RCM on freight paid to individual transporter whose amount is less than 5000 a day?

[RameshBabu Kari]

RCM on freight paid to individual transporter whose amount is less than 5000 a day?

AI Summary

Debate on GST applicability under Section 9(3) for freight under 5000/day; exemption noted via Notification No. 12/2017-CT. A discussion on the applicability of the Goods and Services Tax (GST) under the Reverse Charge Mechanism (RCM) for freight paid to individual transporters with amounts less than 5000 per day. One participant asserts that GST is applicable under Section 9(3), while another agrees but highlights an exemption under Notification No. 12/2017-CT (Rate). This exemption pertains to services by individual transporters who do not issue consignment notes, meaning GST is not required if the service is not provided by a Goods Transport Agency (GTA).