Intercity Transport Services Under SAC Code 996429
Intercity transport services under this code cover other long distance passenger travel that does not fall clearly under standard bus, rail or air categories. Operators may use mixed modes or special services to connect cities and regions. Under GST, these other intercity passenger transport services are classified under SAC 996429. This SAC code and its GST rate decide how GST applies on such long distance fares. This helps passengers use mixed or special transport options when standard routes are not suitable.
Intercity Transport Services GST Rate for SAC Code 996429
Intercity transport services under SAC 996429 are treated as other long distance passenger transport services under GST. The rate and exemption position depend on the mode used and how the service is defined in the notifications.
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 996429 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 |
|---|---|---|---|---|
| 996429 | Other long-distance transportation services of passengers n.e.c. | 18% with ITC | 18% with ITC | Long distance passenger transport at this code typically taxed at 18% in practice. 56th Council changes focus on rationalising 12% slabs, not this already-standard rate. So it remains at 18% unless covered by a specific passenger exemption. |
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.
Below is a list of related 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
Intercity transport services under SAC 996429 cover other long distance passenger movement that does not fit usual bus, rail or air categories. Taxable services now generally fall in the 5 percent slab without input tax credit, with 18 percent applying to certain premium or tourism oriented models. Operators should identify the exact nature of each service, apply the appropriate GST rate on fares and keep accurate classification in GST returns. For mixed mode or bundled travel offers, it is sensible to review the latest GST guidance and consult a tax professional.
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.