Specialized Engineering Services Under SAC Code 998338
Specialized Engineering Services help businesses plan, design and execute projects in a safe and efficient way. In day to day work, clients engage these services for feasibility studies, concept plans, detailed engineering and on-site technical support so that projects meet performance and safety requirements.
SAC 998338 is used when the main work relates to specialized engineering services for projects not classified elsewhere It covers professional involvement from early planning through to implementation support, depending on what is agreed in the contract.
In practice, assignments under this code often touch areas like custom engineering. Using SAC 998338 under GST helps consultants and clients keep technical scope and tax treatment aligned for each project.
Specialized Engineering Services GST Rate for SAC Code 998338
From a GST angle, specialized engineering services are treated as supply of services. The taxable value usually includes professional fees, design or review charges, visit fees and any reimbursable costs that are billed as part of the same engineering assignment.
After the September 2025 GST revision, most engineering and technical consultancy services that do not have any special notification remain under the standard 18% slab. Registered business clients can generally claim input tax credit when these services are used for making taxable supplies or for running their business, subject to normal ITC conditions.
The table below gives the prevailing standard GST rate for SAC code 998338.
| Code | Description | Old GST Rate (till 21 Sep 2025) |
New GST Rate (from 22 Sep 2025) |
Notes on change / inclusions |
|---|---|---|---|---|
| 998338 | Engineering services for other projects n.e.c. | 18% with ITC | 18% with ITC | This residual engineering code covers projects not classified elsewhere; professional-services overviews for 9983 mark such services at 18% with ITC and there is no notification reducing this rate in Sept 2025. |
In practice, firms that provide specialized engineering services should apply 18% GST on the taxable value, quote SAC 998338 on their tax invoices and keep the same classification in their GST workings so that billing, costing and input tax credit remain easy to follow.
Explore Other SAC Codes Under 9983
SAC 998338 sits inside the wider heading 9983, which groups different kinds of engineering, architectural and project related services. Each six digit SAC in this family points to a specific type of project so that contracts and GST classification match the real nature of the work.
Below are the major related six-digit SAC codes under parent 9983.
When selecting a code from the 9983 group, service providers should choose the SAC that best describes their primary service, whether it is specialized engineering services or another focused engineering discipline. Using the correct six digit SAC and GST rate in % keeps proposals, work orders and GST returns aligned for both the consultant and the client.
Conclusion
SAC 998338 is meant for specialized engineering services where specialised technical input is provided in return for professional fees. These services are generally taxed at 18% under GST, with ITC normally available to eligible registered recipients when the services are used for their taxable business.
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 is SAC code 998338 in GST for specialized engineering services?
SAC 998338 is used for specialised engineering consultancy that does not clearly fit into standard engineering categories. It covers unique, custom or highly technical engineering assignments for specific industries or projects, such as niche machinery design, experimental structures, special testing rigs or new process development support.
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Does SAC 998338 cover custom engineering projects not classified elsewhere?
Yes. When an engineering job is very specialised and not exactly covered by building, industrial, transport or environmental engineering SACs, it may be grouped under SAC 998338. Examples include special purpose equipment design, pilot plant engineering or unique experimental installations with tailor made technical solutions for clients.
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What GST rate applies to specialized engineering consultancy under SAC 998338?
Specialised engineering consultancy under SAC 998338 is normally taxed at 18%. GST applies to consulting charges, design fees and related technical support invoices. If services qualify as exports, they may be zero rated. Service providers should clearly describe the specialised scope so that classification under this code is justified.
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When should a firm choose SAC 998338 instead of other specific engineering SAC codes?
A firm should use SAC 998338 when the work does not match descriptions of building, industrial, transport, environmental or other specific engineering codes, but is still engineering consultancy. If another SAC clearly covers the service, that specific code should be preferred. Accurate classification reduces disputes during GST scrutiny or audits.
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Can clients claim ITC on GST paid for SAC 998338 services used in their projects?
Businesses can usually claim ITC on GST charged under SAC 998338 when services are used for taxable projects or operations. They must keep proper agreements and invoices to show that specialised engineering advice helped create or improve assets or services which generate taxable turnover under GST.