---
title: "Postal Services | Professional Postal Solutions"
description: "Expert postal services covering compliant, reliable, and high-quality solutions tailored to your needs. SAC Code 996811."
canonical: "https://busy.in/sac-code-996811/"
---

# Postal under SAC Code 996811

Part of [SAC 9968: Postal & courier services](https://busy.in/sac-code-9968/).

Postal services cover mail, parcel and mailbox services used for sending letters, documents and small parcels. Operators provide collection, sorting, transmission and delivery of mail across cities and villages. Under GST, these postal and mailbox services are classified under SAC 996811. This SAC code and its GST rate decide how GST is charged on postal service charges outside statutory exemptions.  This helps individuals and businesses send important mail safely across long distances.

## 996811 SAC Code GST rate

Postal, courier and local delivery services under these codes are treated as mail and courier services under GST. Basic postal services by the government post office may have specific exemptions, but most commercial courier and parcel services are taxable.

After the September 2025 rationalisation, commercial courier and parcel delivery services are generally taxed at 18 percent with input tax credit, as they are business services that use vehicles, hubs and technology systems. Only those services that fall under a specific exemption, such as certain basic postal services, follow a different treatment.

The table below explains the current GST rate applicable to SAC code 996811 for typical postal, courier or local delivery services.

| SAC code | Description | New GST rate (from 22 Sep 2025) | Old GST rate (till 21 Sep 2025) | Notes |
| --- | --- | --- | --- | --- |
| 996811 | Postal services including post office counter services, mailbox rental services. | 18% with ITC | 18% with ITC | Standard taxable postal services (like counter services, P.O. box rentals, some agency functions) are at 18% with ITC. Core sovereign postal activities (basic mail, money orders etc. by the Department of Posts) continue to be covered by specific exemptions; those remain outside GST and are not affected by the 56th meeting changes. (Razorpay) |

When issuing courier or delivery invoices under this SAC code, service providers should show the freight or service charge, the 18 percent GST rate and tax amount clearly. Business customers can then claim input tax credit wherever eligible and keep the same SAC and rate in GSTR 1 and GSTR 3B. This helps make GST reporting smooth for both service provider and client.

## Practical classification guidance

Service providers should identify whether they are offering basic statutory postal services, commercial courier or local delivery and then choose the appropriate SAC. Using the correct SAC and GST rate helps businesses pass on the right tax to customers, claim input tax credit correctly and handle GST audits more smoothly.

## Conclusion

Postal services under SAC 996811 cover mail and parcel handling beyond basic statutory postal exemptions. Most commercial and value added postal services are taxed at 18 percent with input tax credit. Postal operators should separate exempt statutory services from taxable value added services, apply the correct GST rate on each and maintain clear records in GST returns. For mixed service models, it is wise to check the latest GST notifications and seek expert advice.

## Frequently asked questions

### What does SAC code 996811 cover in GST?

SAC 996811 covers postal and mail services, including mail delivery, post box rental, registered post and related services. It applies mainly to postal operators providing these services to the public and businesses, whether through government post offices or authorised postal agencies.

### Does SAC 996811 include postal, mail delivery and mailbox rental services?

Yes. Ordinary mail delivery, speed post, post office box rental and similar services can fall under SAC 996811. Some services of the Department of Posts are specifically exempt or treated differently under GST, while others are taxable, depending on government notifications.

### Which postal services under SAC 996811 are exempt from GST?

Core postal services by the Department of Posts, such as basic mail services to the public, are generally exempt. However, agency services like speed post, express parcel, business post and other commercial services are usually taxable. Exact exemptions must be checked in current GST exemption notifications.

### What GST rate applies to taxable postal services under SAC 996811?

Taxable postal and mail services, such as speed post or business parcel services, usually attract 18% GST. The rate is charged on service fees for these commercial services, while exempt basic services continue to remain outside the GST net as per government notifications.

### Can business customers claim ITC on taxable SAC 996811 services?

Yes. When businesses pay GST on taxable postal services used for their operations, they can normally claim ITC, subject to eligibility and documentation. They must ensure that invoices show GST clearly and that these services support their taxable or zero rated outward supplies.

## Explore more

### Other SAC services under 9968

- [996812: Courier](https://busy.in/sac-code-996812/)
- [996813: Local Courier](https://busy.in/sac-code-996813/)
- [996819: Delivery](https://busy.in/sac-code-996819/)

### 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/)