Gta query

610 views 3 replies

Arihant

Business

207 Points Joined April 2009

What will happen in the following cases :

1. After 01.07.2012, GTA charges service tax in invoice. Even then we will have to deposit the same under reverse charge and ignore the amount charged by him in bill. Is this correct ?

2. Before 01.07.2012, GTA charges service tax in invoice.

3. After 01.07.2012, Courier Agency or Airlines or express cargo charges ST in invoice.

4. Is AMC related to software maintainance covered under reverse charge work contract ? and whether all types of AMC will form part of work contract ?

5. And what will happen if GTA is a company ?

Replies (3)

Arihant

Business

207 Points Joined April 2009

Pl reply its urgent .......................

Mallikharjun

Deputy Manager

304 Points Joined June 2011

1, 2 and 5) Before and after 01.07.2012, there is no change in the GTA provisions. The consignor or consignee who is making payment to the transporter is supposed to pay service tax irrespective of whether the transporter is company or individual.
3) There is no Reverse charge mechanism in these cases as these will not come under GTA.
4) All AMCs will not come under RCM. Those contracts which involves both labour and material will attract RCM under service Tax.