--- title: "Telecom Equipment Rental Services | Professional Telecom Equipment Rental Solutions" description: "Expert telecom equipment rental services covering compliant, reliable, and high-quality solutions tailored to your needs. SAC Code 997316." canonical: "https://busy.in/sac-code-997316/" --- # Telecom Equipment Rental under SAC Code 997316 Part of [SAC 9973: Leasing or rental services](https://busy.in/sac-code-9973/). Telecom equipment rental services relate to renting switches, routers, wireless gear, base station units and other network equipment needed to run communication networks. Companies use telecom equipment rental and network equipment leasing for projects, events or temporary expansions where buying equipment is not practical. These services can include installation, configuration and periodic technical support. Under GST, such telecom equipment rental services fall under SAC 997316. This SAC code and its GST rate decide how GST is levied on telecom equipment rental charges and associated service fees. ## 997316 SAC Code GST rate Leasing and rental services under group 9973 are treated as supply of services under GST, even when the underlying item is a movable good. The taxable value usually includes the base rental charge, operator or driver fees where machines are supplied with manpower and any maintenance or handling fees that form part of the contract. Refundable security deposits and pure reimbursements of government levies can be kept outside the taxable value only when the conditions given in GST law are fully met. After the September 2025 GST rate changes, most taxable leasing and rental services that are not covered by a special concessional entry are generally placed in the 18% slab with input tax credit for eligible registered business customers. Service providers should still check the latest notifications and circulars, as certain government schemes or specified sectors may enjoy different treatment for particular types of rental contracts. **The table below shows the latest standard GST rate for SAC code 997316 for telecom and networking equipment rental services.** | SAC code | Description | New GST rate (from 22 Sep 2025) | Old GST rate (till 21 Sep 2025) | Notes | | --- | --- | --- | --- | --- | | 997316 | Leasing or rental services concerning telecommunications equipment with or without operator | 18% with ITC | 18% with ITC | Telecommunication equipment leasing is aligned with other machinery leasing at 18%. Recent GST resources on leasing services maintain this rate and the latest rate rationalisation has not created a separate category for it. | Once the correct GST rate is identified, rental providers should apply that rate in % on the taxable rental value, mention the SAC code clearly on invoices and keep their GST positions consistent across contracts and returns so that customers can plan cash flow and input tax credit smoothly. ## Practical classification guidance Service providers should select the SAC that matches the main equipment being rented, whether it is agricultural machinery, construction equipment, office machines, computers or telecom and network gear. Using the correct six digit SAC and GST rate in % makes billing more transparent, supports proper input tax credit for customers and reduces the risk of disputes during GST reviews. ## Conclusion SAC 997316 is meant for telecom equipment rental services such as switches, routers and other network gear used in communication setups. These services usually attract 18% GST with input tax credit for eligible registered customers. When service providers classify rentals under SAC 997316, apply the proper GST rate in % and maintain clear documentation, they reduce confusion and make GST compliance more straightforward. ## Frequently asked questions ### What does SAC code 997316 cover in GST? SAC 997316 covers rental and leasing services of telecom, broadcasting and networking equipment. This includes routers, switches, Wi-Fi systems, telecom base station gear and similar communication infrastructure provided on hire to businesses, event organisers or operators for limited periods or long term projects. ### Does SAC 997316 include rental of telecom and networking equipment? Yes. When companies hire wireless access points, network switches, telecom towers, communication racks or similar equipment for events or operations, such services are usually classified under SAC 997316. The lessor remains owner of the equipment, while the lessee pays rental or lease fees for its use. ### What GST rate applies to telecom equipment rental under SAC 997316? Telecom and networking equipment rentals under SAC 997316 are generally taxed at 18%. GST is charged on the rental charges and any related service components, such