01 September 2009
Sir, one of my client,a Individual transport operator, had engaged in the business of transport of goods i.e. Food Grain from one govt godown to another govt godown on behalf of Collector of the Distt. My question is that whether my client is doing activity liable for service tax & if yes, then who will pay the service tax, i.e. my client as GTA or the Govt. i.e. Collector of the Distt.
Taxable service under GTA means any service provided or to to be provided to any person, by a goods transport agency, in relation to transportation of goods by road in a goods carriage. The goods transport agency is a person who provides services in relation to transport of goods by road and issues consignment note.
There is no specific exemption to the services rendered to Govt. Secondly, the consignor / consignee does not fall under any of the seven categories as per notification no.36 / 2004-ST dt 31.12.04.
Hence, if your client satisfies the paragraph one above FULLY, then he is liable to pay the ser tax.
CAclubindia
