Limit of transport exp.in rcm

RCM 623 views 8 replies
Sir. what is the per day limit for transportation exp (freight) for rcm pay
is it 1500 per day?
further, RCM should be paid from gst credit or direct pay by cash-bank??
Replies (8)
No limit on expenses.but it's always good to pay the frieght amount through cheque only. RCM through cash/ bank only
If I pay 100 freight so, I am liable to pay rcm???
Yes. you have to pay through cash/bank and can claim same month
@ Chintan
No RCM is applicable on payment of freight 100/- to GTA.

In tern of Notification 12/2017 CT

ITS Exempted where consideration charged
for the transportation of goods on a
consignment transported in a single
carriage does not exceed one thousand
five hundred rupees;
Dear sir

what is single carriage meant.
pls explain
then can we pay RCM only for the bills of above 1500
Dear Sownanya

lets understand with Example:

A company receives goods from a GTA in a truck. Some other goods not belonging to the company are also loaded in the truck. The company pays freight of Rs. 800/- to GTA and freight of other goods is Rs. 900/-; then the total freight for the truck is Rs. 1700 (exceed 1500). Freight paid by company is Rs. 800 (>750). So, exemption is not available and the company should pay GST on Rs. 800/-.
If I have a consignment bill of Rs. 600 then need not pay RCM??
IS IT EXEMPT?

YES CORRECT DEAR SOWJANYA...........


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