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 996812 for typical postal, courier or local delivery services.