Dear All,
Greetings of the day.
How to treat S.tax calculation
A) if a company use a own vehicle for good transport from factory to customer godown. In some cases customer will pay the transport amount or company (Manufacture) will bear transport amount.
B) If company use vehicle for other purpose (i.e transport of raw material from supplier to factory) any liability is there for pay S.Tax?
Kindly give guidance for above points.
Regards
M.RamKumar
Using Own Vehicle for Transport? No Service Tax Unless Freight Charged or Acting as Transport Agency. A forum user sought guidance on service tax implications for using a company's own vehicle for transporting goods. The query involved two scenarios: transporting goods from the factory to the customer and transporting raw materials from the supplier to the factory. Respondents clarified that using one's own vehicle does not constitute a service for consideration, thus not attracting service tax unless freight is collected from customers. Additionally, transporting company-owned raw materials does not involve service provision, hence no service tax liability. The consensus was that no service tax applies unless the company acts as a goods transport agency. (AI Summary)
TaxTMI 
TaxTMI 
