Provision of freight with goods supply in a single invoice

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

18 August 2017 Sir,
Please clear my confusion that if a vendor supllies goods with the 28 % igst then frieght will be taxable on 28% as goods supply rate or on 18% as per service category part.

CA S K MISHRA

CA S K MISHRA (Expert)
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18 August 2017 As per Sec 15 of CGST Act, transaction value includes all incidental expenses borne by the supplier i.e freight, packing , forwarding & other incidental expenses.This is naturally bundled. Rate of principal item will apply. i.e if your supply item attract 28%, GST on freight is also 28%.