Rent HSN Code (SAC 9972) and GST Rate
Renting of residential and commercial property.
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- SAC code
- 9972
- GST rate
- Exempt or 18%
- Chapter
- 99: Services (SAC)
- Before 22 Sep 2025
- No change
What is the SAC code for rent?
Rent falls under SAC 9972.
Rent is SAC 9972: 997211 for residential and 997212 for commercial property. Renting a house to a family is exempt, but commercial rent is taxed at 18%. Two reverse charge rules apply: a registered tenant of a residential dwelling pays the 18% itself, and since 10 October 2024 a registered tenant of commercial property pays the tax when the landlord is unregistered.
| Code | Description |
|---|---|
| 997211 | Rental or leasing of own or leased residential property |
| 997212 | Rental or leasing of own or leased non residential property (shops, offices, warehouses) |
GST rate on rent
The GST rate on rent is exempt or 18%. Residential dwelling rented for use as a residence: exempt, except when rented to a GST registered person, who pays 18% under reverse charge. Commercial property: 18%; when an unregistered landlord rents to a registered business, the tenant pays under reverse charge.
| GST rate | Within a state | Between states |
|---|---|---|
| 18% | CGST 9% + SGST 9% | IGST 18% |
Compare other goods on the GST rates list.
Which SAC digits to write on your invoice
The number of digits depends on your aggregate turnover in the previous financial year.
| Turnover last year | Digits | Write |
|---|---|---|
| Up to Rs 5 crore | 4 on B2B invoices, optional on B2C | 9972 |
| Above Rs 5 crore | 6 on every invoice | 997211, 997212 |
Sample GST invoice line for rent
Here is how a line for rent looks on a tax invoice within one state: 1 × month of shop rent at Rs 60,000.00 each, taxed at 18%. The figures are an example, not a market price.
| Item | SAC | Qty | Rate (Rs) | Taxable (Rs) | CGST (Rs) | SGST (Rs) | Total (Rs) |
|---|---|---|---|---|---|---|---|
| Rent | 9972 | 1 × month of shop rent | 60,000.00 | 60,000.00 | 5,400.00 | 5,400.00 | 70,800.00 |
Sold to a buyer in another state, the same line carries IGST of Rs 10,800.00 instead of CGST and SGST. Make the full invoice with the GST invoice format: it fills in the tax split, round off and amount in words.
Chapter 99 at a glance
Chapter 99 (Services (SAC)) covers: Services under GST, coded with a Services Accounting Code (SAC) that starts with 99.
Other pages in chapter 99
- RestaurantSAC 9963 · 5%
- TransportationSAC 9964 and 9965 · 5% or 18%
- Taxi and CabSAC 9964 · 5% or 18%
- Air TicketSAC 9964 · 5% or 18%
- FreightSAC 9965 · 5% or 18%
- CourierSAC 9968 · 18%
- InsuranceSAC 9971 · Exempt or 18%
- Legal ServicesSAC 9982 · 18%
- ConsultancySAC 9983 · 18%
- SoftwareSAC 9983 · 18%
- AdvertisingSAC 9983 · 18%
- Manpower SupplySAC 9985 · 18%
Related HSN codes
Products often bought, sold or invoiced together with rent:
Preguntas frecuentes
What is the HSN or SAC code for rent?
Rent falls under SAC 9972: renting of residential and commercial property. Common 6 digit codes are 997211 for rental or leasing of own or leased residential property and 997212 for rental or leasing of own or leased non residential property (shops, offices, warehouses).
What is the GST rate on rent?
Residential dwelling rented for use as a residence: exempt, except when rented to a GST registered person, who pays 18% under reverse charge. Commercial property: 18%; when an unregistered landlord rents to a registered business, the tenant pays under reverse charge.
How many digits of the rent SAC code go on a GST invoice?
If your aggregate turnover in the previous financial year was up to Rs 5 crore, write the 4 digit code 9972 on B2B invoices (optional on B2C invoices). Above Rs 5 crore, write 6 digits, such as 997211, on every invoice.
Rates checked on 13 October 2026 against the GST rate notifications in force (GST 2.0 from 22 September 2025). Descriptions are in our own words and are a guide, not a ruling: for a disputed or high value item, check the notification or ask your tax adviser.