{"id":14979,"date":"2020-08-18T16:34:27","date_gmt":"2020-08-18T11:04:27","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=14979"},"modified":"2021-01-15T12:13:43","modified_gmt":"2021-01-15T06:43:43","slug":"gta-goods-transport-agency-under-gst-online","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/gta-goods-transport-agency-under-gst-online\/","title":{"rendered":"GTA (Goods Transport Agency) under GST"},"content":{"rendered":"\n<p class=\"has-drop-cap\">GTA  under GST means any person who provides service concerning the transport of goods by road and issues consignment note, by whatever name called. <\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/gta-goods-transport-agency-under-gst-online\/#What_are_the_rates_for_GTA_under_GST\" >What are the rates for GTA under GST?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/gta-goods-transport-agency-under-gst-online\/#What_do_you_mean_by_Consignment_Note\" >What do you mean by Consignment Note?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/gta-goods-transport-agency-under-gst-online\/#Explain_Reverse_charge_mechanism_RCM_for_GTA_under_GST\" >Explain Reverse charge mechanism (RCM) for GTA under GST<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/gta-goods-transport-agency-under-gst-online\/#What_is_GTA_under_GST_for_Forward_Charge_Mechanism_and_Reverse_Charge_Mechanism\" >What is GTA under GST for Forward Charge Mechanism and Reverse Charge Mechanism?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/gta-goods-transport-agency-under-gst-online\/#What_are_exemptions_available_to_GTA_under_GST\" >What are exemptions available to GTA under GST?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/gta-goods-transport-agency-under-gst-online\/#What_is_the_place_of_source_for_GTA_under_GST\" >What is the place of source for GTA under GST?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/corpbiz.io\/learning\/gta-goods-transport-agency-under-gst-online\/#What_are_archives_and_accounts_to_be_maintained_by_GTA_under_GST\" >What are archives and accounts to be maintained by GTA\nunder GST?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/corpbiz.io\/learning\/gta-goods-transport-agency-under-gst-online\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_the_rates_for_GTA_under_GST\"><\/span>What are the rates for GTA under GST?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Goods Transport Agency has the option to charge <a href=\"https:\/\/corpbiz.io\/gst-registration\"><strong>Goods and services tax<\/strong><\/a> at the rate of 2.5% or 6% CGST (equal SGST and 5% and 12% IGST). The GST rates are reliable on taking input tax credit. The Classification based on Heading 9965 \u2013 Services of GTA concerning the transportation of goods<\/p>\n\n\n\n<ul><li>GST Rate 2.5% <\/li><\/ul>\n\n\n\n<p>Provided\nthat GTA does not take credit for input tax charged on goods and services used\nin supplying services.<\/p>\n\n\n\n<ul><li>GST Rate 6% <\/li><\/ul>\n\n\n\n<p>Providing that the goods transport agency opt to pay tax @ 6%, and hence, they should be liable to pay fee @ 6% on all the services of GTA.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_do_you_mean_by_Consignment_Note\"><\/span>What do you mean by Consignment Note?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Consignment\nnote is a document allotted by a goods transport agency (GTA) against the\nreceipt of goods for the transport of goods by road in a goods carriage, which\nis serially numbered. It contains the name of the consignor and consignee,\nregistration number of the carriage of the goods in which the goods are\ntransported, details of the products carried, details of the place of origin\nand destination, the person accountable for paying service tax to the goods\ntransport agency (GTA).<\/p>\n\n\n\n<p>Issuance\nof any consignment note is the sine-qua-non for a supplier of service to be\nconsidered as a Goods Transport Agency. If the transporter does not issue such\na consignment note, the service provider will not come within the domain of\nGTA. If a consignment note is delivered, it designates that the spleen on the\ngoods has been transferred to the transporter, and the carrier becomes accountable\nfor the products until its safe delivery to the consignee.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Explain_Reverse_charge_mechanism_RCM_for_GTA_under_GST\"><\/span>Explain Reverse charge mechanism (RCM) for GTA under GST<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Reverse charge mechanism means the accountability to pay tax by the addressee of the supply of goods or services or both instead of the supplier of products or services or both.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/cbic-allows-functionality-to-file-revocation-application\/\">CBIC allows Functionality to file Revocation Application for cancelled GST Registration<\/a><\/mark><\/p>\n\n\n\n<h3 class=\"wp-block-heading\">RCM for GTA services<\/h3>\n\n\n\n<p>Supply of Services by a GTA who did not paid tax at the rate of 6%, in respect of transportation of goods by road to \u2013<\/p>\n\n\n\n<ul><li>Any factory listed under or\ngoverned by the Factories Act, 1948;<\/li><li>Any society listed under the\nSocieties Registration Act, 1860 or under any other law for the time being in\nforce in any part of India;<\/li><li>Any co-operative society well-known\nunder any law;<\/li><li>Any person listed under the\nCentral Goods and Services Tax Act or the Integrated Goods and Services Tax Act\nor the State Goods and Services Tax Act or the Union Territory Goods and\nServices Tax Act<\/li><li>Anybody corporate established\nunder any law;<\/li><li>Any partnership company,\nregistered or not under any law association of persons<\/li><li>Any casual taxable person. <\/li><\/ul>\n\n\n\n<p>Thus, the recipient of services has to discharge GST at a concessional rate of 2.5% CGST.<\/p>\n\n\n\n<div class=\"shadow1\"><strong>Note:<\/strong> The person who pays or is liable to pay the freight for the transportation of goods by road in goods carriage, located in the taxable territory, shall be treated as the person who receives the service, i.e., service recipient.<\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_GTA_under_GST_for_Forward_Charge_Mechanism_and_Reverse_Charge_Mechanism\"><\/span>What is GTA under GST for Forward Charge Mechanism and Reverse Charge Mechanism?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"580\" height=\"343\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/08\/image-72.png\" alt=\"GTA under GST\" class=\"wp-image-14989\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/08\/image-72.png 580w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/08\/image-72-300x177.png 300w\" sizes=\"(max-width: 580px) 100vw, 580px\" \/><\/figure><\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_exemptions_available_to_GTA_under_GST\"><\/span>What are exemptions available to GTA under GST?