SERVICE ENGINEER CHARGES UNDER GST

[SURYAKANT MITHBAVKAR]

We depute our service engineer to our customer place to repair the breakdown machine on chargeable basis.

We will charge our customer service charges per day and traveling fare ( Air Tickert/Train Ticket) at actual.

Under service tax law we are charging service tax on only service charge only and not on Traveliing Charges (At Actual).

Now in GST regime how will charge them. whether GST will be on Service charge only or on travelling charges also.

AI Summary

GST Applies to Service Charges and Travel Expenses for Repairs as per Section 15 of CGST Act A service engineer queries about the application of GST on service charges and travel expenses when providing repair services. Previously, only service charges were taxed under service tax law. Responses clarify that under the GST regime, as per Section 15 of the CGST Act, all expenses, including travel costs, should be included in the transaction value for GST purposes. The GST rate applied is the same as that for the principal service provided. Therefore, both service charges and travel expenses are subject to GST.