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About RCM on Transport Exp

NILESH GOLANI (ACCOUNTANT) (70 Points)

16 February 2018

we are doing payment to transporters who are not registered and having single truck and also not issue any LR or Consignment Note.

than RCM should be payable on that payment?

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4 Replies

CMA Poornima Madhava (CMA) (13112 Points)
Replied 16 February 2018

As I understand, RCM applies in case payments are made to a GTA. Since the transporter does not issue LR/CN, he shall not fall within the definition of GTA and hence RCM provisions may not be applicable.

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CA KANJ GOEL (OWNER) (1378 Points)
Replied 16 February 2018

you should deposit. the tax and avail credit

the gats b (sdd) (85 Points)
Replied 16 February 2018

individual transporter who not issue any consignment note excempted from GST .

felix thomas (student) (159 Points)
Replied 19 February 2018

Transportation of goods by road is exempt other than transportation by GTA and courier. In the present case as consignement note is not issued you are not availing GTA services. Hence you are not required to pay tax on reverse charge basis.