as installation support. Suppliers should confirm whether any sector specific rule or composite supply treatment affects valuation or tax rate. ### Should event Wi-Fi and network gear rentals use SAC 997316 on invoices? Yes. Vendors providing temporary Wi-Fi networks or event connectivity using their own routers and access points should usually use SAC 997316, especially where the main supply is rental of gear. If they deliver a fully managed connectivity solution, overall classification as telecom service may need separate analysis. ### Can businesses claim ITC on GST paid for SAC 997316 services? Registered businesses using telecom or networking rentals for taxable operations can usually claim ITC on GST paid under SAC 997316. For example, IT companies, event organisers or data centres may treat such costs as input services. ITC is subject to general conditions like possession of invoice and timely filing. ## Explore more ### Other SAC services under 9973 - [997311: Transport Equipment Rental](https://busy.in/sac-code-997311/) - [997312: Agricultural Machinery Rental](https://busy.in/sac-code-997312/) - [997313: Construction Equipment Rental](https://busy.in/sac-code-997313/) - [997314: Office Equipment Rental](https://busy.in/sac-code-997314/) - [997315: Computer Rental](https://busy.in/sac-code-997315/) - [997319: Machinery Rental](https://busy.in/sac-code-997319/) - [997321: Projector Rental](https://busy.in/sac-code-997321/) - [997322: DVD Rental](https://busy.in/sac-code-997322/) - [997323: Furniture Rental](https://busy.in/sac-code-997323/) - [997324: Sports Equipment Rental](https://busy.in/sac-code-997324/) - [997325: Linen Rental Service](https://busy.in/sac-code-997325/) - [997326: Clothing Rental](https://busy.in/sac-code-997326/) - [997327: Tool Rental](https://busy.in/sac-code-997327/) - [997329: Equipment Rental](https://busy.in/sac-code-997329/) - [997331: Software Licensing](https://busy.in/sac-code-997331/) - [997332: Broadcasting Rights](https://busy.in/sac-code-997332/) - [997333: Image Licensing](https://busy.in/sac-code-997333/) - [997334: Publishing License](https://busy.in/sac-code-997334/) - [997335: Technology License](https://busy.in/sac-code-997335/) - [997336: Trademark Licensing](https://busy.in/sac-code-997336/) - [997337: Mining Exploration License](https://busy.in/sac-code-997337/) - [997338: Spectrum Licensing](https://busy.in/sac-code-997338/) - [997339: Intellectual Property Rights](https://busy.in/sac-code-997339/) ### All SAC headings - [99: All Services Accounting](https://busy.in/sac-code-99/) - [9954: Services in building & construction](https://busy.in/sac-code-9954/) - [9961: Services in wholesale trade](https://busy.in/sac-code-9961/) - [9962: Services in retail trade](https://busy.in/sac-code-9962/) - [9963: Accommodation, food & beverage services](https://busy.in/sac-code-9963/) - [9964: Passenger transport services](https://busy.in/sac-code-9964/) - [9965: Goods transport services](https://busy.in/sac-code-9965/) - [9966: Rental services of transport vehicles](https://busy.in/sac-code-9966/) - [9967: Supporting services in transport](https://busy.in/sac-code-9967/) - [9968: Postal & courier services](https://busy.in/sac-code-9968/) - [9969: Electricity, gas & water supply services](https://busy.in/sac-code-9969/) - [9971: Financial & related services](https://busy.in/sac-code-9971/) - [9972: Real estate services](https://busy.in/sac-code-9972/) - [9973: Leasing or rental services](https://busy.in/sac-code-9973/) - [9981: Research & development services](https://busy.in/sac-code-9981/) - [9982: Legal & accounting services](https://busy.in/sac-code-9982/) - [9983: Professional, technical & business services](https://busy.in/sac-code-9983/) - [9984: Telecommunications & broadcasting supply services](https://busy.in/sac-code-9984/) - [9985: Support services to business](https://busy.in/sac-code-9985/) - [9986: Support services to agriculture, hunting, forestry & more](https://busy.in/sac-code-9986/) - [9987: Maintenance, repair & installation services](https://busy.in/sac-code-9987/) - [9988: Manufacturing services on physical inputs](https://busy.in/sac-code-9988/) - [9989: Services in publishing, printing & bookbinding](https://busy.in/sac-code-9989/) - [9991: Public administration & other services](https://busy.in/sac-code-9991/) - [9992: Education services](https://busy.in/sac-code-9992/) - [9993: Human health & social care services](https://busy.in/sac-code-9993/) - [9994: Sewage & waste collection](https://busy.in/sac-code-9994/) - [9995: Services of membership organizations](https://busy.in/sac-code-9995/) - [9996: Recreational, cultural & sporting services](https://busy.in/sac-code-9996/) - [9997: Other Services](https://busy.in/sac-code-9997/)