Courier Services SAC Code & GST Rate in India

The SAC code for courier services is 996812, and the general GST rate is 18% in India. This code covers courier services involving the collection, transportation and delivery of documents, parcels and packages within India or internationally.

Courier services are classified under SAC (Services Accounting Code), not HSN, because they are services rather than goods.

What Is the SAC Code for Courier Services?

Courier services fall under SAC 996812, which belongs to heading 9968 – Postal and Courier Services.

This classification covers services provided by courier agencies that collect, transport and deliver letters, documents, parcels and packages.

Particular	Details
Service	Courier services
SAC code	996812
SAC group	99681
SAC heading	9968
Official description	Courier services
General GST rate	18%
CGST + SGST	9% + 9%
IGST	18%

The code applies to qualifying courier services, regardless of whether the delivery is carried out by road, air or a combination of transport modes.

Services Covered Under SAC 996812

SAC 996812 covers courier services involving the collection and delivery of documents, parcels and packages.

Courier service	Examples	SAC code	General GST rate
Domestic courier services	Sending parcels between cities in India	996812	18%
International courier services	Sending documents or parcels to overseas destinations	996812	18%, subject to applicable export rules
Express courier services	Priority delivery of documents and packages	996812	18%
Document courier services	Delivery of business documents and other papers	996812	18%
Parcel courier services	Collection and delivery of customer packages	996812	18%

These services generally fall under the same SAC code when the principal supply is a courier service.

GST Rate on Courier Services in India

Courier services classified under SAC 996812 generally attract 18% GST.

For intra-state transactions, GST is divided into:

• 9% CGST
• 9% SGST

For inter-state transactions, 18% IGST generally applies.

The type of GST charged depends on the applicable place-of-supply provisions. The destination of a parcel alone does not necessarily determine whether CGST and SGST or IGST applies.

GST on Domestic Courier Services

Domestic courier services involve collecting and delivering parcels or documents within India.

For example, a courier company transporting a package from Bengaluru to Mumbai generally provides a courier service under SAC 996812.

The general GST rate is 18%, subject to the applicable tax provisions.

GST on International Courier Services

International courier services involve transporting documents or parcels between India and overseas destinations.

The GST treatment depends on the nature of the service, the location of the supplier and recipient, and the applicable place-of-supply rules.

A courier service supplied to a foreign customer may qualify as an export of services if all statutory conditions are satisfied.

However, sending a parcel outside India does not automatically make the courier service a zero-rated export.

GST Calculation Example for Courier Services

Suppose a courier company charges ₹2,000 for a taxable domestic courier service.

Particular	Amount
Courier service charges	₹2,000
GST at 18%	₹360
Total invoice value	₹2,360

For an intra-state supply, the GST consists of ₹180 CGST and ₹180 SGST.

For an inter-state supply, ₹360 IGST generally applies.

This calculation assumes that the courier service is taxable at the standard rate of 18%.

Difference Between Courier, Local Delivery and Goods Transport Services

Courier services are different from ordinary goods transportation and certain local delivery services.

The correct SAC code depends on the actual nature of the service provided.

Service	SAC code	Classification
Courier services	996812	Postal and courier services
Local delivery services	996813	Local delivery services
Other delivery services not elsewhere classified	996819	Other delivery services
Road transportation of goods	996511	Goods transport services
Postal services	996811	Postal services

For example, a courier agency collecting and delivering parcels generally uses SAC 996812.

A business providing a separate local delivery service may fall under SAC 996813.

A transporter providing road freight services may instead fall under SAC 996511, depending on the nature of the service.

These distinctions matter because the GST treatment of goods transport services may differ from courier services.

Are Courier Services Exempt from GST?

Ordinary commercial courier services are generally taxable at 18% GST.

The GST exemption available to certain road transportation services does not automatically apply to courier agencies.

Under the GST exemption provisions, transportation of goods by road by a person other than a Goods Transport Agency (GTA) or courier agency may qualify for exemption.

Therefore, businesses should not treat courier services as exempt merely because parcels are transported by road.

Certain specified postal services may have separate exemptions. Those exemptions should not be applied automatically to private courier services.

How to Identify the Correct SAC Code for Courier Services

Businesses should first identify whether the service involves courier delivery, local delivery or ordinary goods transportation.

Next, check the service description and determine the correct classification.

For courier agencies providing collection and delivery of parcels and documents, SAC 996812 generally applies.

The business should then verify the applicable GST rate and place-of-supply treatment before preparing the invoice.

The classification can be checked through the official GST Portal’s HSN/SAC search facility.

Official Sources

1. CBIC – Scheme of Classification of Services
2. GST Council – Scheme of Classification of Services
3. GST Council – Explanatory Notes to the Scheme of Classification of Services
4. CBIC – GST Rates for Goods and Services
5. GST Portal – Search HSN/SAC Code

Last Reviewed: 22 October 2026