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Gst on port logistics/transport movement other then by gta

CA Bhasker Shandilya (Practicing chartered accountant) (135 Points)

09 June 2018

IS GST applicable on Port Logistics /Transport movement by Fleet owners. In this business fleet owner get business from shipping line. Its just shifting of containers from Port to Container freight station and vice versa.

Please advice if GST is applicable??

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11 Replies

GST Consultant (Tax Consultant) (894 Points)
Replied 10 June 2018

GST will be applicable

Vinod Babu (24191 Points)
Replied 10 June 2018

Freight forwarding and logistics shall be a‘supply of services’ including the movement of goods by air, sea, inland waterways, rail or road. The GST treatment on freight transportation shall depend whether the freight transportation is domestic or international.

CA Bhasker Shandilya (Practicing chartered accountant) (135 Points)
Replied 10 June 2018

can you please explain how. As the fleet owner is not GTA because he dont issue any consignment note. while raising the bill he only mention container number.

CA Bhasker Shandilya (Practicing chartered accountant) (135 Points)
Replied 10 June 2018

here the service provided by fleet owner is not of freight forwarding but only transportation of container from port to cfs.It can be empty container or loaded container.

Vinod Babu (24191 Points)
Replied 10 June 2018

If fleet owner is registered than gst is applicable otherwise gst is not applicable.

CA Bhasker Shandilya (Practicing chartered accountant) (135 Points)
Replied 10 June 2018

gst is applicable only to GTA and courier services.. And for a transporter to be GTA issue of consignment note is must. have you seen gst exemption list, wherein it has been mentioned that transport of goods by road other then gta and courier is exempt

Vinayak Gavhane (2 Points)
Replied 22 September 2018

RCM will not be applicable in this case. We are not paying RCM for one of our shipping client. Even if you pay RCM liability, you can take ITC with immediate effect in GSTR 3B, so it won't have any impact on your payables.

CA Bhasker Shandilya (Practicing chartered accountant) (135 Points)
Replied 22 September 2018

yes rcm will not applicable as these are exempt services under exemption notification.

Satish Kavitake (389 Points)
Replied 21 November 2018

please provide exemption notification

CA Bhasker Shandilya (Practicing chartered accountant) (135 Points)
Replied 21 November 2018

entry no 18 of gst exemption list which states as follows : Services by way of transportation of goods(a) by road except the services of— (i) a goods transportation agency; (ii) a courier agency; (b) by inland waterways

CA Bhasker Shandilya (Practicing chartered accountant) (135 Points)
Replied 21 November 2018

Only service by GTA is taxable service.. And GTA is a person who issues consignment note other may hire vehicles but issue of consignment note is must for transport services to fall under GTA category.