---
title: "Sightseeing Boat Tours Services | Professional Sightseeing Boat Tours Solutions"
description: "Expert sightseeing boat tours services covering compliant, reliable, and high-quality solutions tailored to your needs. SAC Code 996416."
canonical: "https://busy.in/sac-code-996416/"
---

# Sightseeing Boat Tours under SAC Code 996416

Part of [SAC 9964: Passenger transport services](https://busy.in/sac-code-9964/).

Sightseeing boat tours cover leisure and tourism trips by boat where passengers are taken on fixed routes to view rivers, lakes, coasts or city waterfronts. Operators may include commentary, entertainment and light refreshments as part of the package. Under GST, these sightseeing boat and similar tours are classified under SAC 996416. This SAC code and its GST rate decide how much GST is charged on sightseeing tour tickets.

## 996416 SAC Code GST rate

Sightseeing boat tours under SAC 996416 are treated as tourism oriented passenger transport or tour services under GST. These services are typically taxable as they provide leisure and tourism experiences rather than basic public transport.

After the September 2025 rationalisation, taxable passenger transport services under these codes generally fall in the 5 percent slab without input tax credit for standard transport models, while certain premium or tourism oriented services can attract 18 percent with input tax credit. The exact treatment depends on the type of service, contract structure and specific government notifications.

**The table below shows the latest standard GST rate for SAC code 996416 where the service is taxable.**

| SAC code | Description | New GST rate (from 22 Sep 2025) | Old GST rate (till 21 Sep 2025) | Notes |
| --- | --- | --- | --- | --- |
| 996416 | Sightseeing transportation services by rail, land, water & air | 5% without ITC or 18% with ITC | 5% without ITC or 12% with ITC | Tourist / sightseeing transport adopts the same dual structure. The higher ITC-eligible rate increases from 12% to 18%; the concessional 5% option is retained for eligible cases. |

When issuing invoices for taxable passenger transport services under this SAC code, operators should clearly show the fare, the GST rate and the tax amount so that passengers and corporate clients understand the charge. The same SAC code and rate should be used in GSTR 1 and GSTR 3B for outward supplies, and exempt services should be reported correctly wherever required.

## Practical classification guidance

Passenger transport operators should use the SAC code that most accurately describes the main type of service offered. Correct SAC selection and correct use of 5 percent or 18 percent GST slabs, along with exemption rules where applicable, help reduce disputes, maintain a clean tax trail and make GST returns easier to explain during scrutiny or audits.

## Conclusion

Sightseeing boat tours under SAC 996416 cover leisure and tourism trips by boat for viewing rivers, lakes and waterfronts. These services are typically taxable, now generally falling in the 5 percent slab without input tax credit for standard sightseeing and 18 percent with input tax credit for certain premium or package tours. Operators should classify their tours correctly, apply the proper GST rate on tickets and keep the same classification in GST returns. For multi service tourism packages, it is sensible to go through the latest GST notifications and consult a tax professional.

## Frequently asked questions

### What does SAC code 996416 cover in GST?

SAC 996416 covers sightseeing tour services by boat, rail, road or air. It includes organised city tours, heritage rides, safari buses, river cruises and similar trips where the main aim is sightseeing or leisure, rather than simply moving passengers from one point to another.

### Does SAC 996416 include sightseeing tours by boat, rail, land and air?

Yes. Sightseeing tours using buses, jeeps, small trains, boats, helicopters or small aircraft can all be grouped under SAC 996416 when the service is packaged as a tour. The focus is on the experience, commentary and planned stops, not just basic passenger transport from A to B.

### What is the GST rate on sightseeing tour services under SAC 996416?

Sightseeing tours are normally treated as taxable tourism services, often attracting 5% or 18% GST depending on structure and option chosen. Tour operator specific rules may apply where the operator provides a package that includes transport, guide services, entry tickets and sometimes meals or accommodation.

