How the servic e tax is levied on courier cargo?

Save Share

This query is : Resolved

DHAVAL BHOJANI (Querist)

18 March 2009 This is to ask that, international cargo and courier company, are getting exempt from service tax upto my knowledge. I have come to know that any service which is provided on airport to airport basis..on a internationational front it doesnt come under purview of service tax. But this is never mentioned anywhere. Morever the service is in the nature of sort of clearing and forwarding international courier and cargo. Please clarify. Thanks in advance.

SIDDHARTHA SANKAR ROY

SIDDHARTHA SANKAR ROY (Expert)

19 March 2009 When somebody is exporting his service he has the option not to pay service tax leviable on it. For details you please refer to Export of Services Rules, 2005.Please write in details about your activity so that it can be suggested whether you are eligible for the benefit.

SIDDHARTHA SANKAR ROY

SIDDHARTHA SANKAR ROY (Expert)

DHAVAL BHOJANI

DHAVAL BHOJANI (Querist)

19 March 2009 YA.. WILL ELABORATE it..This is the international courier and cargo supply company. It doest not take its revenue in Foreign currency. It takes the money from its customer in INR to deleiver the goods to foreign destination. So wanted to know whehter it comes under purview of export of service rules. The big giant company does provide this sort of services and it has camne into my knowledge that they are not liable to service tax.

DHAVAL BHOJANI

DHAVAL BHOJANI (Querist)

19 March 2009 Morever they have a planning.. that whatever goods come for deleivering they deleiver on airport to airport basis which doesnt come under purview of service tax. And from airflight they appoint one another agent for clearing and handling cargo... for that they give them the fee...so in this way they are not liable to service tax... But this is never mentioned anywhere.. and this is becoming something intersting to know... Request you to even view the service tax structure of the international courier and cargo co. for better idea. waiting for your reply.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now