Advertising Space Services Under SAC Code 998362
Advertising Space involve buying, selling or allocating space or time for advertisements across different media channels. Media owners and intermediaries use this to monetise inventory while advertisers secure placements for their campaigns.
SAC 998362 is used when the main work relates to purchase or sale of advertising space or time on commission basis It is meant for professional assignments where the service provider brings specialised skills, tools and experience to support the client’s objectives.
In practical terms, engagements under this SAC often include areas like ad placement, media buying services. Using SAC 998362 for such jobs keeps the description of the service and its GST treatment aligned with the agreed scope.
Advertising Space Services GST Rate for SAC Code 998362
From a GST perspective, advertising space services fall under supply of services. The taxable value covers professional fees for advisory work, planning, analysis, execution support and management of campaigns billed under the same contract.
After the September 2025 GST revision, most advertising, media and marketing related services that are not specifically exempt continue to fall under the standard 18% slab. Registered businesses can usually claim input tax credit when such services are used for promoting taxable supplies, subject to normal ITC conditions.
The table below gives the prevailing standard GST rate for SAC code 998362.
| Code | Description | Old GST Rate (till 21 Sep 2025) |
New GST Rate (from 22 Sep 2025) |
Notes on change / inclusions |
|---|---|---|---|---|
| 998362 | Purchase or sale of advertising space or time, on commission | 18% with ITC | 18% with ITC | Commission / agency margin for sale of ad space or time remains taxable at 18% even where the underlying media (e.g. print at 998363) is at 5%. No slab change here. |
In practice, agencies and service providers offering advertising space services should apply 18% GST on the taxable value, mention SAC 998362 on invoices and keep this code stable in their GST records so that advertising revenue is easy to track.
Explore Other SAC Codes Under 9983
SAC 998362 falls under heading 9983, which groups specialised veterinary, advertising, media and related professional services used by businesses and institutions.
Below are the major related six-digit SAC codes under parent 9983.
For the 9983 group, advertising space services will normally map to SAC 998362, while other codes in the heading should be used when the engagement clearly matches their own description.
Conclusion
This code is intended for advertising space services where specialised skills are used to run campaigns or manage media and promotions for a fee. The code is generally taxed at 18% under GST, and using it with the correct rate in % helps businesses keep their advertising and media spend clearly mapped in tax records.
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 does SAC code 998362 cover in GST?
SAC 998362 covers purchase or sale of advertising time or space on a commission basis. Media agencies earn commission for placing client ads with publishers, broadcasters or platforms instead of charging only professional service fees for campaign management.
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Does SAC 998362 include sale or purchase of advertising space or time on commission basis?
Yes, when agencies act as intermediaries between advertisers and media owners and earn commission or brokerage on booked ad slots, it falls under 998362. The underlying media space sale is separate, usually handled by the publisher or broadcaster themselves.
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What GST rate applies to media buying services under SAC 998362?
Commission based media buying services under SAC 998362 are generally taxed at 18% GST. The commission or service fee charged by the intermediary is the taxable value, even though the actual advertising space may have a different GST treatment.
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Should media houses use SAC 998362 when selling ad slots to advertisers?
Publishers and broadcasters selling ad space directly on their own inventory usually classify it under other advertising SACs such as 998363 to 998366. SAC 998362 is more appropriate for intermediaries or agencies earning a commission from arranging those sales.
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Can advertisers claim ITC on GST paid for SAC 998362 invoices?
Advertisers can generally claim ITC on GST charged on media buying commissions where the advertising supports their taxable business. They must ensure proper tax invoices are received and the service is not linked mainly to exempt or personal activities, where ITC would be blocked.