Gst on lorry freight paid

I am dealing in waste paper and supplying to paper mills. the price is inclusive of freight charges. I am paying the lorry freight. Since the price is inclusive of freight charges and gst charged for price including the freight, do i have to pay GST for the freight amount under RCM and get input?
Replies (3)
Quick Summary
This discussion clarifies GST implications for businesses involved in waste paper supply where freight charges are included in the sale price. The user pays the lorry freight directly and is asking about Reverse Charge Mechanism (RCM) applicability and input tax credit. The consensus is that if the transporter invoices the user, and the user recovers the cost from the paper mill, GST under RCM is payable on the freight, and input tax credit is eligible.

As I Understand from your wordings, Transporter is raising invoice on you and you are recovering the cost of transport from the paper mills whom you supply the waste paper.

since you are paying the freight, you have to pay the GST under RCM and you are also eligible to take the credit against the same.

Thank you so much for your reply
HSN Code Please. Inform GST Rate

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 10 July 2026
Article Assistant

N S Gokhale & Co

Thane

CA Inter

View Details
Company
ARTICLESHIP 11 July 2026
Article

SNCO

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 16 July 2026
Article Assistant

Sahil Agarwal & Company

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 14 July 2026
Article Assistants

R Shyam and Associates

New Delhi

CA Final

View Details
Company
ARTICLESHIP 28 July 2026
Article/Intern/Semi-Qualified/Fresher B.Com

VNSS & Co

Mumbai

Others

View Details
Company
31 July 2026
Senior Accountant - Bunia, Democratic Republic of Congo

AD GLOBAL LTD

Mumbai

B.Com

View Details
Company
14 July 2026
Senior Executive/ Manager

H S SHARMA AND CO

Pune

CA Final

View Details
Company
ARTICLESHIP 16 July 2026
CA Article

Pipara & Co. LLP.

Mumbai

CA Inter

View Details
Follow