15 December 2011
my client is diling in trasport bussiness he is owner of truck and cantinor..caarry good from one place to another place in india..what service tax applicable on transpotion of goods by road? please suggest..
16 December 2011
Road Transportation falls under category of GTA attracting 10.3% subject to abatement abatement of 75% of value of services provided. If your friend is collecting servicetax along with freight charges from his clients he is required to get registred with Service tax authorities subject to threshhold exemption limit of ten lacs no ST is payable. If he is he is rendering services to any company registered under Comapnies Act, Local Authority, Associationof person, Societies regisered under relavant Act, Partenship firm, freight amount is paid by them, there is no need to pay service tax by your friend.
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