What is Service Tax Accounting Codes (SAC)?

Any organisation or established institution that has the responsibility to collect service tax from fellow taxpayers are mandated to have Service Tax Accounting Codes. These codes are thereafter quoted in the Service Tax Payment Challan.

Note: Service Tax has been replaced by the Goods and Services Tax (GST) starting 1 July 2017.

Any agency or institution collecting service tax from its customers are mandated to have Service Tax Accounting Codes. These codes have to be quoted in the Service Tax Payment Challan (GAR 7). If you provide various taxable services, amount accrued for each service has to be mentioned alongside the corresponding accounting code in the GAR 7 Challan. These accounting codes help the government keep track of your services and payments.

Accounting Codes for Service Tax

Account Codes in Service Tax, under the Major Head 0044, are as listed in the table below:

The Accounting Code for ‘Education Cess’ is 00440298’ for all services, and that for ‘Secondary & Higher Education Cess’ is 00440426 for all services. ‘Other receipts’ indicates the code in case of interest and penalty on delayed payment of service tax.