TaxTMI 
TaxTMI 
Honoured Sirs,
Your guidance is required. I have supplied goods to Railways. Whether I am required to pay service tax on transportation expenses. Is it not exempted being service provided to Railways.
Whether transportation of goods to Railways is exempted from Service Tax
26 Sep 2018 
3 Replies 
2378 Views Asked by
Service tax exemption for rail transport applies only to specified goods; supplies by road to railways may attract reverse charge tax.
Transportation services by rail are exempt from service tax only for a specified list of goods (relief materials, defence equipment, registered newspapers, railway materials, agricultural produce, milk, salt, basic food grains, and organic manure); other rail carriage remains taxable. Deliveries of goods to the railways by road do not benefit from that rail-transport exemption and may attract tax under the reverse charge mechanism where applicable. (AI Summary)
Transportation services by rail are exempt from service tax only for a specified list of goods (relief materials, defence equipment, registered newspapers, railway materials, agricultural produce, milk, salt, basic food grains, and organic manure); other rail carriage remains taxable. Deliveries of goods to the railways by road do not benefit from that rail-transport exemption and may attract tax under the reverse charge mechanism where applicable. (AI Summary)