Service tax as a recipient

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Querist : Anonymous

Querist : Anonymous (Querist)

18 April 2013 We are paying to goods transport agency the freight for transporting goods by road as a reciever of service. so we have to pay service tax on it. But some of the GTA are not giving proper consignment note. some are not serially numbered,some are not having their registration no or no indication regarding who is laible to pay freight. so as per service tax definition , there should be proper consignment note. so are we liable to pay service tax if consignment note is not given by gta or it is not proper??
Also tell me how to see limit of Rs 10 lakh in gta. We are paying freight and liable to pay service tax as reciever,so how we will calculate limit of 10lakh or we have to pay without any limit??

Gorav Kumar Goyal

Gorav Kumar Goyal (Expert)
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18 April 2013 1[4B. Issue of consignment note.-

Any goods transport agency which provides service in relation to transport of goods by road in a goods carriage shall issue a consignment note 2[to the recipient of service]:

Provided that where any taxable service in relation to transport of goods by road in a goods carriage is wholly exempted under section 93 of the Act, the goods transport agency shall not be required to issue the consignment note.

Explanation.- For the purposes of this rule and the second proviso to rule 4A, "consignment note" means a document, issued by a goods transport agency against the receipt of goods for the purpose of transport of goods by road in a goods carriage, which is serially numbered, and contains the name of the consignor and consignee, registration number of the goods carriage in which the goods are transported, details of the goods transported, details of the place of origin and destination, person liable for paying service tax whether consignor, consignee or the goods transport agency.]

But still no issuance of consignment by GTA doesn't relieve form your liability.

Further for service receiver, there is no limit of rs. 10 Lacs of limit.

CA. Gorav Kumar Goyal
9910357301

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Querist : Anonymous

Querist : Anonymous (Querist)

18 April 2013 Thanx a lot sir for replying. It means we are not liable if GTA is issuing incomplete consignment note, then we are not liable.

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