GST rate for transportation of water

[Dhananjai Rai]

Whether own water transported through tankers from one place to another will be treated as a transport contract under GST or as a water distribution service. Both have different rates for GST. This is not a supply but pure service contract.

AI Summary

Transporting Water via Own Tankers: Classified as Water Distribution Service, Attracts 18% GST Under Code 996921 A discussion on a forum addressed the GST implications for transporting water via tankers. The query focused on whether this activity should be classified as a transport contract or a water distribution service, each attracting different GST rates. Responses clarified that transporting water using one's own tankers is considered a water distribution service, attracting an 18% GST rate under Code 996921. It was emphasized that self-service, where one uses their own resources for transportation, does not constitute a supply and is not subject to GST. Participants were advised not to conflate different service categories.