16 July 2008
we are a manufacturing concern and carriage in bills are not raised by any transport agency,but we have hired some individuals who takes the responsibility for despartching the goods to our place who in turn get commission for the service rendered plus the carriage charges.
my question is no consinement note on us is raised so weather we are liablr to pay service tax on GTA in this case
18 July 2008
Under Goods Transport Agency service, the payment of the service tax could be by the person who provides the service as agent or who receives the service and whether the same service was direct or indirect. However when any person engages agent to undertake transporation of goods on their behalf for any despatch of goods by road as such or through another agent, he is liable to pay service tax irrespective of who has paid the frieght charges. So based on above law, you are liable to pay service tax
CAclubindia
