Gta rcm applicability

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This query is : Resolved

CA Ronak Jain (Querist)

03 May 2019 We are GTA Service provider, register under GST. We provide GTA service to the Company registered under Factory Act, and the Company which is Service Receiver pays GST under RCM.
While providing service to this company, we also want to hire some Vehicles from other agencies like us which are also registered under GST.
In this scenario what will be the status of us in relation to RCM as we are receiving services from other agencies & same services are being forwarded to the company which is paying GST under RCM.
On this service we would have to pay RCM or not as on the same value the company is paying GST under RCM.
And if we would have to pay GST on the bills of other Agencies from which we are getting service (Vehicle on hire) under RCM.
If Yes, then double taxation would not intervene, please guide us.

CA Anita Bhadra

CA Anita Bhadra (Expert)

03 May 2019 No , you need not to pay GST on RCM Basis
.
The CGST Act gives a tax payment exemption to services received by GTA. No GST is payable on transactions where the GTA has hired a means of transportation of goods.

CA Ronak Jain

CA Ronak Jain (Querist)

03 May 2019 Can you please provide Notification No for the same.