Hi all ... i have a dought regarding the Applicability of servise tax on Transportation of Goods by road as per details as under :
as per notification 34/2004
|
(i) |
the gross amount charged on consignments transported in a goods carriage does not exceed rupees one thousand five hundred; or |
|
(ii) |
the gross amount charged on an individual consignment transported in a goods carriage does not exceed rupees seven hundred fifty |
As per notification 35/2004 it states that
| in relation to taxable service provided by a goods transport agency, where the consignor or consignee of goods is,- | |||
| (a) | any factory registered under or governed by the Factories Act, 1948 (63 of 1948); | ||
| (b) | any company established by or under the Companies Act, 1956 (1 of 1956); | ||
| (c) | any corporation established by or under any law; | ||
| (d) | any society registered under the Societies Registration Act, 1860 (21 of 1860) or under any law corresponding to that Act in force in any part of India; | ||
| (e) | any co-operative society established by or under any law; | ||
| (f) | any dealer of excisable goods, who is registered under the Central Excise Act, 1944 (1 of 1944) or the rules made thereunder; or | ||
| (g) | any body corporate established, or a partnership firm registered, by or under any law,any person who pays or is liable to pay freight either himself or through his agent for the transportation of such goods by road in a goods carriage;” ; | ||
my question is if a goods transport agency issues a bill of Rs 500 for transportation of Goods from A Factory , and as per notification 35/2004 the liability to pay servise tax is of the Factory , but can the Factory avail the exemption under section 34/2004 as the amount is under Rs 750/- or will it have to pay servise tax on the same.
Thanks in advance
CAclubindia
