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Treatment in income tax and gst

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Hardik Patel

40 Points Posted on 06 December 2020

I am doing Carting business and 5% gst rate applicable on my business.

I was sales to client (B2B) rs. 1,000/- and gst rs.50/- on sales. and also provide transportation service of rs. 300/- to client on RCM basis. Transportation gst paid by client.

Question : 1) How to show transportation income rs 300/- in income tax return.
2) what treatment of transportation service in gst (GSTR 3B and GSTR 1).

Replies (3)

Quick Summary

This discussion clarifies how to handle income tax and GST for a carting business. It addresses how to report transportation services provided on a Reverse Charge Mechanism (RCM) basis in both income tax returns and GST filings (GSTR-1 and GSTR-3B). The advice focuses on accurate reporting under 'Income from business & profession' and specific RCM fields within GST returns.

Pankaj Rawat

GST Practitioner

55067 Points Posted on 06 December 2020

1. Under Income from business & profession.
In GSTR 1, report it under table 4 (B2B) by clicking the option "RCM applicable" therein & in GSTr 3B report only sale amount Under table 3.1 (a)