A - Seller, B - Buyer, C - GTA
A sells goods to B. In the Invoice transportation charges are also charged seperately. Goods are delivered by C to B. Amount was paid by B to A (including transportation charges). C gets payment from A. If service tax is to be paid for GTA services, then who was responsible to pay? Who is the Service provider & service receiver?
see : /forum/service-tax-is-to-be-paid-by-consignor-or-consignee--39804.asp#.UhYDFFPQsXY
In this case, person liable to pay freight is Supplier 'A' who is turn is claiming reimbursement from his customer 'B'. Here 'A' is not paying to GTA on behalf of 'B' but on his own account. So, if 'A' is one of the specified person in notification no. 30/2012 ie. partnership firm, factory, body corporate, society, registered central excise dealer, then due to RCM, 'A' is the person liable to pay freight and service tax.
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