City Transport Services Under SAC Code 996419
City transport services cover moving passengers within and around towns and cities using buses, mini buses, shared vans and similar vehicles. Operators run services on fixed or semi fixed routes so that people can travel for work, study and daily needs. Under GST, such local and suburban city transport services are classified under SAC 996419. This SAC code and its GST rate decide how GST applies on taxable city fares.
City Transport Services GST Rate for SAC Code 996419
City transport services under SAC 996419 are treated as passenger transport services under GST. Basic public transport by certain modes can be exempt, while other city services are taxable at notified rates based on how the service is structured.
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, charter or tourism oriented services can attract 18 percent with input tax credit. The exact rate and conditions depend on the latest GST notifications for each category.
The table below shows the latest standard GST rate for SAC code 996419 where the service is taxable.
| Code | Description | Old GST Rate (till 21 Sep 2025) |
New GST Rate (from 22 Sep 2025) |
Notes on change / inclusions |
|---|---|---|---|---|
| 996419 | Other local transportation services of passengers n.e.c. | 5% without ITC or 12% with ITC | 5% without ITC or 18% with ITC | Residual local passenger transport codes. For taxable services, the earlier 5% / 12% pattern is rationalised to 5% / 18%, with ITC availability linked to the chosen slab and notification wording. |
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 applied in GSTR 1 and GSTR 3B for outward supplies, and exempt services should be reported correctly wherever required.
Explore Other SAC Codes Under 9964
This SAC code is part of the passenger transport services group 9964, which covers local and long distance transport by road, rail, water and air, along with certain tourism and charter services. The six digit SAC codes under this group help separate city services, taxi services, intercity travel, ferries and sightseeing tours for GST reporting.
The list below highlights key six-digit SAC codes under 9964
Passenger transport operators should choose the SAC code that best matches the main type of service they provide. 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 clear tax trail and make GST returns easier to explain during scrutiny or audits.
Conclusion
City transport services under SAC 996419 cover local and suburban passenger movement within towns and cities using buses and similar vehicles. Taxable services now broadly follow the 5 percent GST slab without input tax credit, with 18 percent applying to certain premium or tourism models. Operators and authorities should identify which routes or services are exempt or taxable, apply the correct GST treatment on tickets and keep proper records in GST returns. For mixed or special service models, it is wise to review the latest GST circulars and seek expert advice.
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.