Payment of GTA

This query is : Resolved

Manish (Querist)
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01 August 2009 We are Pvt. LTd manufacturing company availing GTA service. Transporter Agencies have raised freight bills in month of April-09 and we booked the same in April-09 in our accounts while payment of those bills have made in June-09. In such case, when we should pay service tax?whehter on 5th May-09 or 5th of July-09.

Shyam Lal Naik

Shyam Lal Naik (Expert)
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02 August 2009 In the case of GTA, the compliance burden has been shifted from the Service Provider to Service Receiver in specified circumstances. All other procedure remains the same.

Service tax is payable on cash basis.

The due date is 5th of July.

Dilip Darji

Dilip Darji (Expert)
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03 August 2009 Dear Manish.
Good Morning to you.
As per Rule 6(1)(ii) of Service Tax Rules, 1994,the service tax shall be paid to the credit of Central government by the 5 th day of the month, immediately following the calander month in which the payments are received, towards the value of taxable services.
Accordingly, yiou are required to pay on 5 th of July.
Regards.
DILIP DARJI.

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