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RCM on Transportation

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Avishek Mukherjee

37 Points Posted on 25 February 2020

Sir,
My company is in westbengal. I purchase goods from west Bengali and sale to Delhi. What is GST applicable for transportation bill for RCM.
And the other hand if I purchase goods from karnakaka and sale the goods to the Delhi customer and send goods karnataka to delhi. What Gst applicable for transportation bill for RCM

Thanks in advance

Replies (2)

Quick Summary

This discussion clarifies the applicability of GST under Reverse Charge Mechanism (RCM) for transportation services originating from West Bengal. It explains that if the transporter is registered in West Bengal, SGST and CGST apply on an RCM basis at 5%, with ITC available. If the transporter is outside West Bengal, IGST is applicable. The core principle is that the party paying the transporter is liable for GST. It also addresses scenarios where the place of supply is outside West Bengal.

Anshuman Basu

account -GST

1560 Points Posted on 25 February 2020

If transporter registered in West Bengal and you pay him as freight them sgst and CGST applied RCM basis. I means you will make payment @ 5% and take ITC. if GTA is out side of WB then IGST applied.
basic funda is who will make payment to transporter he is liable to pay GST. if GTA is URD then consignee/consignor pay SGST and CGST