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Gta

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swetha

Finance Manager

140 Points Posted on 29 November 2012

Ours is transformers manufactring unit and we are sending our of Finished goods by Lorry. The transporter is not charging Service Tax on freight charges on their bill. And we are also bringing the failure transformer from TNEB by road side lorry.

1. Whether we have to pay 100% service tax on the transportation charges which is not charges by the transporter under GTA and transport charges paid to Local road side lorry.

2. Whether we have to register our company under GTA? We have already registered in ST as Service Provider.{ Maintainence & Repairs}

3. Accounting Code under which we have to pay Service Tax , Edu Cess and SHE cess on GTA

4. Whether we can avail the service tax paid under GTA both freight inwards charges and freight outwards charges.

Please clarify

Replies (1)

Anandan

HOD accounts

502 Points Posted on 29 November 2012

@ swetha...R u a transporter manufacturing company or a transformer manufacturing company?

1. You will have to pay GTA tax, not 100% but on 25% of the Charges after availing the abatement of 75%. i.e. if you have paid Rs.1200 to transporter, then deduct 75% (Rs.900) as abatement and on Rs.300/- @ 12.36%, you will have to pay 37.08 as GTA Tax. GTA tax will have to paid on for any amount paid above Rs.750 per trasaction.

2. You will have to amend your S.T.Registration certificate for GTA under Transport of Goods by Road.

3. The accounting code are 00440067 for 12% , 004400298 - Primary ed.cess and 00440426 for SHEC.

4. No, you can't avail cenvat credit paid agst GTA tax.

Regards

Anandan.s