TaxTMI 
TaxTMI 
sir Can a manufacturer / trader raise a separate invoice for freight ? if yes @ what rate, the rate charged for his goods or any other rate?
GST-Chargeability
07 Sep 2020 
4 Replies 
1280 Views Asked by
Freight taxation: incidental freight is taxable at the goods' GST rate and may be invoiced separately.
Freight charged by a manufacturer or trader is incidental to the principal supply and taxable at the same rate as the goods; a separate freight invoice may be issued only if it is correlated to the goods invoice, with freight forming part of the transaction value. Manufacturers or traders are not treated as Goods Transport Agencies for separate tax treatment. Accounting treatment under Indian Accounting Standard 2 should be considered for freight-related issues. (AI Summary)
Freight charged by a manufacturer or trader is incidental to the principal supply and taxable at the same rate as the goods; a separate freight invoice may be issued only if it is correlated to the goods invoice, with freight forming part of the transaction value. Manufacturers or traders are not treated as Goods Transport Agencies for separate tax treatment. Accounting treatment under Indian Accounting Standard 2 should be considered for freight-related issues. (AI Summary)