Taxpayer owns some trucks. He use it for (A)transportation of his own goods i.e. coal, (B) For purely transportation services of sister concerns in which he issued consignment note (C) provide his trucks to GTA who secure work from companies and deploy taxpayers trucks. (D) Provides his trucks to companies directly and issue consignment note.
In case of (A) he sales at FOR basis, therefore pays outward tax @ 5% (i.e. rate of coal) with ITC.
In case of (B) he issues FCM bills @ 12%
In case of (C) he declare it as exempt supply considering entry no 22 of exemption notification.
In case of (D) he issues RCM invoices.
Whether treatment in above mentioned cases are correct? Please Guide.
No.... In case (B) when he is raising bills in FCM then in case (D) he cannot issue bill under RCM .
GTA cannot exercise both the option FCM & RCM in FY .
CAclubindia
