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Lorry service GST rate

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Ramachandran R

128 Points Posted on 31 August 2020

Hi all,

We used lorry for transporting agro products. Transport company gave us the bill and they are unregistered business.

I have seen details like Lorry transport is exempted.

Like to confirm the same whether lorry transport used is exempted or have to pay GST as RCM in this case.

Thanks.

Replies (3)

Quick Summary

This discussion clarifies GST implications for lorry services used to transport agricultural produce. It highlights that transport of agricultural produce is generally not taxable. However, if the freight charge for a single consignment exceeds £750 and the goods are not agricultural produce, GST under Reverse Charge Mechanism (RCM) may apply. Given the transport involves groundnuts, an agricultural produce, it is likely exempt from GST.

ANUP GUPTA

KEEP SMILING fcaanupgupta@gmail.com

303 Points Posted on 01 September 2020

There is no Lorry concept. If freight charge for one consignment from a person is below 750 or Goods Transported is for Agricultural Produce then not taxable otherwise Taxable and need to pay RCM.

Further, if something is felt under litigation better to pay RCM as you will get the credit for the same.