What is a goods transport agency?
(ze) “goods transport agency” means any person who provides service in relation to transport of goods by road and issues consignment note, by whatever name called; Thus, it can be seen that issuance of a consignment note is the sine-qua-non for a supplierof service to be considered as a Goods Transport Agency.
Is RCM applicable on transport?
13/2017- Central Tax (Rate) dated 28th June, 2017) are required to pay GST under RCM….What is the rate of GST on GTA?
| Service by a GTA | GST rate |
|---|---|
| Transporting goods (GST paid by GTA)* | 5% No ITC or 12% with ITC |
What is the limit of RCM on transportation?
8. Transport of any goods, where consideration charged for transportation of all such goods for a single consignee does not exceed Rs. 750….When GTA services on RCM basis is an inter-state supply and an intra state supply?
| Recipient | Place of Supply |
|---|---|
| Registered Person | Location of Registered Recipient |
Is service tax applicable on freight charges?
Are we liable to pay service tax on freight paid on transportation of these food items? No. Neither service receiver, nor service provider (GTA) is liable to pay service tax as the transportation of these items is exempted.
Is GST compulsory for transporter?
Under GTA, a transporter must obtain a GST registration based on their aggregate turnover exceeding INR 20 lakhs or INR 10 lakhs for a unique category in a financial year. GTA has to pay 12% GST on all the GTA services for the financial year provided by them.
Is GST registration mandatory for RCM?
Registration: A person who is required to pay tax under reverse charge has to compulsorily register under GST and the threshold limit of Rs. 20 lakh (Rs. 10 lakh for special category states except J & K) is not applicable to them.
Is RCM payable on transportation of exempted goods?
No, RCM is payable at the rate chargeable on a particular supply. If the relevant supply is exempted then RCM will also be exempted.
Is RCM applicable on transport of exempted goods?
Answer: Yes, a GTA providing service in relation to transportation of goods by road under RCM can avail of the benefit of this exemption.
What is negative list under service tax?
Negative List of Service Tax: Under Section 66D of the Finance Act 1994, a negative list of services have been outlined, which are deemed to be exempt from service tax. Any service provided that does not come under the purview of this list is liable to be levied with service tax.
Is transporter exempted from GST?
Services by way of giving on hire to a goods transport agency, a means of transportation of goods is exempt from GST – Notification No. 12/2017-CT (Rate) and No. 9/2017-IT (Rate), effective from 1-7- 2017.
Is lorry receipt mandatory?
It was contended that since carrying the Lorry Receipt is not a requirement prescribed under rule 138A(1) of the rules and there is no statutory provision empowering the respondents to make an order of detention under section 129(1) of the CGST Act for any deficiency in the lorry receipt issued by the transporter, the …
What is meant by ‘goods transport agency’?
As per section 65 (50B), ‘goods transport agency’ means any commercial concern which provides service in relation to transport of goods by road and issues consignment note, by whatever name called. (ii) Service should be provided by ‘commercial concern’ and (iii) The service provider must have issued consignment note by whatever name called.
Are goods transport agencies required to take registration for service tax?
Thus those goods transport agencies, which are not liable to pay any service tax, are not required to be registered under the service tax rules. 9.3 Whether it is compulsory for a recipient of GTA service to take registration for service tax?
What is place of provision of service for good transport agency?
place of provision of service for good transport agency is the location of person liable to pay tax under rule 2 (1) (d) of service tax rules, 1994. when GTA service is provided and service tax is payable under reverse charge mechanism , the person liable to pay service tax is the person or his agent who pays the fright.
Who is not liable for service tax on transportation of goods?
In other words, if any person is providing service of transportation of goods by road, and is neither covered under the statutory definition of GTA, nor under courier agency, then he is not liable to pay any service tax on such transportation. 5. Reverse Charge on GTA 5.1 We are a Partnership Firm.