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GTA is giving its own fleet in hire to its clients - rate of tax

LAKSHMI KANTH (TAX CONSULTANT) (449 Points)

19 May 2019

Sir. GTA is giving its vehicle ( own fleet) on lease to its clients, so what rate of GST is to be taxed, ie. Is it 18% or 28% ?

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6 Replies

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 19 May 2019

GTA to GTA services are exempted umder Notification 12/2017 CT (r)

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Nikhil Bhatia (Article) (309 Points)
Replied 19 May 2019

Pankaj sir, here, the supply is of leasing of vehicle and not of the transportation of goods and in my opinion there's no exemption will be given under notification 12/2017.
correct me if I'm wrong.
Also in which serial number gta to gta service has exempted?

CA Haritha Komma (Chartered Accountant) (1147 Points)
Replied 19 May 2019

Is your client a GTA??

Hiring of a vehicle to a GTA is exempted under sl. no. 22 of 12/2017-CGST (R)

LAKSHMI KANTH (TAX CONSULTANT) (449 Points)
Replied 19 May 2019

yes sir. my client is GTA having his own fleet and got registered with GST and also under forward charge, as for as giving vehicles on hire basis, he charges @ 12% GST under forward charge. How ever he also gives vehicles on lease basis, so supply of such lease vehicles should i charge @ 18% or @ 28% ? .kindly advice.