Financial Market Services Under SAC Code 997155
Financial market services support the smooth running of exchanges and trading platforms through market operations, clearing support and administration. These services keep stock exchange operations, settlement processes and market administration functions stable for brokers and investors. Under GST, such financial market services are classified under SAC 997155. This SAC code and its GST rate decide how GST is charged on market operation fees and related financial market service charges.
Financial Market Services GST Rate for SAC Code 997155
Portfolio, custody, financial market, consulting and foreign exchange related services under these SAC codes are treated as financial services under GST. The taxable value normally includes service fees, brokerage, management charges, advisory retainers and other consideration received from clients, while pure statutory levies collected at actuals for exchanges or regulators are kept outside the value if conditions are met.
After the September 2025 rationalisation, most taxable financial service components that are not specifically exempt are generally placed in the 18% slab with input tax credit for eligible registered clients. Certain capital market and forex transactions may be guided by special valuation rules or notifications, so these should be reviewed carefully before freezing the GST position.
The table below gives an overview of the current GST position for SAC code 997155, showing the typical 18% slab for financial market services and any exceptions that may apply to particular market operations.
| Code | Description | Old GST Rate (till 21 Sep 2025) |
New GST Rate (from 22 Sep 2025) |
Notes on change / inclusions |
|---|---|---|---|---|
| 997155 | Services related to the administration of financial markets | 18% with ITC | 18% with ITC | Financial auxiliary service under 9971. Market practice and rate tables show 18% as the standard rate; older 12% or Nil entries apply only to very specific sports events and do not affect regular financial market administration services. No change recommended by 56th Council for this SAC. |
Service providers using this SAC code should clearly show service value, GST rate in % and GST amount on tax invoices or statements. The same SAC and rate should be followed in GSTR 1 and GSTR 3B so that clients can book expenses correctly, claim input tax credit where eligible and remain comfortable during GST assessments.
Explore Other SAC Codes Under 9971
These SAC codes fall under the financial and insurance services group 9971, which covers banking, investment, insurance, reinsurance and capital market related activities. Each six digit SAC within this group points to a specific type of financial or market service for GST classification and reporting.
These are the main related six-digit SAC codes under 9971.
Banks, NBFCs, brokers and advisory firms should choose the SAC that best describes their core offering, whether it is portfolio management, custody, financial market operations, financial consulting or foreign exchange services. Using the correct SAC and GST rate in % makes billing transparent, supports proper input tax credit and reduces disputes during GST scrutiny.
Conclusion
Financial market services under SAC 997155 support the functioning of exchanges and trading platforms through operational and administrative activities. Market operation fees for these services are normally taxed at 18% with input tax credit for eligible registered entities. Market institutions should classify such services under SAC 997155, charge GST at the right rate in %, show GST clearly and keep GST returns consistent with this classification.
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.
Frequently Asked Questions
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What does SAC code 997155 cover in GST?
SAC 997155 covers stock exchange operations, clearing and settlement, trade facilitation and related market administration services. It applies to services provided by exchanges, clearing corporations and similar market institutions that run trading platforms, manage risk, handle settlements and maintain the overall market infrastructure for participants.
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Does SAC 997155 include stock exchange operations and market administration services?
Yes. Running the trading system, providing order matching, clearing and settlement, risk management, market surveillance and other administration activities offered by exchanges and clearing houses are covered under SAC 997155. These services support brokers, members and listed companies in carrying out trades in a regulated market.
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What GST rate applies to exchange and clearing fees under SAC 997155?
Exchange, clearing and related market infrastructure fees under SAC 997155 are usually taxed at the standard GST rate, currently 18%, unless a specific notification provides otherwise. GST is charged on the service fee portion billed to members or intermediaries and is separate from securities transaction taxes.
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Are listing and market infrastructure charges billed using SAC 997155?
Yes. Listing fees, annual charges and market infrastructure levies billed by exchanges to listed companies or members are generally classified under SAC 997155. These are treated as taxable services, and GST is applied on the charged amount, subject to normal GST rules and any special exemptions.
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Is ITC available on GST paid for SAC 997155 to registered members?
Registered brokers, intermediaries and other members using exchange and clearing services for their taxable business can usually claim input tax credit on GST charged under SAC 997155. They must keep proper GST invoices and ensure the services are used in connection with their taxable or zero rated supplies.