Gst rate on composite supply

This query is : Resolved

Rajiv (Querist)
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24 July 2019 Good MorningTo All Experts,
We make Sale invoice to a Party.in this Bill we add freight . just want to know that what rate will be charges on Freight. Please understand through an example
Sale material Detail to Party
1-Item A with 18 % Igst = 25000
2-Item B with 28% Igst = 40000 I
n This bill we also add freight 10000. Than in which percentage We will charge Igst on freight amount 10K. 18 or 28% It will treat composite Supply ????

Asiya Begum

Asiya Begum (Expert)
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24 July 2019 The freight charges levied in an invoice along with the goods will be treated as composite supply and the treatment given to the principal suppply (ie., goods) will have to be given to the freight.

So, ideally in your case, the freight charges have to be apportioned between 2 goods and accordingly 18% and 28% will have to be charged. This will have practical challenges though.