GST on import ocean freight to Nepal via Kolkata port

[Asked by Guest]

Is GST applicable on Ocean Freight for Nepal import consignment via Kolkata port?

[KASTURI SETHI]

GST is applicable.

What percentage of GST applicable?

[Ganeshan Kalyani]

The query is not clear.

[YAGAY and SUN]

This query is clear to us. 

In our view GST is not Applicable. Since, Nepal is Land Locked Country and Indian GST Law has no Jurisdiction over Nepal. In Future, Goods can also be imported to Port at Odisha by Nepal and Government had clarified this matter in its' earlier Circular.

[KASTURI SETHI]

M/S.YAGAY AND SUN,

Dear Sirs,

Welcome back to home coming.

K.L.SETHI

[nikhil verma]

GST applicable

[Ganeshan Kalyani]

Dear Yagay and Sun , welcome back to this Forum. We were missing your participation. Thanks.

[Chhatra Jain]

Nepal is a land locked country so import of goods is effected from Kolkata port mostly. As Nepal is a non taxable territory so provisions of GST Act are not applicable when goods are imported into Nepal even getting them cleared at Indian port and transported them to Nepal. No GST is applicable

[KASTURI SETHI]

Jain Sahib,. Sir Will you pl.clarify. When import of service is taxable which is also from non-taxable territory (foreign country), how GST is not applicable on ocean freight here, especially in this case High Seas Sale is not involved ? Just for enrichment of my knowledge and issue should be clear to all visitors of this site. Thanks a lot in advance.

[Kishan Barai]

There is GST on Ocean Freight 5%

Air Freight 18%

[YAGAY and SUN]

CBEC Exempts supply of services associated with transit cargo to Nepal and Bhutan. Refer Notification No. 31/2017-IGST.

[KASTURI SETHI]

Dear Sir,

Thanks for latest news.

AI Summary

GST on ocean freight: exemption for transit cargo to Nepal under a specified notification; applicability contested.
Whether GST applies to ocean freight for goods destined to Nepal via an Indian port is contested. Some contributors assert GST applies to freight, while others say Nepal is a non taxable territory and such transit cargo services are outside Indian GST. Forum participants cite an exemption for services associated with transit cargo to Nepal and Bhutan in Notification No. 31/2017-IGST, which underpins the view that these services may not attract GST despite clearance at an Indian port.