Exemption to GTA Services

[Kaustubh Karandikar]

XYZ (Goods Transport Agency) is registered with GST and is providing GTA services to PQR (Goods Transport Agency) who is not registered with GST. Is XYZ required to charge GST to PQR or it is exempted since PQR is un-registered?

[Rachit Agarwal]

Exemption has been provided for the transportation services given to a GTA under Serial No 22-

Services by way of giving on hire - to a goods transport agency, a means of transportation of goods.

Notification No. 12/2017 dated 28.06.2017

[Spudarjunan S]

I agree with the view of Shri.Rachit ji.

However, check once the documents of yours to confirm the scope and classification of services provided by you falls within the ambit of the exemption entry. As exemption entry has to be read strictly - Judgement by Supreme Court in the case of Dilip Kumar Company in 2018 (361) ELT 577 (SC) = 2018 (7) TMI 1826 - SUPREME COURT

[KASTURI SETHI]

See notification no.32/17-CT(R) dated 13.10.17(Serial No.21 A) amending original notification no.12/17-CT(R) dated 28.6.17.

AI Summary

GST Exemption Query: Does Registered GTA Need to Charge GST for Services to Unregistered GTA Under Notification No. 12/2017? A query was raised about whether a registered Goods Transport Agency (GTA), referred to as XYZ, needs to charge GST when providing services to an unregistered GTA, referred to as PQR. The first reply highlighted an exemption under Notification No. 12/2017 for transportation services provided to a GTA. Another response agreed but advised verifying the scope and classification of services against the exemption, referencing a Supreme Court judgment for strict interpretation. A third reply mentioned an amendment to the original notification, referencing Notification No. 32/17-CT(R).