Transportation rate of gst

[Bayyareddy DK]

Dear Sir,

My client is supplying goods in same invoice with two rate of taxes 18% and 12%. He is also delivering the goods to the customer and charging transportation charges. What rate of GST shall apply on transportation charges. whether highest rate of invoice 18%, or 5% rate applicable to transportation?. Please advice

AI Summary

Determine GST Rate on Transportation Fees: Composite Supply Approach or 18% with ITC Consent? A client is supplying goods with two different GST rates, 18% and 12%, and also charging transportation fees. The query is about which GST rate to apply to the transportation charges. One response suggests treating transportation as part of a composite supply and proportioning the transportation cost according to the goods' GST rates, or charging 18% if the customer consents. Another response advises charging 18% if the customer can claim Input Tax Credit (ITC).