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RCM. Reverse charge tax

Suthaniya P (124 Points)

03 September 2024

Do you have to pay reverse charge tax on paying for the freight charges?

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6 Replies

prasad Nilugal ( GST Practitioner & Accounts ) (14801 Points)
Replied 04 September 2024

In my opinion, on freight charges GST is applicable on forward charge , take more opinion on this.

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RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 04 September 2024

Yes I agreed...

@ Suthanya P,

Can You give more details about that freight charges...??

Rajendra Prasad (Employee Private) (1867 Points)
Replied 04 September 2024

If Transport Service provider is registered under GST and submitted declaration as prescribed in GST provisions then only he can collect GST in his Invoice on Fright Charges either @ 12% or @ 5%, else we have to pay GST under reverse charge and no need to pay GST to service provider.

Suthaniya P (124 Points)
Replied 04 September 2024

Thank you

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 04 September 2024

Originally posted by : Rajendra Prasad
	If Transport Service provider is registered under GST and submitted declaration as prescribed in GST provisions then only he can collect GST in his Invoice on Fright Charges either @ 12% or @ 5%, else we have to pay GST under reverse charge and no need to pay GST to service provider.