gta calculation

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Querist : Anonymous

Querist : Anonymous (Querist)

31 July 2012 Someone,,

pls Provide Guideline Abt GTA (by Road) With Example..

RENGARAJ R.K

RENGARAJ R.K (Expert)
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31 July 2012 Where the consignor or consignee 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 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;
(d) any co-operative society established by or under any law;
(e) any dealer of excisable goods, who is registered under the Central Excise Act, 1944 (1
of 1944) or the rules made there under; or
(f) any partnership firm registered, or not including association of persons

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.
Thus where the consignor or consignee is a specified person as covered in the aforesaid paragraph, the person liable to pay freight would be required to pay service tax.

Working:

25% of the freight amount has to be
calculated as taxable turnover and 12.36% has to be paid on the taxable turnover. The LR value should be above Rs.750/- i.e upto Rs.750/- no service tax.