Services Under SAC Code 997159
Financial support services provide back end and auxiliary help for core financial operations, such as processing support, funding coordination and financial advisory inputs linked to transactions. They enable banks, NBFCs and businesses to run their financial flows and documentation more efficiently. Under GST, such financial support services are classified under SAC 997159. This SAC code and its GST rate decide how GST is applied on auxiliary financial service fees and related support charges.
Services GST Rate for SAC Code 997159
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 explains the current GST position for SAC code 997159, indicating the usual 18% slab for financial support services and any special cases notified by the authorities.
| Code | Description | Old GST Rate (till 21 Sep 2025) |
New GST Rate (from 22 Sep 2025) |
Notes on change / inclusions |
|---|---|---|---|---|
| 997159 | Other services auxiliary to financial services | 18% with ITC | 18% with ITC | Independent rate tools consistently show 18% as the working rate. Older notifications show a Nil option only for FIFA linked supplies, which is very narrow. No change flagged in the 56th Council documentation. |
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.
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 a wide set of allied financial services. Each six digit SAC within this group identifies a specific financial, insurance or support service for GST classification and reporting.
Below is a list of related six-digit SAC codes under 9971.
Banks, NBFCs, insurers, brokers and consulting firms should choose the SAC that best reflects their main activity, such as transaction processing, financial support, insurance advisory, claims services or actuarial work. Using the correct SAC and GST rate in % improves transparency, supports proper input tax credit and reduces the chance of classification disputes during GST scrutiny.
Conclusion
Financial support services under SAC 997159 relate to auxiliary help for financial transactions and operations. Fees for these supporting services generally fall in the 18% GST slab with input tax credit for registered business clients. Firms should mark such services under SAC 997159, charge GST at the proper rate in %, disclose tax clearly and follow the same classification and rate in GSTR 1 and GSTR 3B.
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.