Car Towing Service Services Under SAC Code 996744
Car towing services cover towing, lifting and recovering broken down or wrongly parked vehicles from roads and accident spots. Service providers use tow trucks, cranes and recovery equipment to move vehicles safely to yards or workshops. Under GST, these car towing and recovery services are classified under SAC 996744. This SAC code and its GST rate decide how GST is charged on towing bills.
Car Towing Service Services GST Rate for SAC Code 996744
Car towing services under SAC 996744 are treated as supporting road transport and safety services under GST. Towing charges collected by private operators or agencies are taxable as a service supplied to vehicle owners, insurers or authorities.
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 996744 for typical supporting transport and infrastructure services.
| Code | Description | Old GST Rate (till 21 Sep 2025) |
New GST Rate (from 22 Sep 2025) |
Notes on change / inclusions |
|---|---|---|---|---|
| 996744 | Towing services for commercial and private vehicles | 18% with ITC | 18% with ITC | Towing services fall under road transport supporting services. Standard rate 18% with ITC applies and remains unchanged; the multiple slab listing in some charts reflects special exemption notes but not a different general slab after GST 2.0. |
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.
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, passenger facilities, marine support and airport and port operations. The six digit SAC codes under this group help split different support functions for accurate GST classification.
Below is a list of related six-digit SAC codes under 9967
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
Car towing services under SAC 996744 cover towing and recovery of vehicles from roads and accident locations. These services usually attract 18 percent GST with input tax credit for eligible users. Towing operators, insurers and agencies should agree clearly on billing structure, apply the correct GST rate on towing charges and maintain proper documentation in GST returns. For government mandated towing schemes, it is sensible to review the latest GST guidance.
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.