Financial Services Under SAC Code 997119
Other financial services cover fee based activities that do not fall under standard deposit or loan products. Examples include advisory, custodial services, arrangement fees and other specialised financial support for customers. Under GST, these miscellaneous financial services are classified under SAC 997119. This SAC code and its GST treatment decide how GST is charged on these specialised financial service fees. These services often support complex financial decisions for both retail and corporate clients.
Financial Services GST Rate for SAC Code 997119
Equipment leasing, miscellaneous financial and investment banking services under these codes are treated as financial services under GST. The taxable part is mainly fee based income, rentals and advisory charges collected from customers, while interest like elements may have separate treatment.
After the September 2025 rationalisation, taxable financial service charges that are not specifically exempt are generally kept in the 18 % slab with input tax credit for registered recipients. Banks, leasing companies and investment banks therefore need to separate taxable fees and rentals from exempt interest components and apply GST only on the taxable portion.
The table below explains the prevailing GST treatment for SAC code 997119, highlighting the standard 18 % rate on taxable financial service charges.
| Code | Description | Old GST Rate (till 21 Sep 2025) |
New GST Rate (from 22 Sep 2025) |
Notes on change / inclusions |
|---|---|---|---|---|
| 997119 | Other financial services (except investment banking, insurance services and pension services) | 18% with ITC | 18% with ITC | This residual bucket for financial services (forex services, transaction processing, advisory etc.) is consistently shown at 18% with ITC. No specific “from–to” change for this code appears in the 56th Council a |
Financial institutions using this SAC code should clearly show processing fees, advisory charges or lease rentals on invoices, mention the GST rate in % and tax amount and reflect the same classification in GSTR 1 and GSTR 3B. This helps customers claim input tax credit correctly on eligible charges and keeps GST scrutiny smoother for both sides.
Explore Other SAC Codes Under 9971
These SAC codes sit inside the financial and insurance services group 9971, which covers central banking, deposit services, credit granting, investment banking and various life and non life insurance products. Each six digit SAC identifies a specific set of financial or insurance activities for GST reporting.
Below are the major related six-digit SAC codes under parent 9971
Banks, NBFCs, insurers and intermediaries should map each product to the correct SAC, checking whether the income is fee based and taxable or interest or risk cover that may have special treatment. Proper SAC selection and correct GST rate application in % reduce disputes, help customers claim input tax credit on eligible charges and keep GST returns easier to justify during audits.
Conclusion
Other financial services under SAC 997119 cover specialised fee based financial support that does not fit standard deposit or loan categories. These charges are normally taxable at 18 % with input tax credit for eligible customers. Financial institutions should identify such fee income clearly, apply SAC 997119 and the correct GST rate in %, and maintain consistent reporting in GST returns so that there is no confusion during audits or assessments.
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.