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>Exemptions\nof services provided by a GTA are as follows:-<\/em><\/strong><\/p>\n\n\n\n<ul><li>Agricultural products;<\/li><li>Goods, where deliberation charged for the transportation of products on a shipment transported in a single carriage, does not exceed INR 1500;<\/li><li>Goods, where deliberation charged for transportation of all such goods for a single consignee, does not exceed INR 750;<\/li><li>Milk, salt and food grain including flour and pulses;<\/li><li>Organic manure or fertizers;<\/li><li>Newspaper or publications listed with the Registrar of Journalists;<\/li><li>Relief materials meant for sufferers of natural or human-made disasters, calamities, accidents or mishap<\/li><li>Defence or <strong><em>military equipment<\/em><\/strong><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Category:Lists_of_military_equipment\"><strong><em>[1]<\/em><\/strong><\/a><\/sup><\/li><\/ul>\n\n\n\n<p>Facilities\nby way of giving on hire to GTA under GST, a means of conveyance of goods. Therefore,\nif the GTA hires a method of transportation of goods, no GST is payable on such\ntransactions.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Are intermediate and additional services to be treated as\npart of the GTA under GST?<\/h3>\n\n\n\n<p>GTA delivers service to any person concerning the transportation of goods by road in a goods carriage, which is a composite service. Intermediary and ancillary services may include various functions such as loading\/unloading, packing\/unpacking, transhipment, and temporary warehousing, which are provided in the course of transport of goods by road. These services are not offered as independent services but as a subsidiary to the principal service, namely, transportation of goods by road. The statement issued by the GTA for providing the facility contains the value of intermediary and additional services.<\/p>\n\n\n\n<p>Because of this, if any intermediary and ancillary service is provided concerning the transportation of goods by road, and charges, if any, for such services are included in the invoice issued by the GTA, such assistance would form part of the GTA service. It would not be treated as a separate supply. Any service is being provided along with any GTA service that is part of the compound service of GTA should be taxed along with GTA service and not as discrete supplies.<\/p>\n\n\n\n<p>Though,\nif such secondary services are provided as separate services and charged\nseparately, whether, in the same invoice or separate invoices, they should be\ntreated as different supplies.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_the_place_of_source_for_GTA_under_GST\"><\/span>What is the place of source for GTA under GST?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Suppose services provided to a registered person, place of supply will be the location of the personal residence. If services provided to any unregistered person, a place of supply will be the location at which such goods are handed over for their transportation. However, where the site of the supplier of services or the situation of the recipient of services is outside India, place of supply of services of transportation of goods by GTA shall be the place of destination of such products.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_archives_and_accounts_to_be_maintained_by_GTA_under_GST\"><\/span>What are archives and accounts to be maintained by GTA\nunder GST?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Every\ntransporter should maintain records of the consigner, consignee, and any other relevant\nparticulars of the goods in a prescribed way. A person involved in the business\nof transporting goods shall maintain records of products carried,\ndelivered, and assets stored in transit by him along with the GSTIN of the\nregistered consigner and consignee for each of his branches.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>If\nservices provided to any unregistered person, a place of supply will be the\nlocation at which such goods are handed over for their transportation. However,\nwhere the site of the supplier of services or the situation of the recipient of\nservices is outside India, place of supply of services of transportation of\ngoods by GTA shall be the place of destination of such products.<\/p>\n\n\n\n<p>Our <a href=\"https:\/\/corpbiz.io\/\"><strong>CorpBiz<\/strong><\/a> group will be at your disposal if you seek expert advice on any aspect related with GST Registration with complete compliance. We will help you safeguard full compliance concerning all the supplies based on your anticipated activities, ensuring the productive and well-timed completion of your expectation.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/procedure-for-appeals-under-gst\/\">Procedure for Appeals under GST<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>GTA under GST means any person who provides service concerning the transport of goods by road and issues consignment note, by whatever name called. What are the rates for GTA under GST? Goods Transport Agency has the option to charge Goods and services tax at the rate of 2.5% or 6% CGST (equal SGST and [&hellip;]<\/p>\n","protected":false},"author":18,"featured_media":14981,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[16],"tags":[891],"acf":{"service_id":"334"},"authorName":"Sakshi Srivastava","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/03\/IMG-20180130-WA0007.jpg","authorDescription":"Sakshi has pursued B.B.A.LL.B.(IPR Hons.). She is an avid reader and is keen to gather and share her knowledge on the subjects relating to IPR, Company Law and GST. Priorly she has worked as a legal researcher and vide her articles she aims at improving the core knowledge of the subjects to the masses.","postViews":6909,"readingTime":5,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/14979"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/18"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=14979"}],"version-history":[{"count":12,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/14979\/revisions"}],"predecessor-version":[{"id":24213,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/14979\/revisions\/24213"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/14981"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=14979"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=14979"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=14979"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}