Exemption limit in case of gta

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Querist : Anonymous

Querist : Anonymous (Querist)

26 April 2014 SIR,
PLEASE LET ME KNOW THE EXEMPTION LIMI IN CASE OF GTA
SIR, PLEASE GIVE AN EXAMPLE

Sandeep Dharar

Sandeep Dharar (Expert)
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26 April 2014 75% is the exempted in GTA, and tax will b paid on remaining 25% of service provided.

Querist : Anonymous

Querist : Anonymous (Querist)

26 April 2014 SIR,
WHAT IS THE RULE OF EXEMPTION OF RS.750/- AND RS.1500/-

Querist : Anonymous

Querist : Anonymous (Querist)

26 April 2014 SIR,
WHAT IS THE RULE OF EXEMPTION OF RS.750/- AND RS.1500/-

Asha Kanta Sharma

Asha Kanta Sharma (Expert)
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21 July 2024 In the context of Goods Transport Agency (GTA) services under the Service Tax regime (which is now replaced by GST), there were exemptions based on the value of the services provided. Here's an explanation of the exemption limits:

1. **Exemption Limit of Rs. 750/-**: Under the Service Tax rules, services provided by a Goods Transport Agency in relation to transportation of goods were exempt from service tax if the gross amount charged for transportation of goods in a single consignment did not exceed Rs. 750/-. This exemption was provided under Notification No. 30/2004-ST dated 10th September 2004.

- **Example**: If a Goods Transport Agency transported goods for a client and the total freight charges for a single consignment did not exceed Rs. 750/-, no service tax was applicable on those transportation services.

2. **Exemption Limit of Rs. 1500/-**: Another exemption was available where the gross amount charged for transportation of all such goods for a single consignee in a goods carriage did not exceed Rs. 1500/-. This means if the total freight charges for all goods transported to a single consignee in a single goods carriage did not exceed Rs. 1500/-, service tax was not applicable.

- **Example**: If a Goods Transport Agency transported goods to a single consignee in a goods carriage and the total freight charges for all goods did not exceed Rs. 1500/-, no service tax was applicable on those transportation services.

These exemption limits were designed to provide relief for small consignments and low-value transactions to reduce compliance burden for small businesses and transporters.

**Note**: Please note that these exemptions were specific to the Service Tax regime and were applicable before the implementation of GST. The rules and exemptions may have changed under GST, and it's important to refer to the latest GST laws and notifications for current exemptions related to transportation services.

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