Reverse charge mechanism

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

09 April 2014 If a person is providing a service of Goods Transport Agency in respect of transportation of goods by road to a proprietor/individual
Who will have to pay the Service Tax?

Rupesh Jain

Rupesh Jain (Expert)
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09 April 2014 if transport agency ST charge then no liability no service tax.

other wise prop liability to pay service tax on freight

Querist : Anonymous

Querist : Anonymous (Querist)

10 April 2014 Dear Rupesh ji,

Notification No. 30/2012-Service Tax specifies,

I. The taxable services,—

(A)(ii) provided or agreed to be provided by a goods transport agency in respect of transportation of goods by road, where the person liable to pay freight is,—
(a) any factory registered under or governed by the Factories Act, 1948 (63 of 1948);
(b) any society registered under the Societies Registration Act, 1860 (21 of 1860) or under any other law for the time being in force in any part of India;
(c) any co-operative society established by or under any law;
(d) any dealer of excisable goods, who is registered under the Central Excise Act, 1944 (1 of 1944) or the rules made thereunder;
(e) any body corporate established, by or under any law; or
(f) any partnership firm whether registered or not under any law including association of persons;

It doesn't cover individual or proprietor.