RCM on GTA used for export of goods

[Rohit Jhunjhunwala]

Is RCM payable on GTA if the GTA service is used for export of goods by road to Bhutan. Freight is paid by the supplier. The goods are exported on delivered basis.

AI Summary

When does reverse charge apply on GTA services for road exports to Bhutan versus exemption for export-related services? Query whether reverse charge on goods transport agency (GTA) services applies when goods are exported by road to Bhutan and freight is paid by the exporter. Replies noted a GST exemption for GTA services used for export to Bhutan, so no RCM where the exemption applies; a central bank allowance permits receiving Bhutan export proceeds in INR. A counterpoint observed the exemption may be limited to transit cargo to landlocked countries, so if not transit cargo the exemption might not apply, and advised examining place-of-supply facts to determine export status.