21 February 2014
GTA cannot charge service tax on his invoice if the same is covered under reverse charge mechanism. Even if GTA charges Service Tax on Invoice do not pay him service tax amount and show him Reverse Charge Mechanism Rules. But if you have paid the GTA service tax amount already ask a certificate from him that he has paid such tax to government treasury and in case of the department query show them the certificate. Department cannot charge the tax again from you since there was loss to the revenue as per the judgement of Om tea company vs Comm of Central Excise.
CAclubindia
