Goods transport agency

This query is : Resolved

sankar ponnan (Querist)
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03 August 2020 Sir
I am the director of private limited company and supplying transport service for others and issuing the consignment note as per its definition.Can I call me as GTA.

If yes, can I charge GST on the transportation services provided by me as we GTA?

What I under stood by the following notification that any services provided by goods transport agency (GTA) is taxable and services provided by other than GTA is exempt under GST.

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Give me a clear explanation regarding exemption under the Notification No.12/2017- Central Tax(Rate)
Entry No.18
Heading 9965
Services by way of transportation of goods-
(a) by road EXCEPT the services of—
(i) a GOODS TRANSPORTATION AGENCY;
(ii) a courier agency;
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CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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03 August 2020 Yes, you can call you as GTA.
For your services GST payable by recipient under RCM.
As GTA you can charge 12% GST under forward charge and claim ITC on truck purchase.
Transport services provided by other than GTA is exempt from GST.

sankar ponnan

sankar ponnan (Querist)
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03 August 2020 thank you sir
and one more confusion is,
I charge GST @ 12% on my customers by forward mechanism and collect it then, I pay it after adjusting with ITC. Why should the recipient pay under reverse charge.

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CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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03 August 2020 In such a case recipient will not pay under RCM.
Only in 5% case RCM applicable.