GST on freight

[Murari Agrawal]

We are doing Job Work and we bring the inputs from Principal on his Challan and pay the freight to local Stand Tempo/Matador driver. Since freight is paid to non GTA, we are not paying reverse GST. Subsequently, the freight is realised from the principal by raising an Invoice. My query is whether we should charge GST on such invoice. Thanks.

AI Summary

Clarification on GST Applicability for Freight Charges in Job Work: Exemption for Non-GTA Vehicles Like Three-Wheelers and Tractors A query was raised regarding the applicability of GST on freight charges in a job work scenario. The individual explained that they pay freight to local drivers who are not considered Goods Transport Agencies (GTA), and thus do not pay reverse GST. They sought clarification on whether GST should be charged when invoicing the principal for the freight. The response clarified that vehicles like three-wheelers and tractors are not defined under GTA as per the exemption notification, implying that GST may not be applicable in this context.