Chemical Storage Services Under SAC Code 996722
Chemical storage services cover safe storage of chemicals, industrial liquids, gases and hazardous materials in dedicated tanks, warehouses and terminals. Operators follow strict safety, segregation and environment norms while handling these products. Under GST, such chemical and hazardous goods storage services are classified under SAC 996722. This SAC code and its GST rate decide how GST is charged on storage fees. This helps industries store risky materials safely while meeting regulatory requirements.
Chemical Storage Services GST Rate for SAC Code 996722
Chemical storage services under SAC 996722 are treated as storage and warehousing of hazardous and industrial goods under GST. These services are generally taxable because they are input intensive and risk heavy activities.
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 996722 for typical supporting transport and warehousing services.
| Code | Description | Old GST Rate (till 21 Sep 2025) |
New GST Rate (from 22 Sep 2025) |
Notes on change / inclusions |
|---|---|---|---|---|
| 996722 | Bulk liquid or gas storage services | 18% with ITC | 18% with ITC | Storage and warehousing under 99672 is treated as supporting services in transport. Classification annexure and rate notification link this group to the standard supporting services entry which is at 18% with ITC; the 56th Council changes do not specifically re-rate this code, so the rate continues unchanged for typical taxable cases. |
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.
Explore Other SAC Codes Under 9967
This SAC code is part of the supporting services in transport group 9967, which covers cargo handling, customs clearance, freight forwarding, storage, warehousing and other logistics support services. The six digit SAC codes under this group help split different logistics functions for better GST classification.
Below is a list of related six-digit SAC codes under 9967
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
Chemical storage services under SAC 996722 cover storage of chemicals and hazardous materials. These input intensive services are usually taxed at 18 percent with input tax credit. Terminal operators and industrial users should frame contracts with clear GST clauses, apply the proper rate on storage invoices and maintain detailed safety and tax records. For cross border or bonded storage, it is sensible to study the latest GST rules 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.