Service tax payment for gta services

CA CS Preeti Mehta (nil) (635 Points)

05 February 2012  

Find attached chapter 5 of service tax. GO to page 5.9 & read points which merit consideration.

my question is :

if you read point 2 together with point 5 the interpretation is :

even if GTA pays the service tax on such GTA service provided by him, then also consignor or consignee is liable to pay service tax. But that service tax would be on what amt? For eg. In  my company one GTA has charged 1000 as transportation service & 130 as service tax . So net amt charged is  1130/-. So shall I being the service recipient pay service tax on 1130 or 1000?

Secondly point 5th says that where consignor or consignee who is responsible are not specified liability reverts to GTA & then GTA should pay the service tax. I dont understand the meaning of "consignor or consignee who is responsible are not specified".Does that mean that GTA has not specified in consignment note/ tax invoice who should pay the tax ie consignor or consignee. Or does that mean that in the invoice raised by GTA, names of consignor or consignee are not specified. The example I mentioned above will be covered  under this matter or not.