Applicability of Service Tax under GTA for temo hired for local transportation of inputs, Service Tax

[Achyut Kale]

We have hired a godown outside a factory premises for storage of inputs. For transportation of inputs from godown to factory we have hired vehicles from individual owner (Not a transport compnay). Being a Vehicle owner is an individual,  he is not issuing any LR or consignment Note for above transportation.

Whether the amount paid against above transportation charges will attract Service Tax under GTA?

Pl advice

 

Posts / Replies

[Pradeep Khatri]

Service provided by the individual may not be taxable under GTA.

[ROHAN THAKKAR]

What has been hired by you is the vehicles from individual owner. In this case, individual owner will be liable to pay tax under supply of tangible goods under service tax.

The transportation facility is provided by your company to your company only, hence there is no question of making payment service tax under GTA.

 

 

[DEVEN MASTER]

I THINK THIS TRANSACTION IS TAXABLE UNDER THE HEAD OF TRANSPORT OF GOODS BE ROAD SERVICES, AS PER CIRCULAR IS SERVICE PROVIDER IS INDIVIDUAL OR PROPRIETOR THEN SERVICE TAX LIABILITY IS ON SERVICE RECEIVER AND THEREFORE SERVICE RECEOVER HAS TO PAY SERVICE TAX ON THE SAME TRANSACTION.

[raj kumar shukla]

I AGREE WITH ROHAN. IT IS TAXABLE UNDER SUPPLY OF TANGIBLE GOODS SERVICE

[ANAND SHEMBEKAR]

This service is not 100% Transport of goods by road , because vehicles are not hired through GTA , Your not making any payments to GTA .

For supply of tangile goods , once again you see the profile of this service on govt website and decide

Thanks

 a m shembekar