Gta on freight reimbursed to the supplier

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Sabareesh (Querist)
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04 August 2014 Dear all,
My company is purchasing goods from a supplier & he is charging freight in the bill.
Case 1. Transporter is submitting the LR with the bill. Are we liable to pay GTA?
Case 2.Transporter is not submitting the LR with the bill. Are we liable to pay GTA based on the amount stated in the bill?

CA DHEERAJ

CA DHEERAJ (Expert)
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04 August 2014 dEAR sABAREESH

under GTA service recipient is liable to pay service tax

in case 1. you are liable to pay service tax because you receive the service and pay LR Amount

and Case 2. your supplier is receive service because he pay LR Amount, You only buyer for goods, so in Case 2 your are not liable to pay service Tax

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