### Should packaged city sightseeing trips use SAC 996416 on invoices?

Yes. When a company offers fixed route city tours or sightseeing packages, it should mention SAC 996416 on invoices. This clearly identifies the service as a sightseeing tour instead of ordinary transport, which helps in applying the correct GST rules for tour operators and tourism services.

### Is ITC allowed on GST paid for SAC 996416 services?

Tour operators paying GST at lower rates without ITC cannot usually claim credit on related inputs. Where they pay tax under a scheme that allows ITC, they can claim credit on eligible expenses like vehicle repair, fuel linked services, marketing and other input services used for the tours.

## Explore more

### Other SAC services under 9964

- [996411: Local Transport](https://busy.in/sac-code-996411/)
- [996412: Taxi](https://busy.in/sac-code-996412/)
- [996413: Bus Charter](https://busy.in/sac-code-996413/)
- [996414: Passenger Transport](https://busy.in/sac-code-996414/)
- [996415: Ferry](https://busy.in/sac-code-996415/)
- [996419: City Transport](https://busy.in/sac-code-996419/)
- [996421: Rail Transport](https://busy.in/sac-code-996421/)
- [996422: Intercity Bus](https://busy.in/sac-code-996422/)
- [996423: Local Taxi](https://busy.in/sac-code-996423/)
- [996424: Cruise Ship](https://busy.in/sac-code-996424/)
- [996425: Passenger Air Transport](https://busy.in/sac-code-996425/)
- [996426: International Charter Flights](https://busy.in/sac-code-996426/)
- [996427: Commercial Space Travel](https://busy.in/sac-code-996427/)
- [996429: Intercity Transport](https://busy.in/sac-code-996429/)

### All SAC headings

- [99: All Services Accounting](https://busy.in/sac-code-99/)
- [9954: Services in building & construction](https://busy.in/sac-code-9954/)
- [9961: Services in wholesale trade](https://busy.in/sac-code-9961/)
- [9962: Services in retail trade](https://busy.in/sac-code-9962/)
- [9963: Accommodation, food & beverage services](https://busy.in/sac-code-9963/)
- [9964: Passenger transport services](https://busy.in/sac-code-9964/)
- [9965: Goods transport services](https://busy.in/sac-code-9965/)
- [9966: Rental services of transport vehicles](https://busy.in/sac-code-9966/)
- [9967: Supporting services in transport](https://busy.in/sac-code-9967/)
- [9968: Postal & courier services](https://busy.in/sac-code-9968/)
- [9969: Electricity, gas & water supply services](https://busy.in/sac-code-9969/)
- [9971: Financial & related services](https://busy.in/sac-code-9971/)
- [9972: Real estate services](https://busy.in/sac-code-9972/)
- [9973: Leasing or rental services](https://busy.in/sac-code-9973/)
- [9981: Research & development services](https://busy.in/sac-code-9981/)
- [9982: Legal & accounting services](https://busy.in/sac-code-9982/)
- [9983: Professional, technical & business services](https://busy.in/sac-code-9983/)
- [9984: Telecommunications & broadcasting supply services](https://busy.in/sac-code-9984/)
- [9985: Support services to business](https://busy.in/sac-code-9985/)
- [9986: Support services to agriculture, hunting, forestry & more](https://busy.in/sac-code-9986/)
- [9987: Maintenance, repair & installation services](https://busy.in/sac-code-9987/)
- [9988: Manufacturing services on physical inputs](https://busy.in/sac-code-9988/)
- [9989: Services in publishing, printing & bookbinding](https://busy.in/sac-code-9989/)
- [9991: Public administration & other services](https://busy.in/sac-code-9991/)
- [9992: Education services](https://busy.in/sac-code-9992/)
- [9993: Human health & social care services](https://busy.in/sac-code-9993/)
- [9994: Sewage & waste collection](https://busy.in/sac-code-9994/)
- [9995: Services of membership organizations](https://busy.in/sac-code-9995/)
- [9996: Recreational, cultural & sporting services](https://busy.in/sac-code-9996/)
- [9997: Other Services](https://busy.in/sac-code-9997/)