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vouching of transport bills

Internal Audit 3469 views 2 replies

can anybody suggest me how to vouch ttransport bill under gta scheme of a co.?

Replies (2)

First of all one must see whether the transport bill is correctly addressed to the company. Secondly you have to assess whether it is an outward or inward bill by looking at the destination of the bill.(Inward bill-goods are coming into the company or the city in which the company is situated from outside state or city;Outward bill-goods are going out of the company or the city in which the company is situated to an outside state or city.)Check the arithmetical accuracy of the bill.Generally most transport bills have a consignment note attached to them.Check the summation and destination of these consignment notes.If you find that some bills do not have any consignment notes attached to them then enquire about it from the management of the company. Then you must see the booking of the bills in the system of the company. Generally transport bills are checked while performing Service Tax Audit. So if you are performing this audit keep in mind that Service Tax Credit  i.e. Cenvat Credit can be taken only on inward Gta bills.Service Tax is charged on a GTA bill as follows:-Bill Amount*25%*10.30%. Also calculate and see the Service Tax liability of GTA bills from the system and verify the same with the payment challans.(whether short or excess payment made,late payment made etc.).The due date for payment of Service tax of a particular month is 5th of succeding month in case of manual payment and 6th in case of E-payment.

Thanks  for sharing.........


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