Introduction
Just imagine, you've woven a brilliant business plan into your mind. Everything is set up – the merchandise is ready, the website is ready, and now you're ready for the government paperwork. You fill out a form and there is a small column waiting for you: "NIC Code".
What is this? Is it so important that without it your business will not be registered?
Yes! In the world of business, this 'NIC Code' is not just a bundle of numbers; This is the official identity of your enterprise. Just like every human being has a name, every business has a special NIC code. Whether you're opening a small café, starting a software company, or making handicrafts at home—the government should know exactly what you're doing!
In today's comprehensive article, we'll not only explain to you the intricacies of the NIC Code List in simple language but also how to choose the right code for MSME, GST, or company registration in 2025.
Not just code, it's the foundation of your industry!
The full name of NIC is National Industrial Classification. It is a standard system set by the Government of India that is used to systematically classify all economic activities of the country.
Think of it this way, if the government wants to know how many people are doing the business of 'hotels and restaurants' in the country, or how many companies are engaged in 'textile manufacturing', then it takes the help of this code.
The code system is based on the United Nations (UN)'s International Standard Industrial Classification (ISIC), which has been adapted to Indian needs.
NIC Code List 2008 is the newest and prevalent version currently used in India. Earlier, the 2004 and 1998 editions were also in use, but now NIC 2008 is preferred in all government forms and registrations.
A NIC code works in a 5-digit structure, although it is often used at the 2, 3, 4, or 5-digit level:
For example:
standard
numerical figure
(Description)
code
Division
2
Manufacture of textiles
13
Group
3
Spinning, weaving and finishing of textile
131
Class
4
Weaving of textiles
1312
Sub-Class
5
Weaving of cotton textiles
13121
As a small entrepreneur, you might be wondering why I work so hard? The simple answer is:
In NIC 2008, economic activities are divided into 21 Sections (A to U). Each section is further classified with codes ranging from 2-digit to 5-digit — the more digits, the greater the level of detail.
Example:
Section A – Agriculture, Forestry & Fishing (NIC Codes 01–03)
NIC Code
Activity
01
0111–0190
Crop production, farming, horticulture (sugarcane, rice, wheat, vegetables, fruits, etc.)
02
0210–0240
Forestry, logging, timber & wood cutting activities
03
0311–0322
Fishing, aquaculture, fish farms, marine & inland fishing
Section B – Mining & Quarrying (NIC Codes 05–09)
05
0510–0520
Coal mining (bituminous, lignite, etc.)
06
0610–0620
Extraction of crude petroleum and natural gas
07
0710–0720
Mining of metal ores (iron, copper, zinc, etc.)
08
0810–0890
Quarrying of stone, sand, clay, gravel
09
0910–0990
Support services for mining & drilling
Section C – Manufacturing (NIC Codes 10–33)
10
1010–1090
Food products manufacturing (dairy, meat, bakery, grains, sugar)
11
1101–1104
Beverages manufacturing (soft drinks, alcohol, bottled water)
12
1200
Tobacco products
1311–1399
Textiles (cotton, wool, synthetic fabrics)
14
1410–1490
Apparel manufacturing (garments, footwear)
15
1511–1520
Leather & related products
16
1610–1629
Wood products, furniture, carpentry
17
1701–1709
Paper & paper products
18
1811–1820
Printing & recorded media
19
1910–1920
Petroleum refining & coke products
20
2011–2029
Chemicals, fertilizers, pharmaceutical ingredients
21
2100
Pharmaceuticals, medicinal chemicals
22
2211–2220
Rubber & plastic products
23
2310–2399
Cement, glass, ceramics, non-metallic minerals
24
2410–2432
Basic metals (iron, steel, aluminum, copper)
25
2511–2599
Fabricated metal products (tools, tanks, etc.)
26
2610–2699
Computers, electronic & optical products
27
2710–2790
Electrical equipment (motors, transformers, appliances)
28
2811–2899
Machinery & equipment manufacturing
29
2910–3099
Motor vehicles, trailers, parts manufacturing
30
3011–3099
Other transport equipment (ships, aircraft, trains)
31
3100
Furniture manufacturing
32
3211–3299
Jewellery, musical instruments, sports goods
33
3311–3320
Repair & installation of industrial machinery
Section D – Electricity, Gas, Steam & Air Conditioning Supply (NIC Code 35)
35
351
3510
Electric power generation, transmission & distribution
352
3520
Manufacture of gas; distribution of gaseous fuels
353
3530
Steam & air conditioning supply
Section E – Water Supply; Sewerage; Waste Management (NIC Codes 36–39)
36
3600
Water collection, treatment & supply
37
3700
Sewerage
38
3810–3830
Waste collection, treatment & materials recovery
39
3900
Remediation & other waste management services
Section F – Construction (NIC Codes 41–43)
41
4100
Construction of buildings (residential / commercial)
42
4210–4290
Civil engineering (roads, bridges, utility projects)
43
4310–4390
Specialized construction (electrical, plumbing, finishing work)
NIC Codes for Services:
The National Industrial Classification (NIC 2008) assigns unique codes to all service-based economic activities, covering trade, transportation, accommodation, finance, professional services, education, healthcare, entertainment, and more. These codes help in business registration, GST filing, MSME registration, and official statistical reporting.
