TMI BlogService Tax on GTA outwardX X X X Extracts X X X X X X X X Extracts X X X X ..... Dear Expert Can we take service tax on outward GTA? All sales done on FOR basis (Freight insurance including in basic Price). - Reply By JSW CEMENT LIMITED - The Reply = You have to ascertain as to whether the ownership of goods lies with you till delivery of goods to customer at his premises. If so, then you can avail cenvat credit on outward transport on the premise that the place of remova ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l is the buyer's place where sales take place. regards, V.Venkat Raman - Reply By kutub sheikh - The Reply = Dear Sir V.Venkat Raman Plz let me know what are the condition for ascertaining the owner of goods. plz do reply Thanks Regards - Reply By YASHAVANTH RENUKA - The Reply = You can avail credit but cannot be utilize till dispatch of goods, Also it should be accountable man ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ner to prove not utilized. - Reply By JSW CEMENT LIMITED - The Reply = Dear Mr. Singh, Your contract would speak every thing. If the contract made is for FOR destination and freight, insurance every thing is in your scope, you have to deliver the product in good acceptable condition at customers premises, you satisfy the provisions of Section 25 of The Sale of Goods Act, 1930 , i.e. till d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... elivery you reserve to right to dispose off the goods, the place of delivery shall be the place of removal as sale take place at the place of delivery, then service tax paid on such outward freight shall be eligible for you. If the sale take place at your factory gate i.e. the buyer places his carrier or you arrange carrier on behalf of your buyer and you do not have any right of disposal of goods ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... once you have delivered the goods to carriage, in such case place of removal shall be your factory gate and you will not be eligible for service tax paid beyond your place of removal. Regards, V.Venkat Raman - Reply By Srikanthan S - The Reply = I once again request the learned members to clarify whether it would be necessary to sync the Revenue Recognition Statement in the case of compa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nies. If the sale revenue is recognized immediately upon billing the goods (though the freight and insurance charges are borne by the consignor for delivery @ the purchaser's premises which means that 'substantial risks attached to ownership are transferred @ the purchaser's premises upon delivery), will it not contradict? In such cases, do we have to wait till delivery is completed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at the purchaser's end and show proof? Moreover, is it required to state on the face of Invoices that the sale is on F.O.R.destination basis in the absence of a written agreement between the parties? Looking forward to feedback... Srikanthan - Reply By PARTHASARATHY V - The Reply = Revenue recognition is irrelevant for availment of cenvat credit. It will be based on the GTA LR and paymen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t of ST Under RCM. - Service Tax on GTA outward - Query Started By: - Prabhakar Singh Dated:- 8-9-2015 Central Excise - Got 6 Replies - Central Excise - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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