Transaction Processing Under SAC Code 997158

Transaction processing, financial support, insurance advisory, claims handling and actuarial services under these SAC codes are treated as financial services under GST. The taxable value normally includes processing fees, support charges, advisory retainers, commission on services and professional consulting fees received from clients, while pure statutory levies or reimbursed government charges at actuals may be kept outside the value if conditions are satisfied.

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. Where special notifications or valuation rules apply to particular insurance or forex segments, those must be reviewed before finalising the GST position on each fee component.

The table below summarises the prevailing GST treatment for SAC code 997158, highlighting the standard 18% slab for transaction processing services and any notified exceptions for specific payment products.

Service providers using this SAC code should show service value, GST rate in % and GST amount clearly on tax invoices or statements. The same SAC and rate should be reflected in GSTR 1 and GSTR 3B so that clients can book expenses correctly, claim input tax credit where eligible and stay comfortable during GST assessments or audits.

Transaction processing services under SAC 997158 cover secure handling of financial and payment transactions for banks, fintech platforms and large enterprises. Processing and clearing fees for these services are usually taxed at 18% with input tax credit for eligible registered clients. Service providers should classify such work under SAC 997158, apply the correct GST rate in %, show GST separately on invoices and keep GST returns aligned with this treatment.