 18% with ITC | Structural steel erection is a specialised building trade service and follows the same 18 percent service rate as other 99545 codes in construction service rate tables. |
| 995456 | Masonry services | 18% with ITC | 18% with ITC | Masonry services are part of special trade construction. These completion and structural services are consistently shown at 18 percent, with no separate 56th Council entry altering that. |
| 995457 | Scaffolding services | 18% with ITC | 18% with ITC | Scaffolding services used in construction and maintenance works are also taxable at 18 percent under the construction services heading. |
| 995458 | Other special trade construction services n.e.c. | 18% with ITC | 18% with ITC | Residual special trades fall here; construction service rate compilations show the entire 99545 group as 18 percent, with earlier concessional entries tied only to specific government or scheme based conditions. |
| 995459 | Services involving Repair, alterations, additions, replacements, maintenance of the constructions covered above. | 18% with ITC | 18% with ITC | Repairs linked to the special trades (masonry, roofing, scaffolding etc.) follow the 18 percent works contract rate, with any earlier concessional works contract entries now rationalised up to 18 percent. |
| 995461 | Electrical installation services including Electrical wiring & fitting services, fire alarm installation services, burglar alarm system installation services. | 18% with ITC | 18% with ITC | Electrical installation and similar specialised construction services under 99546 are treated as standard taxable construction services. Service wise compilations for 9954 show 18 percent as the operative slab for these works, with concessional or Nil entries restricted to niche notified cases. |
| 995462 | Water plumbing and drain laying services | 18% with ITC | 18% with ITC | Plumbing and drain laying services are also part of specialised construction trade services and are listed within the 9954 table at the standard construction rate of 18 percent. |
| 995463 | Heating, ventilation and air conditioning equipment installation services | 18% with ITC | 18% with ITC | HVAC installation is treated as a building completion and installation service and is placed at 18 percent in construction and completion service rate tables. |
| 995464 | Gas fitting installation services | 18% with ITC | 18% with ITC | Gas fitting installation services are part of specialised building services, commonly charged at 18 percent as per service classification lists. |
| 995465 | Insulation services | 18% with ITC | 18% with ITC | Thermal and acoustic insulation works form part of building completion services. Updated construction service compilations show such completion services at 18 percent GST, with no distinct post 22 September 2025 change for this SAC. |
| 995466 | Lift and escalator installation services | 18% with ITC | 18% with ITC | Treated as standard construction installation service under 9954. Advance rulings and rate notifications confirm 18% with ITC as the applicable rate. No change notified in the 56th Council decisions. |
| 995468 | Other installation services n.e.c. | 18% with ITC | 18% with ITC | Classified under installation services in 9954. Not specifically covered in the 56th Council rate change list, so continues at the general 18% with ITC construction service rate. |
| 995469 | Services involving Repair, alterations, additions, replacements, maintenance of the installations covered above. | 18% with ITC | 18% with ITC | Repair or maintenance of installation services under 9954. No specific entry in the 56th Council Annexure for change. Continues at 18% with ITC. |
| 995471 | Glazing services | 18% with ITC | 18% with ITC | Falls under Group 99547 building completion and finishing services. Case law and consolidated construction rate tables treat building completion services uniformly at 18% with ITC. No change notified in the 56th Council decisions. |
| 995472 | Plastering services | 18% with ITC | 18% with ITC | Part of 99547 building completion and finishing services. Treated along with other building completion items at 18% with ITC. Not mentioned in the 56th Council rate change list. |
| 995473 | Painting services | 18% with ITC | 18% with ITC | Also in Group 99547 building completion and finishing services. Rate consistently taken as 18% with ITC in construction service rulings and compilations. No specific change under the 56th Council. |
| 995474 | Floor and wall tiling services | 18% with ITC | 18% with ITC | Building completion service under 99547. Standard rate 18% with ITC continues, as there is no separate change entry for this SAC in the 56th Council Annexure. |
| 995476 | Joinery and carpentry services | 18% with ITC | 18% with ITC | Classified in 99547 building completion and finishing services. General construction service rate of 18% with ITC applies before and after 22 Sep 2025. No notified change. |
| 995477 | Fencing and railing services | 18% with ITC | 18% with ITC | Another building completion service under 99547. Treated at 18% with ITC as standard construction finishing work. Not altered by 56th Council decisions. |
| 995478 | Other building completion and finishing services n.e.c. | 18% with ITC | 18% with ITC | Residual code under Group 99547 for building completion. The standard 18% with ITC construction rate applies and remains unchanged after the 56th Council meeting. |
| 995479 | Services involving Repair, alterations, additions, replacements, maintenance of the completion/finishing works covered above. | 18% with ITC | 18% with ITC | Building completion and finishing services (995471 to 995479) are taxed at 18% in general. The 56th GST Council Annexure does not list 995479, so no specific change is notified. |
Important Disclaimer
The entire content on this page has been arranged to the best of the author's understanding and is subject to periodic updates as per the law for the time being in force. The above does not constitute professional advice or a formal recommendation. While due care has been taken in preparing this content, the existence of mistakes and omissions cannot be ruled out. BUSY Infotech Private Ltd. and its associates will not be held responsible for any loss or damage arising from any inaccurate or incomplete information in this document. We recommend consulting a professional tax consultant before acting on the information contained in this piece of content.
Explore GST Rates
Explore HSN Codes
Frequently Asked Questions
-
What is SAC code 9954?
SAC 9954 is the heading for “construction services”. It covers construction, repair, alteration, demolition, civil engineering works and building completion services for residential, commercial, industrial and infrastructure projects, including roads, bridges, pipelines, power plants and related structures under various detailed sub codes.
-
What services come under SAC code 9954?
9954 includes building construction, civil engineering projects like roads, dams, canals and pipelines, industrial plant construction, power plant projects, stadiums, as well as special trade services such as foundations, masonry, roofing, plumbing, electrical works, finishing, painting, tiling and related building completion and repair services.
-
What is the GST rate for SAC code 9954 services?
GST rate depends on project type and scheme. Many stand alone construction and special trade services are taxed at 18%. However, real estate and specific works contracts can have effective rates like 1%, 5% or 12% under special notifications. You must always check project specific GST rules.
-
What is the TDS rate for SAC code 9954?
Construction and works contract payments are usually subject to TDS under section 194C. Common rates are 1% for individual or HUF contractors and 2% for others, subject to thresholds and PAN conditions. Separate TDS under GST (2% on works contract) can also apply for registered recipients.
-
How is SAC code 9954 classified under GST?
9954 is split into sub groups: building construction, non residential construction, infrastructure projects and special trade services like foundations, masonry, roofing, finishing etc. Each has its own 6 digit and 8 digit codes. Businesses pick the code closest to the actual construction or trade service they provide.
-
What are the compliance requirements for SAC code 9954?
Contractors must charge correct GST rate, mention proper SAC, maintain work orders, measurements and RA bills, issue tax invoices on milestones or completion, and report values in returns. Where TDS under GST or income tax applies, they must ensure proper deduction, payment and reconciliation for each project.
-
What is the tax rate for SAC code 9954 under GST?
There is no single uniform rate for all 9954 services. As a general rule, independent construction services are taxed at 18%, while real estate projects and specified works contracts may have concessional or special rates notified by the government. Always check current notifications and project category carefully.