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Transportation charges treatment

(Guest)

My client who is a trader in harware materials has a commercial vehicle fleet for commodity transportation. Is it lawful in GST to collect GST on transportation of commodities from his buyers?

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5 Replies

Rama chary Rachakonda (Master in Accounts & Lawyer email ID:ramachary64@gmail.com voice no:9989324294) (5235 Points)
Replied 07 September 2021

as per the GST law, if the freight is exclusive and separately charged, then the GST rate on transportation service is 5%

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(Guest)

Sir, f the freight is charged in the commodity bill itself, what would be the gst rate?

krishna patil (110 Points)
Replied 07 September 2021

The highest rate in the invoice i think

CMA Poornima Madhava (CMA) (13112 Points)
Replied 07 September 2021

Originally posted by : Shuhaib Hameed
	Sir, f the freight is charged in the commodity bill itself, what would be the gst rate?

In this case, the rate of GST as applicable to the principal good being sold would apply for transportation charges too. For example, if the good sold attracts GST @ 18%, then on transportation too 18% GST would apply.