CA Parmeshwar Rathi (Internal Auditor) (211 Points)
22 May 2012A COMPANY ENGAGED COMMERCIAL VEHICLES (TANKERS) ON HIRE FOR TRANSPORTING THE FINISHED GOODS TO BUYERS, AND DEBITING EXPENSES AS " TANKER HIRE CHARGES". WHETHER THE COMPANY IS REQUIRED TO PAY SERVICE TAX UNDER GTA ON HIRE CHARGES PAID? ALSO, WHETHER THIS ENGAGEMENT OF TANKERS ON "HIRE" IS FALL UNDER ANY CATAGORY OF SERVICE TAX?
neeraj
(CA)
(930 Points)
Replied 22 May 2012
If the vehicles are used for transporting finished goods to the customers , co. has to pay ST on that , irrespecive of the name of ledger
CA Parmeshwar Rathi
(Internal Auditor)
(211 Points)
Replied 22 May 2012
OK, BUT THE SITUATION IS : THE PARTY GIVEN HIS TANKERS TO THE COMPANY UNDER "AGREEMENT" FOR USING / PLAYING THEM, AND COMPANY IS PLAYING THESE TANKERS BY ITS OWN "DRIVERS". ALSO THE PARTY WHO GIVEN THE VEHICLES CHARGING A FIX "MONTHLY RENT" AND COMPANY IS REGULARLY DEDUCTING THE "TDS" ON SUCH RENTAL PAYMENTS.
WOULD THERE BE ANY DIFFERENCE IN THE ANSWER? PLS REPLY. THANKING YOU.
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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