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ANIMESH PANDEY (Querist)
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18 February 2016 sir ,
we are paying service tax on gta under reverse charge /
My questions are
1) How much abatement is available on it?
2)whether we can book CENVAT credit of service tax paid on gta services ?

Suresh Ramaswamy

Suresh Ramaswamy (Expert)
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18 February 2016 Goods Transport Agency Services are covered under Reverse Charge Mechanism and as per Notification 30 / 2012 - ST dated 20th June 2012, the service recipient has to pay the full service tax applicable.

To compute the service tax liability, the service recipient is entitled to an abatement 70% and tax is payable on 30% of the invoice amount.

No CENVAT Credit can be booked and availed.

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