Requesting - Clarification on Goods Transport Expenses - Non GTA Clause - RCM Provision - reg.,
This query is : Resolved
10 April 2021
I am Kumar from Vellore,Tamilnadu and I am a registered GST dealer and doing a business of FMCG Distribution in my town.
For the distribution of goods to the market place (Retail Outlets), I use to hire truck from a local goods carrier operator and pay him on a daily basis, depending upon the load factor and distance factor.
The Local carrier operator is not a GTA (who is not issuing Goods Consignment Note) and not GST registered operator. He simply provide the truck and make the transport of goods.
Even Loading and Unloading of goods also not part of the transport operator, I am paying directly to the local coolies.
He only provide the Invoice for the payment of transportation.
My daily payment to the transport operator is around Rs.5000 and the total annual payment will be Rs.14 to 15 Lakhs approximately.
Since, the transport operator, not coming under the ambit of GTA (upto my knowledge on GST Act) , RCM is not applicable, and the services by the local transport operator is exempted from GST.
So, As of now, I am not doing any Reverse Charge Mechanism (RCM) entry in my GSTR 1 and GSTR 3B returns for the transportation expenses which I have incurred.
I kindly requesting you to advise me on the transportation expenses, which I am incurring will come under GTA or Non GTA and moreover, the RCM is applicable or not applicable on the same.
Since, the Financial year 2020-21 is ended and going to file the March 2021 GST return in this week, I kindly requesting you to clarify my humble request at the earliest. Which may even helpfull to many of my collegue distributors in the distribution industry.
With regards,
Kumar,
I am Kumar from Vellore,Tamilnadu and I am a registered GST dealer and doing a business of FMCG Distribution in my town.
For the distribution of goods to the market place (Retail Outlets), I use to hire truck from a local goods carrier operator and pay him on a daily basis, depending upon the load factor and distance factor.
The Local carrier operator is not a GTA (who is not issuing Goods Consignment Note) and not GST registered operator. He simply provide the truck and make the transport of goods.
Even Loading and Unloading of goods also not part of the transport operator, I am paying directly to the local coolies.
He only provide the Invoice for the payment of transportation.
My daily payment to the transport operator is around Rs.5000 and the total annual payment will be Rs.14 to 15 Lakhs approximately.
Since, the transport operator, not coming under the ambit of GTA (upto my knowledge on GST Act) , RCM is not applicable, and the services by the local transport operator is exempted from GST.
So, As of now, I am not doing any Reverse Charge Mechanism (RCM) entry in my GSTR 1 and GSTR 3B returns for the transportation expenses which I have incurred.
I kindly requesting you to advise me on the transportation expenses, which I am incurring will come under GTA or Non GTA and moreover, the RCM is applicable or not applicable on the same.
Since, the Financial year 2020-21 is ended and going to file the March 2021 GST return in this week, I kindly requesting you to clarify my humble request at the earliest. Which may even helpfull to many of my collegue distributors in the distribution industry.
With regards,
Kumar,
10 April 2021
It's non GTA RCM not applicable.
10 April 2021
I am very Thankful for your valuable advice Mr.Auditor Sir.
And, Having a doubt on the same, is that,
If I am using truck from a Single Transport Operator (Who is not giving Consignment Note and a NON-GTA Clause) and I am paying to him by every week bank transfers (Total Payment will be Rs.15,00,000 Annually approx) , will also not attract GST under RCM ???
And, Having a doubt on the same, is that,
If I am using truck from a Single Transport Operator (Who is not giving Consignment Note and a NON-GTA Clause) and I am paying to him by every week bank transfers (Total Payment will be Rs.15,00,000 Annually approx) , will also not attract GST under RCM ???
10 April 2021
It's exempt service GST not applicable under RCM or under forward charge.
11 April 2021
Thankyou Verymuch Sir.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Errors in lTDS FORM 26 QB FILING FOR Last instalment payment FOR HOUSE PROPERTY PURCHASE
- TDS deposited by party after the filing of income tax returns
- Address Proof Required Gst Registration in UP
- Reg Correction Form 15CB & 15CA
- Regarding Capital gain of NRI
- Gstr9 fy23-24
- REGARDING ITR RETURN PROCCESSED BY DEPARTMENT
- What is the Solution if UPDATED Return139(8A) is Invalid? Or how to Valided Return?
- Commission agent gst registration requirement????
- Cancel of form 102 without transfer
- GSTR9 ITC AVAILED CLARIFICATION
- Tax on sale of mhada redevelop flat
- Gstr9 2023-24
- Wrong itc ingstr-3b coloum4-b-1
- Reclaim input disclose in annual return 23-24
- How to re-claim and offset the ITC in 3B rtn.
- How to determine Holding period of shares in the case of ( Listed shares)
- How to capital Gain in the case sale of shares after after right issue (STCG and LTCG)
- Capital in the case of sale of shares after Merger or Demerger
- Adjusted from Capital account
Trending Online Classes
-
6 days Certification Course on GST Practical Return Filing Process
CA Pratibha Goyal16 December 2024
CAclubindia
