Services availed inside the premises

My query relates to the assessee availed the Goods Transportation Agency(GTA) services inside the premises. The work is shifting of rawmaterial and semi finished goods to other departments and location.

        Now on these services instead of paying service tax @ 25% (after abatement) considering on 194I basis also deducted 11.3% TDS.  So, they dont pay service tax @ 25% and in the books considered on taking lorry/tipper on hire basis. The basis is no.of hours and no.of days. But driver is also party has to arrange.

Replies (5)

 SORRY YOUR QUERY IS NOT VERY MUCH CLEAR AS TO WHAT YOU WANT TO ASK.PLZ CLARIFY.

if services are for shifting of raw material -treat as inward GTA -pay ST and Avail.

u have  plan unloading  of R/M as per  desired locations.

Still u are sending lorry to other depo/location is once again shifting of R/M  production purpose treat as Inward and avail St benefit

Tds is different and ST is different

ST is payable by service who avails - Lorry / transporters are not liable for ST

more over your querry is not clear

 

As per the question to GTA. Within the factory the same would not be attracted. If more clarity exists, then we could share more information.

fine.... Thanks for the msg. I belive shivanand understood the query. My query is whether GTA  is applicable if the goods are transported with in the company premises/outside the premises?

 

The transportation within the factory may not be liable as the same maybe under material hanbling.

Outside would be either provided by the GTO or the GTA. GTO is the goods transport owner/ operator- if they provide the service there is no coverage. If the GTA ( booking agent) provides the services then there is a liability for the conignor/ consignee ( being a specified person) to pay the ST on 25% of the amount.

The same can be availed as credit if manufactruing exisable good or provding a taxable servcie.

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