Financial and related services (including financial and banking services) are classified under the HSN/SAC code 9971. This SAC code plays a vital role in classifying and regulating the services offered by financial institutions such as banks, non-banking financial companies (NBFCs), insurance companies, and other financial entities. The 9971 code group covers a range of services associated with banking, insurance, lending, investments, and other financial offerings. On most banking services such as maintenance of accounts, credit and debit card services, etc., a GST rate of 18 percent is applicable.
| HSN/SAC Code | Nature of Service |
| 997111 | Central Banking services |
| 997112 | Deposit services |
| 997113 | Services related to granting of credit |
| 997114 | Services related to financial leasing |
| 997119 | Other financial services |
| 997120 | Investment banking services |
| 997131 | Pension services |
| 997132 | Life insurance services (except reinsurance services) |
Also Read: What Is mPIN: A Key To Secure Mobile Banking
Installation Charges HSN Code
In India, the installation charges are classified under the HSN/SAC code 9987. The first two digits, i.e., 99 represent the chapter which is the Services in which the installation charges are included in the HSN classification system. The next two digits ’87’ followed by subsequent two digits particularly identify the installation charges as the service or product being classified. The GST rate for installation charges is 5 percent or 18 percent depending on the product of installation.
The installation charges include setting up and installation of various equipment or systems. Some of these may be installation of machinery, solar systems, Heating, Ventilation, and Air Conditioning (HVAC) systems, etc.
| HSN/SAC Code | Type of Installation Service |
| 998731 | Installation services of fabricated metal products (exception machinery and equipment) |
| 998732 | Installation services of industrial, manufacturing and service industry machinery and equipment. |
| 998733 | Installation services of office and accounting machinery and computers |
| 998734 | Installation services of radio, television and communications equipment and apparatus. |
| 998735 | Installation services of professional medical machinery and equipment, and precision and optical instruments. |
| 998736 | Installation services of electrical machinery and apparatus N.E.C. |
| 998739 | Installation services of other goods N.E.C. |
Also Read: Labour Charges HSN Code with GST Rate
Also Listen: Understand The Role of SAC Codes and GST Rates
