Service tax on gta
This query is : Resolved
25 September 2012
Dear Sir,
Earlier Service tax on GTA was payable by Consignor or Consignee who pays freight.After introduction of negative list, it appears that service tax will be paid by person who pays freight. Please consider below case.
A Limited is Importer of Goods. B is clearing and forwarding agent of A. B completes all custom formalities, pays all expenses related to consignment including transportation from port to factory of A and reimburse all expenses from A.
Now in above case, consignor is A limited. As per earlier provisons service tax was required to be paid by A limited as he is consignor even the freight was paid by B on behalf of A.
Now from July 2012 onwards, who is liable to pay service tax? Either A limited in the capacity of consignor or B in capacity of payer of freight to GTA?
Please ask inncase of any more details required..
Earlier Service tax on GTA was payable by Consignor or Consignee who pays freight.After introduction of negative list, it appears that service tax will be paid by person who pays freight. Please consider below case.
A Limited is Importer of Goods. B is clearing and forwarding agent of A. B completes all custom formalities, pays all expenses related to consignment including transportation from port to factory of A and reimburse all expenses from A.
Now in above case, consignor is A limited. As per earlier provisons service tax was required to be paid by A limited as he is consignor even the freight was paid by B on behalf of A.
Now from July 2012 onwards, who is liable to pay service tax? Either A limited in the capacity of consignor or B in capacity of payer of freight to GTA?
Please ask inncase of any more details required..
25 September 2012
B will pay service tax on behalf of A and reimburse the same from A adding the same under transport bill.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Tax on Deemed Capital Gain
- Exiting partner in partnership firm in gst portal
- Type of Capital Gain
- CLOSING STOCK QUERY
- Taxability of credit in canara bank ET & T section (NRO)
- CASH GIFT FROM BLOOD RELATIVE
- TDS offline utility
- Due Date Clarity
- Can a single LLP in India legally operate multiple unrelated businesses (Travel, Cloud Kitchen, Ecom
- TDS on rent received on hardship compensation being rent on redevelopment of building
- Account freezed for Ineligible ITC Scrutiny for GST Annual Return
- TDS on property - Form 141 query
- Seeking Advice: High Tax Shortfall on Job Switch + Let-Out House Property Loss in FY 2025-26
- Housing Society-ITR5
- TDS on Rent received on redevelopment of building
- Indian IT Portal issue in computing tax as per UK-India DTAA
- Capital Gains on sale of residential flat
- Upload Level ValidationITR3Category of Defect B/D
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
