There is an exporter trader who is taking input services from a GTA. Is he required to pay GST on this GTA services as per RCM even if the trader is exempted from GST on export of goods?
Is an exporter trader required to pay GST on RCM basis for GTA services?
Nidhi Biyani
Exporters Using GTA Services Must Pay GST via Reverse Charge, Even if Exempt on Exports, Per RCM Rules. An exporter trader utilizing services from a Goods Transport Agency (GTA) is required to pay Goods and Services Tax (GST) under the Reverse Charge Mechanism (RCM), even if the trader is exempt from GST on the export of goods. The consensus among respondents is that without a specific exemption for GTA services, the trader must register and comply with RCM obligations. (AI Summary)