Please clarify the notification 34/2004 service tax

Hi Saroj,

Notification No. 34/2004 prescribes maximum exemption limits of freight amounts from Goods Transport Agency Service. These are called "value-based exemptions".

There are two limits -

1. Rs. 750/- for individual consignment

2. Rs. 1500/- for all consignment

Individual consignments are those consignments where all good transported in a goods carriage and just because word "all" here is prescribed it can not be bifurcated to get Rs. 750/- exemption for each consignments travelling in the goods carriage of the consignee.

Rs. 1,500/- limit will be applicable to small scale operators opertating with small or medium sized goods with small or medium sized goods carriages for short distances.

Warm Regards.