Agricultural Sciences Under SAC Code 998114

Agricultural Sciences services help organisations explore new ideas, test hypotheses and generate reliable data for better decisions. In day to day work, clients engage research teams to design studies, run experiments, collect evidence and present findings in a structured way.

SAC 998114 is used when the core assignment relates to research and development services focused on crops, agri-tech, and farming. and often covers specialised topics such as agricultural research, crop research.

Classifying these assignments under the correct SAC code gives clarity on how GST is applied on research fees and helps both parties keep a clean trail of the services received and delivered.

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998114 SAC Code GST Rate

Review old and new GST rates for Agricultural Sciences under 998114 SAC Code.

From a GST point of view, agricultural sciences fees are treated as supply of services. The taxable value usually includes project based fees, milestone payments, retainers and any related support charges that form part of the same research or advisory mandate.

After the September 2025 GST revision, most research and development services that do not have any special exemption notification continue to fall under the standard 18% slab. Registered business recipients can generally claim input tax credit when these services are used for making taxable supplies or for business decision making, subject to normal ITC conditions.

The table below shows the latest standard GST rate for SAC code 998114.

SAC Code

998114

Description

Research and experimental development services in agricultural sciences.

New Rate

18 %
Standard

Old Rate

18 %

Notes

Research-services summaries for SAC 9981 list all sub-codes, including 998114, at 18% GST with ITC, with only very specific sports-event concessions at nil. The 56th Council’s FAQs and press note do not propose a different slab for research services, so 18% continues.

In practice, organisations that provide agricultural sciences should apply 18% GST on the taxable value, quote SAC 998114 on tax invoices and keep the same classification in their GST records so that project billing and input tax credit tracking stay simple.

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Explore More SAC Codes Under 9981

Practical Classification Guidance

When selecting a code from the 9981 group, service providers should choose the SAC that best describes the central research area, whether it is agricultural sciences or some other branch of study. Correct use of the six digit SAC and GST rate in % keeps research contracts, billing and ITC planning clear for both the provider and the client.

Conclusion

SAC 998114 is meant for agricultural sciences where structured research work is carried out for a client in return for professional fees. These services are generally taxed at 18% under GST, with ITC normally available to eligible registered recipients when the research supports their taxable business activities. By using SAC 998114 consistently and applying the correct GST rate in %, organisations can keep their research mandates, invoices and GST compliance neat and easy to explain during reviews.

Frequently Asked Questions

Clear answers to common queries about SAC Code 998114 and GST compliance.

What is SAC code 998114 in GST for agricultural research services?

SAC 998114 covers research and experimental development services in agriculture and related fields. It includes studies on crops, soil, irrigation, pest management, farm mechanisation and agri technology, carried out by universities, research institutes or private firms to improve yields, resilience and farm profitability.

Does SAC 998114 cover R&D on crops, agri tech and farming methods?

Yes. Projects involving development of new crop varieties, testing of seeds, fertiliser trials, irrigation techniques, protected cultivation and agri tech solutions generally fall under SAC 998114. The focus is on practical improvements in farm practices, productivity and sustainability tailored to specific crops, regions or farming systems.

What GST rate applies to agricultural R&D services under SAC 998114?

Agricultural R&D services under SAC 998114 are usually taxed at 18%. However, some government funded agricultural extension or training services may have different treatment. Research contracts between private parties are generally taxable. Both service providers and sponsors should verify applicable GST rules for their specific type of engagement.

Should agri universities and research firms bill projects using SAC 998114?

Yes. When agri universities, research stations or private agri tech firms bill sponsored research, demonstration projects or pilot trials for companies or industry bodies, they should classify such services under SAC 998114. This distinguishes research activities from pure sale of seeds, inputs or consulting services with other SAC codes.

Can agribusinesses claim ITC on GST paid for SAC 998114 services?

Registered agribusinesses can usually claim ITC on GST paid for SAC 998114 services if research supports taxable supplies like seeds, agri inputs or commercial farming operations. If activities or outputs are exempt, ITC may be restricted. Maintaining project wise records of research expenses and resulting products is helpful.

Important Disclaimer

The above does not constitute professional advice or a formal recommendation. We recommend consulting a professional tax consultant before acting on the information contained in this piece of content.