GTA for transporter

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Do Input tax credit paid by transporter under 5% scheme and service provided to recipeient Do service receipient can claim Input tax credit..
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Originally posted by : harshik
Do Input tax credit paid by transporter under 5% scheme and service provided to recipeient Do service receipient can claim Input tax credit..

 

Please elobarate Your query. It's not cleared

No , as per notification 20 /2017 if GTA charge 12% gst on forward charge , he is eligible for ITC on his inward supply & Recepient can claim ITC, but if GTA is charging 5 % GSt, then he cannot avail itc on his inward supplies & Recipient is liable do RCM
If GTA collect GST @ 5% then No need to pay GST Tax under RCM basis by Receipient. Also avail the ITC benefit by Receipients.
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so raja p m sir can you specify the section please..
As per Notification 13/2017 CT (r) GTA services are under RCM , supplied to regisrerwd Tax Payer

The applicable rate of GST as per Notification No. 11/2017-Central Tax (R) is @ 5% . Therefore the Recipient is required to pay GST @ 5% on Reverse Charge Mechanism and of course the Recipient is allowed to take Input Tax Credit (ITC) subject to general eligibility criterion. Since GTA is not charging any GST, he is not entitled to any Credit.

if GTA is providing services to other than those specified category recipients in Notification , GTA if registered can Charge 5% GST on forward charge without ITC


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