Section G – Wholesale & Retail Trade; Repair of Motor Vehicles (NIC Codes 45–47)
45
4510–4540
Sale & repair of motor vehicles & motorcycles
46
4610–4690
Wholesale trade (except motor vehicles)
47
4710–4790
Retail trade (except motor vehicles)
Section H – Transportation & Storage (NIC Codes 49–53)
49
4910–4940
Land transport (rail, road)
50
5010–5090
Water transport
51
5110–5190
Air transport
52
5210–5290
Warehousing & support activities for transport
53
5310–5320
Postal & courier activities
Section I – Accommodation & Food Service (NIC Codes 55–56)
55
5510–5590
Accommodation (hotels, lodges, camps)
56
5610–5630
Food & beverage service (restaurants, dhabas, catering)
Section J – Information & Communication (NIC Codes 58–63)
58
5810–5820
Publishing (books, software, media)
59
5910–5920
Motion picture, video, TV production, sound recording
60
6010–6020
Broadcasting & programming
61
6110–6190
Telecommunications
62
6201–6209
Computer programming, consultancy & IT services
63
6310–6399
Information service activities (web portals, data processing)
Section K – Financial & Insurance Activities (NIC Codes 64–66)
64
6410–6499
Financial services (except insurance)
65
6510–6550
Insurance, reinsurance, pension funding
66
6610–6690
Auxiliary to financial & insurance (brokers, agents)
Section L – Real Estate Activities (NIC Code 68)
68
6810–6820
Real estate (buying, selling, renting)
Section M – Professional, Scientific & Technical (NIC Codes 69–75)
69
6910–6920
Legal & accounting
70
7010–7020
Management consultancy
71
7110–7120
Architecture & engineering; technical testing
72
7210–7290
Scientific research & development
73
7310–7320
Advertising & market research
74
7410–7490
Other professional & technical services
75
7500
Veterinary activities
Section N – Administrative & Support Services (NIC Codes 77–82)
77
7710–7790
Rental & leasing
78
7810–7830
Employment / staffing agencies
79
7910–7990
Travel agencies, tour operators
80
8010–8090
Security & investigation
81
8110–8130
Cleaning & landscaping
82
8210–8299
Office administrative & business support
Section O – Public Administration & Defence (NIC Code 84)
84
8411–8430
Government administration, defence & social security
Section P – Education (NIC Code 85)
85
8510–8550
Education (schools, colleges, coaching, vocational)
Section Q – Human Health & Social Work (NIC Codes 86–88)
86
8610–8690
Human health (hospitals, clinics)
87
8710–8730
Residential care (old age homes, rehab)
88
8810–8890
Social work (NGOs, welfare orgs)
Section R – Arts, Entertainment & Recreation (NIC Codes 90–93)
90
9000
Creative, arts & entertainment
91
9100
Libraries, museums, cultural
92
9200
Gambling & betting
93
9310–9390
Sports & recreation
Section S – Other Service Activities (NIC Codes 94–96)
94
9410–9490
Membership organisations (trade unions, associations)
95
9510–9520
Repair of computers & personal goods
96
9601–9609
Other personal services (beauty parlours, salons, etc.)
Section T – Activities of Households as Employers (NIC Codes 97–98)
97
9700
Domestic workers employed by households
98
9810–9820
Undifferentiated goods & services producing by households
Section U – Activities of Extraterritorial Organisations (NIC Code 99)
99
9900
Activities of foreign missions, embassies, UN & international organisations
This part often confuses people. There are thousands of options throughout the NIC Code List. Here's a humane, step-by-step process to make it simple:
Step 1: Identify Your Core Activity
Ask yourself: "What does my business really do?"
Step 2: Identify the Broad Division (2-Digit Code)
First, look for the 2-digit 'Division' in the complete NIC Code List (which is easily available on government websites).
Step 3: Narrow Down to Group and Class (3 & 4-Digit Codes)
When you find the 2-digit code, look at its sub-lists. The 3-digit and 4-digit codes will bring you closer to your industry.
Step 4: Find the Precise 5-Digit Sub-Class)
Now this is the most important step. The 5-digit code will tell you your exact activity.
Pro tip: If you do more than one job, away keep the code that brings you the most revenue or the most time. In an MSME Udyam, you can also add more than one code.
Choosing your code from the correct NIC Code List may seem like a small thing, but one wrong code can lead to major legal or tax complications in the future.
Here are some of the most commonly used 5-digit codes, which can be a starting point for you:
Type of Business (Use Case)
NIC 2008 Code
(Division/Activity)
IT Consultancy/Software
62029
Other Information Technology and Computer Services Activities
Clothing Shop/Retail Trade
47711
Retail Trade of Readymade Clothes
Restaurant/Cafe
56101
Restaurant and Catering Services
Website/Digital Marketing
62090
Other Information Technology and Computer Services Activities (OR 63110: Data Processing, Hosting)
Grocery Store
47111
Retail Trade in Grocery and General Stores
Homemade Handicrafts/MSME
32909
Other manufacturing unclassified elsewhere
Online Education/Tutoring
85499
Other education activities not classified elsewhere
We saw that the NIC Code List is not just a government formality; This is the official language of your business. It decides which field you belong to, and what benefits you can get in the future. The mistake of ignoring a small code can do big damage!
So, whether you're doing your Udyam Registration today, or checking your GST details, once again ensure that your NIC Code is absolutely accurate.
Ensure your NIC Code is accurately selected and take advantage of the trusted services of LegalDev.in and GSTRegistration.co for assistance with business filing and compliance.