Ad free CAclubindia and daily updates on your mobile. Subscribe Now!

FRIEGHT CHARGES RATE OF TAX

Mahendravarman Dhanalakshmi (66 Points)

03 July 2018

which rate of tax leived under Gst on freight charges

Reply
Follow
Share

2 Replies

CA Shivam Arora (Chartered Accountant) (2414 Points)
Replied 03 July 2018

What type of freight charges? How you are sending the goods-road, air or sea?

If road then via GTA or non-GTA?

Upgrade to CAclubindia Pro. Subscribe Now!

Vinod Babu (24191 Points)
Replied 03 July 2018

under GST. When you buy a product that fall under the 5% GST bracket, the freight charge will be 5%. If the product falls under 18% bracket, then the freight charge will be 18%. Please note that GST rate is charged depending on which bracket that product will fall under GST, i.e… 5%, 18%, 28%, etc.

You supply one or more items. Then you can charge which highest rate of Tax that only applicable for the freight amount.