GOODS TRANSPORT AGENCY

[VIGNESH]

Sir. Can a GTA follow both Forward charge mechanism And RCM for invoicing.

Means: can he issue some invoices with GST and some without GST, under RCM?

AI Summary

Can Goods Transport Agencies use both forward and reverse charge mechanisms? Not unless services have distinct SAC codes. A query was raised regarding whether a Goods Transport Agency (GTA) can use both the forward charge mechanism and reverse charge mechanism (RCM) for invoicing, issuing some invoices with GST and some without. The first response clarified that a hybrid procedure is not permissible and referenced previous discussions. The second response noted that dual mechanisms could only be used if different services with distinct SAC codes are provided, such as when a service provider offers both GTA and CFA services, which may include some GTA services. Otherwise, different tax rates cannot be applied under GST laws.