Service received from transporter

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

04 June 2012 Dear sir,
we are private limited company engage in manufacturing of Atta and food grain processing business. in this business activities we have to take service form transporter.
weather we have to registered our-self with service tax department for payment of service tax as service receiver.
please also tell me in which category i have to registered my self.

Ca Anand Dubey

Ca Anand Dubey (Expert)
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04 June 2012 yes you can register under category of service receiver

CA Nikhil Jhanwar

CA Nikhil Jhanwar (Expert)
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04 June 2012 Yes you have to get registered under the category of 'transport of goods by road'as service receiver only if you are paying freight for transportation.

Querist : Anonymous

Querist : Anonymous (Querist)

06 June 2012 now my quarry is for registration purpose.
there are two option of registration 1.as Assesses 2.NON -Assesses

please tell me that in which category i have to registered myself where i have to pay service tax only on service receive from transporter.

Asha Kanta Sharma online

Asha Kanta Sharma online

(Expert)
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24 July 2025 Thank you for the detailed query. Based on the date 04 June 2012, and the nature of your business as a Private Limited Company engaged in manufacturing, here's a clear explanation about service tax liability on transporter services, and how you should register:

🧾 Situation Overview:
Service Received: Transport of goods by road.

Transporter: Likely a Goods Transport Agency (GTA).

You (Recipient): A Private Limited Company engaged in manufacturing.

Date: Before GST era (specifically June 2012).

Question: Do you need to register for service tax and under what category?

✅ Service Tax on Goods Transport Agency (GTA) – As of June 2012
Under Notification No. 30/2012-ST, Reverse Charge Mechanism (RCM) applied to services received from a GTA.

📌 Applicable Reverse Charge Rules:
If you satisfy both of the following conditions:

The transporter issues a consignment note (i.e., qualifies as a GTA), and

You are a specified recipient (which includes registered companies or manufacturers),

Then you (the recipient) are liable to pay service tax under Reverse Charge.

📝 Registration Requirement:
Yes, you are required to register for service tax as a service recipient, under Reverse Charge provisions.

🔐 Category of Registration:
While filing for registration under Service Tax, you should select:

✅ “Assessee”
Because:

You are liable to pay service tax (under reverse charge) as per law.

“Assessee” applies to any person liable to pay service tax — even if you’re only paying under RCM.

“Non-Assessee” is meant for persons not directly liable, but interacting with department (e.g., for refund claims, procedural issues). Not applicable in your case.

📌 Service Category for Registration:
Select the taxable service category as:

"Goods Transport Agency (GTA)" – under Reverse Charge

🔄 Summary:
Requirement Your Case
Service Tax Payable? Yes, under Reverse Charge
Who Pays? You (Recipient)
Need to Register? Yes
Registration Type? As “Assessee”
Category to Register Under? “Goods Transport Agency (GTA)” as Service Receiver

🧮 Additional Tip:
Service tax rate as of 2012 was 12.36% (12% + 2% EC + 1% SHEC).
You must pay this on 25% of freight amount, if:

The GTA does not avail CENVAT credit and

Abatement of 75% is claimed (which was common at the time).

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