Customs Clearance Under SAC Code 996712

Customs clearance services cover preparing documents, filing declarations and coordinating with customs offices so that import and export cargo can be cleared smoothly. Licensed agents and consultants help businesses meet legal and procedural requirements at ports and airports. Under GST, these customs clearance and CHA services are classified under SAC 996712. This SAC code and its GST rate decide how GST is charged on clearance fees.  This helps importers and exporters avoid delays, penalties and confusion at customs points.

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996712 SAC Code GST Rate

Review old and new GST rates for Customs Clearance under 996712 SAC Code.

Customs clearance services under SAC 996712 are treated as supporting services in transport and trade under GST. Historically, these services have been taxable as professional and agency services linked to import and export operations.

After the September 2025 rationalisation, most supporting transport services and warehousing services under these codes generally fall in the 18 percent slab with input tax credit, as they are business focused and input intensive. Certain cold storage services for specified agricultural produce or essential goods may have concessional or exempt treatment as per the latest notifications.

The table below explains the current GST rate applicable to SAC code 996712 for typical supporting transport and warehousing services.

SAC Code

996712

Description

Customs House Agent services

New Rate

18 %
Standard

Old Rate

18 %

Notes

Customs brokerage / CHA services continue to be taxed at 18% with ITC. These are not in the concessional 5% bucket nor in the 12%-to-18% movement list, so there is effectively no rate change across the cut-over date.

When issuing invoices under this SAC code, service providers should clearly show the service value, the GST rate and tax amount so that clients can book the expense and claim input tax credit correctly. The same SAC code and rate should be used consistently in GSTR 1 and GSTR 3B to keep GST records clear and easy to justify during assessment.

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Explore More SAC Codes Under 9967

Practical Classification Guidance

Logistics and warehousing businesses should select the SAC code that most closely matches the main service they provide. Using the correct SAC and applying the 18 percent GST slab with input tax credit, or any concessional treatment where notified, helps avoid disputes and keeps the input tax credit trail clean for both service providers and customers.

Conclusion

Customs clearance services under SAC 996712 cover document preparation, filing and coordination work at customs. These services are usually taxed at 18 percent with input tax credit because they are professional and agency services. CHA firms and their clients should agree clearly on billing structure, apply the correct GST rate on service fees and maintain proper records in GST returns. For high value or multi country chains, it is sensible to study the latest GST rules and seek expert advice.

Frequently Asked Questions

Clear answers to common queries about SAC Code 996712 and GST compliance.

What is SAC code 996712 in GST for customs clearance?

SAC 996712 covers customs clearance and related services provided by customs house agents or customs brokers. It includes filing bills of entry, shipping bills, documentation, duty calculation assistance, coordination with customs and other formalities for import and export consignments at ports, airports and land customs stations.

Does SAC 996712 cover CHA and customs house agent services for import-export?

Yes. Services given by licensed CHAs or customs brokers to clear goods through customs are classified under SAC 996712. This includes documentation, examination coordination, duty payment facilitation and related liaison for importers and exporters, even when combined with some advisory or basic logistics coordination.

What GST rate applies to customs clearance services under SAC 996712?

Customs clearance and CHA services are generally taxable at 18% under GST. The rate applies on the service fee charged by the agent, not on customs duty itself. Agents must charge GST on their professional charges, filing fees and service components mentioned in the tax invoice.

Should brokers use SAC 996712 for filing and clearance charges?

Yes. Customs brokers and CHAs should mention SAC 996712 on invoices raised for clearance services. If they also provide freight or warehousing, those may carry separate SAC codes. Clear classification helps clients in claiming input tax credit and simplifies reporting in GST returns for both parties.

Can exporters and importers claim ITC on SAC 996712 services?

Importers and exporters using CHA services for business can normally claim ITC on GST charged under SAC 996712, provided exports or onward supplies are taxable or zero rated. Proper invoices and correct GSTIN details are important. ITC on customs duties themselves is not available, only on service GST.

Important Disclaimer

The above does not constitute professional advice or a formal recommendation. We recommend consulting a professional tax consultant before acting on the information contained in this piece of content.