SAC codes
SAC code for testing and inspection: 998346
A lab report on tensile strength, a coating thickness test or a pre-dispatch inspection all bill under one technical testing code.
In short
Technical testing, lab analysis and inspection services use SAC 998346, usually at 18% under forward charge. In SimpleERP each test is a service with its code and rate, so a lab invoice lists every sample and test on its own line.
Illustration of GST tax invoice INV-2026-27-0213 to Ravi Stores with CGST 9% and SGST 9%, round off, a UPI QR code and the amount in words.
The data
SAC 998346 at a glance
| Item | Value |
|---|---|
| 6-digit SAC | 998346 |
| 4-digit group | 9983: other professional, technical and business services |
| Chapter 99 heading | Technical testing and analysis services |
| Usual GST rate | 18% (as notified; check the GST portal) |
| Reverse charge | Forward charge for most suppliers: the lab or inspection agency charges GST |
| Exemption | Testing linked to agricultural produce in its cultivation stage can be exempt as notified; industrial testing is taxable |
| Who typically bills it | Testing labs, NDT firms, third-party inspection agencies and calibration labs |
Sources: CBIC: classification of services (SAC), CBIC: GST rates and notifications. Verified .
Which SAC code goes on a testing and inspection invoice?
Use 998346, technical testing and analysis services. It sits in group 9983, other professional, technical and business services, under chapter 99 (services). Chemical and physical testing, NABL lab reports, non-destructive testing and third-party inspection of goods all fit. Certification of ships, aircraft and similar works has its own sibling, 998347.
Lakshmi Steel Furnitures sends coil samples to Precision Test House in Chennai, Tamil Nadu, for tensile and coating thickness tests before accepting a lot from its supplier. The lab bills each test under 998346.
What GST rate applies to testing and inspection?
Testing and inspection services are usually taxed at 18%. A ₹12,000 lab bill for three tensile tests in your own state carries ₹1,080 CGST and ₹1,080 SGST. Rates change, so confirm the rate for your goods or services with your CA or the GST portal before you rely on it.
- Per-sample and per-visit charges take the same code
- Inspection at a vendor's site in another state can change the place of supply
- Testing of agricultural produce at the farm stage can be exempt
- Courier charges for samples are a separate line
A testing and inspection invoice line in SimpleERP
Save each test you sell, such as Tensile test or Salt spray test, as a service with SAC 998346 and its rate. The invoice then has one line per test, with the sample reference in the description.
- SAC 998346 prints on every test line
- Place of supply picks CGST plus SGST or IGST from the customer's state
- The HSN/SAC summary for GSTR-1 totals all tests under 998346
- Sales price saved on each test, so the line fills itself
Illustration of the keyboard-first invoice editor with a focused line, live tax totals and shortcut hints.
When is reverse charge or an exemption involved?
Testing is under forward charge. The exemption that comes up is support services to agriculture: testing directly related to the production of agricultural produce, such as soil or seed testing for a farmer, can be exempt as notified. Testing of manufactured goods, building materials and industrial samples is taxable. Inspection of goods that sit outside India can raise a place of supply question, so ask your CA.
- Forward charge for industrial and commercial clients
- Farm-stage agricultural testing: can be exempt
- Export of testing service: check the place of supply rules
- No exemption for small manufacturers
FAQ
Questions, answered
My lab tests both steel samples and soil for farmers. Do both carry GST?
Steel testing is taxable, usually at 18%. Soil testing for a farmer in relation to cultivation can fall under the agriculture exemption as notified. Save the two as separate services, one at 18% and one with the No tax rate, so the summary shows them apart.
We inspect goods at the supplier's factory in another state. Whose state decides the tax?
For a registered client the place of supply is usually the client's location, but services on goods that must be physically present can follow where the work is done. Check the rule for your contract with your CA before you choose CGST and SGST or IGST.
Is calibration of instruments the same code as testing?
Calibration is commonly billed under 998346 as technical testing and analysis. Some labs use the maintenance and repair codes when calibration is part of servicing an instrument. Pick the description that matches your contract and use it consistently.
Can I bill a client monthly for all samples tested?
Yes. Raise one invoice at month end with a line per test or one line per test type with the sample count as the quantity. GST is due by the invoice date rules for services, so do not hold the bill past the time limit.
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