ANY OUTWARD FREIGHT BY GTA OR CARGO WILL ATTRACT RCM 9(3)

[nandankumar roy]

I WANT TO KNOW ANY OUTWARD FREIGHT BY GTA ,IT WILL ATTRACT 5 % ON RCM 9(3) AS A SERVICE RECEIVER WHERE TRANSPORTER NOT CHARGED ANY GST BUT WHEN OUTWARD SUPPLY GOING THRU BLUE DART CARGO PROVIDER THEN THEY ARE CHAGING 18% GST ON BILL. IN CASE OF BLUE DART CHARGED GST CAN BE PERMISIBLE TO TAKE ITC OF GST CHARGED AMT OR IN FINAL ANY CRDIT NOT PERMISSIBLE AGAINST FREIGHT OUTWARD SUPPLY AND WHETHER FURTHE 5% CHARGEABLE AGAINST RCM UNDER 9(3) PL CLEAR.

REGARDS

ROY

[SHIVKUMAR SHARMA]

You can Claim ITC ,No need to pay RCM.

[Nash Industries I Pvt Ltd]

outward freight by road (GTA) is under reverse charge. you can pay full rate of tax and avail the credit.

As far as blue dart is concerned, they are registered as courier service and are liable to pay the GST Credit can be availed.

Regards

S.Ramaswamy

[KASTURI SETHI]

Agreed with Sh.S.Ramaswamy, Sir

[nandankumar roy]

THANKS ALL OF YOU,

REGARDS,

N K ROY

AI Summary

Clarification on GST for Freight Services: 5% RCM Not Needed; ITC Allowed on Blue Dart's 18% GST Charge. A user inquired about the Goods and Services Tax (GST) implications on outward freight by Goods Transport Agency (GTA) and cargo services, specifically under reverse charge mechanism (RCM) 9(3). They questioned whether a 5% GST is applicable when the transporter does not charge GST and if Input Tax Credit (ITC) is permissible when Blue Dart charges 18% GST. Respondents clarified that ITC can be claimed, and no additional RCM payment is needed for Blue Dart, as they are registered courier services liable to pay GST. The user thanked the participants for their input.