SIR
ONE OF OUR CLIENT IS GTA HAS SHIFTED HIM/ITSELF FROM RCM TO FCM
NOW HIS QUERY IS THAT HE IS CHARGING FREIGHT FROM TWO TYPES OF CUSTOMERS: ONE IS INDUSTRIALIST OTHER IS FURTHER GTA. HIS QUERY IS THAT WHETHER HE HAS TO CHARGE GST FROM GTA OR NOT . WHETHER GTA TO GTA SERVICES ARE EXEMPTED SERVIES OR NOT.
REGARDS ALL
SUNIL SINGLA
Goods Transport Agency Must Collect GST on Freight Under Forward Charge; Exemptions Apply for Truck Hire Between GTAs. A client, a Goods Transport Agency (GTA), has transitioned from the Reverse Charge Mechanism (RCM) to the Forward Charge Mechanism (FCM) and seeks clarity on GST obligations when charging freight to industrial clients and other GTAs. It was clarified that services from one GTA to another are not exempt under FCM, and the client must collect and remit GST on freight. If a GTA hires a truck from the client, it is exempt. The discussion emphasized the importance of choosing either FCM or RCM, as a hybrid approach could lead to complications. (AI Summary)
Goods and Services Tax - GST
TaxTMI 
TaxTMI 
TaxTMI 
