I am paying freight to the raiway for hiring the coach of the train in which I am supplying the goods of various persons. whether I am gta
If I am gta or not whether can I claim the credit on the GST paid to the railway on freight.????
9 Replies
Rohit Tibrewal
(Student & Senior Accountant)
(3193 Points)
Replied 08 September 2018
You are issuing builty /LR/Consignment Note to your customers?
Rohit Tibrewal
(Student & Senior Accountant)
(3193 Points)
Replied 08 September 2018
No you can't be registered as GTA as you are transporting goods through Rail not by road.
Durgesh Mourya
(219 Points)
Replied 08 September 2018
You are not Transporting Goods, Only you are selling. Railways doing transportation for you. you are just taking service. So be clear in your thoughts. you just move your goods in city, your godown to railway station only.
Pankaj Rawat
(GST Practitioner)
(55052 Points)
Replied 08 September 2018
Yes you can claim ITC on railway freight paid
nitesh
(ARTICLE)
(201 Points)
Replied 08 September 2018
are u sure sir because on Google I searched there is restriction that railway is charging 5% so you can't claim
Vinod Babu
(24191 Points)
Replied 09 September 2018
Transport of goods and passengers by rail will attract 5% tax under GST. Although it seems more than the current effective service tax of 4.5%, the effective GST liability will go down thanks to the mechanism of input tax credit which is now available on rail transport.
This will be exceptionally beneficial to the railways as there is no ITC available on transportation through Goods Transport Agencies (such as trucks). GST rate is also 5% on road transport thus making the rail freight more competitive.
Also it is important to note that your GST number should be on the invoice and they upload the same on GST portal.
This will be exceptionally beneficial to the railways as there is no ITC available on transportation through Goods Transport Agencies (such as trucks). GST rate is also 5% on road transport thus making the rail freight more competitive.
Also it is important to note that your GST number should be on the invoice and they upload the same on GST portal.
nitesh
(ARTICLE)
(201 Points)
Replied 09 September 2018
but sir I read that if tax collected is 5% then he can't claim credit
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