Transport Insurance Services Under SAC Code 997135
Marine, aviation and transport insurance services cover risk related to ships, aircraft, cargo and transport movements. These policies protect against damage, loss or liability during transit by sea, air or other modes. Under GST, such marine, aviation and transport insurance services are classified under SAC 997135. This SAC code and its GST treatment decide how GST is charged on these specialised insurance premiums and service fees.
Transport Insurance Services GST Rate for SAC Code 997135
Life, health, general and specialised insurance services under these codes are treated as insurance services under GST. In most standard policies, the premium charged to customers is subject to GST, while certain government notified schemes or social security type covers may enjoy concessional or exempt treatment.
After the September 2025 rationalisation, taxable insurance premiums for regular commercial and retail policies are generally placed in the 18 % slab with input tax credit for business policyholders, subject to specific conditions. Concessional or exempt treatments for selected life and health products continue as per the latest GST notifications and circulars.
The table below explains the broad GST treatment for SAC code 997135, showing the standard 18 % slab for taxable insurance premiums and special cases where notified benefits apply.
| Code | Description | Old GST Rate (till 21 Sep 2025) |
New GST Rate (from 22 Sep 2025) |
Notes on change / inclusions |
|---|---|---|---|---|
| 997135 | Marine, aviation, and other transport insurance services | 18% with ITC | 18% with ITC | Marine cargo, hull, aviation and other transport insurance continue to be taxed at 18% with ITC. No dedicated relief was announced for these lines in the 56th Council outcome; they stay aligned to the standard services slab. |
Insurers and intermediaries using this SAC code should split premium, GST and any stamp duty or other levies clearly on policy documents and invoices. They should mention the GST rate in %, use the correct SAC and ensure the same treatment is reflected in GSTR 1 and GSTR 3B so that business customers can manage input tax credit and compliance properly.
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
Marine, aviation and transport insurance services under SAC 997135 cover complex transit and asset risks. Premiums on these specialised policies are typically taxable at 18 % with input tax credit for eligible business policyholders. Insurers should classify policies under SAC 997135, apply the correct GST rate in %, state GST amounts clearly in documentation and align GST returns with the same treatment, taking professional advice for cross border or multi jurisdiction cases where needed.
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.