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

Reverse charge on freight: recipient liable under 9(3), but input tax credit available when carrier charges GST.
Outward freight by a Goods Transport Agency is subject to reverse charge under section 9(3), making the recipient liable to pay tax, and the tax paid under reverse charge is eligible as input tax credit. Where a carrier or courier charges GST on its invoice, the supplier remains liable for tax and the recipient may claim the GST charged as input tax credit.