--- title: "Road Maintenance Services | Professional Road Maintenance Solutions" description: "Expert road maintenance services covering compliant, reliable, and high-quality solutions tailored to your needs. SAC Code 996742." canonical: "https://busy.in/sac-code-996742/" --- # Road Maintenance under SAC Code 996742 Part of [SAC 9967: Supporting services in transport](https://busy.in/sac-code-9967/). Road maintenance services cover operating, maintaining and repairing highways, city roads and bridges so that they remain safe and usable. Service providers handle pothole repairs, resurfacing, drainage, roadside cleaning and related upkeep activities. Under GST, these highway operation and road maintenance services are classified under SAC 996742. This SAC code and its GST rate decide how GST is charged on road maintenance contracts. This helps authorities keep roads in good condition and reduce accidents and vehicle damage. ## 996742 SAC Code GST rate Road maintenance services under SAC 996742 are treated as operation and maintenance services for roads and highways under GST. Many contracts are long term and input intensive, involving materials, labour and equipment for upkeep and repairs. After the September 2025 rationalisation, most supporting transport and infrastructure operation services under these codes generally fall in the 18 percent slab with input tax credit, as they are business to business and input intensive. In limited public infrastructure or government notified cases, concessional or special treatment may apply as per the latest GST notifications. **The table below explains the current GST rate applicable to SAC code 996742 for typical supporting transport and infrastructure services.** | SAC code | Description | New GST rate (from 22 Sep 2025) | Old GST rate (till 21 Sep 2025) | Notes | | --- | --- | --- | --- | --- | | 996742 | Operation services of National Highways, State Highways, Expressways, Roads & streets; bridges and tunnel operation services. | 18% with ITC | 18% with ITC | Operation services of highways and similar infrastructure are part of road transport supporting services. For generic toll, operation and maintenance contracts, 18% with ITC is the standard rate; the 56th Council did not list a specific change for this SAC, so the typical rate stays 18%. | 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 wherever allowed. The same SAC code and rate should be applied consistently in GSTR 1 and GSTR 3B to keep GST records clear and easy to justify during scrutiny or audits. ## Practical classification guidance Transport, logistics and infrastructure businesses should select the SAC code that most closely matches the main support 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 Road maintenance services under SAC 996742 cover operation and upkeep of roads and highways. These input heavy contracts usually attract 18 percent GST with input tax credit, though certain government funded projects may have special treatment. Contractors and authorities should study contract terms, apply the correct GST rate on RA bills and reflect the same SAC in GST returns. For long term concession agreements, it is sensible to go through the latest GST notifications and take expert advice. ## Frequently asked questions ### What does SAC code 996742 cover in GST? SAC 996742 covers operation, maintenance and management services for highways, toll roads and other roads. It includes routine maintenance, repairs, toll collection operations, road safety management and other services provided under O&M contracts or concession agreements. ### Does SAC 996742 include maintenance and operation of highways and roads? Yes. Concessionaires and contractors who maintain roads, street lighting, signage, medians and related infrastructure as part of O&M arrangements classify these services under SAC 996742. It applies to both national highways and local toll or municipal roads where a service contract exists. ### What is the GST rate on road maintenance services under SAC 996742? Operation and maintenance services for roads are usually taxable at 18% under GST. However, construction of roads may be exempt or separately treated. Ongoing O&M contracts for existing roads typically bear GST, and service providers must charge tax on their periodic or milestone bills. ### Should toll road O&M contracts use SAC 996742 on invoices? Yes. Contractors managing toll collection, routine repairs and highway facilities should use SAC 996742 for their O&M bills to the concessionaire or authority. For direct toll paid by users, separate rules apply. The O&M service itself is classified as road operation and maintenance under this code. ### Is ITC available on GST paid for SAC 996742 services? Authorities or concessionaires receiving taxable O&M services can usually claim ITC on GST charged under SAC 996742, provided they themselves make taxable supplies or are eligible to take credit under their project structure. Exact eligibility may depend on contract design and whether outputs are exempt. ## Explore more ### Other SAC services under 9967 - [996711: Container Handling](https://busy.in/sac-code-996711/) - [996712: Customs Clearance](https://busy.in/sac-code-996712/) - [996713: Freight Forwarding](https://busy.in/sac-code-996713/) - [996719: Cargo Handling](https://busy.in/sac-code-996719/) - [996721: Cold Storage](https://busy.in/sac-code-996721/) - [996722: Chemical Storage](https://busy.in/sac-code-996722/) - [996729: Logistics Warehousing](https://busy.in/sac-code-996729/) - [996731: Rail Shunting](https://busy.in/sac-code-996731/) - [996739: Rail Logistics](https://busy.in/sac-code-996739/) - [996741: Passenger Transport](https://busy.in/sac-code-996741/) - [996743: Car Parking](https://busy.in/sac-code-996743/) - [996744: Car Towing Service](https://busy.in/sac-code-996744/) - [996749: Roadside Assistance](https://busy.in/sac-code-996749/) - [996751: Port Operation](https://busy.in/sac-code-996751/) - [996752: Pilotage](https://busy.in/sac-code-996752/) - [996753: Marine Rescue](https://busy.in/sac-code-996753/) - [996759: Marine Support](https://busy.in/sac-code-996759/) - [996761: Airport Management](https://busy.in/sac-code-996761/) - [996762: Atc](https://busy.in/sac-code-996762/) - [996763: Airport Assistance](https://busy.in/sac-code-996763/) - [996764: Space Mission](https://busy.in/sac-code-996764/) - [996791: Road Transport](https://busy.in/sac-code-996791/) - [996792: Goods Transport](https://busy.in/sac-code-996792/) - [996793: Cargo Delivery Service](https://busy.in/sac-code-996793/) - [996799: Cargo Handling](https://busy.in/sac-code-996799/) ### 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/)