10 December 2011
Generally service provider is responsible for payment of service tax In case of goods transport agency the liability of paying service tax may fall on service receiver or service provider depending on the status of the receiver, taxable service is provided by GTA where the consignor or consignee goods is: 1.Any factory as per factories Act 2.Any Company established under Companies Act, 1956 3.Any corporation established by or under any law 4.Any society registered under society registration Act 1860 5.Any co-operative society established by or under any law 6.Any dealer of excisable goods 7.Any body corporate established or a registered firm by or under any law
In the above cases any person who pays or liable to pay freight either himself or through his agent for transportation of goods by road in goods carriage is liable to pay service tax
The goods transport agency itself is liable for service tax if service is provided to a.An individual b.HUF c.Unregistered firm The rate of service tax is: 10% of the value of service 2% of the service tax payable as Education Cess 1% of the service tax payable as Secondary and Higher Education Cess Totally 10.30%
CAclubindia
