Query on Customs House Agents a

[Akshay Sharma]

Hello Members, thank you for your response in Advance.

A CHA Code is being used on a Bill of Entry as on date. The GSTIN associated with this CHA code has been cancelled in the year 2021(A). As per CBLR Regulations the CHA License cannot be transferred or Sublet to another person. However, an another Firm registered (B) under GST is raising tax invoice for providing services of Clearing and Forwarding to the Importer/Exporter as on date. I want to know who will be the actual service provider as per GST Act, A or B. Further, A is liable to Pay GST or Not? If yes on what charges should he discharge GST Liability. Also if this is some regular practice in customs kindly elaborate on this issue

AI Summary

Registered firm issuing invoices and performing CHA services is GST supplier; cancelled registrant still liable; CHA licence non-transferable under CBLR If a registered firm issues tax invoices, receives payment and performs clearing-and-forwarding services, that firm is the supplier for GST purposes and must discharge GST (typically 18%). A cancelled-registered firm cannot lawfully issue GST invoices, but cancellation does not eliminate liability: if it actually receives consideration (directly or indirectly) for services or for permitting use of its CHA code, it may remain taxable and subject to assessment, interest and penalties. CHA licences are non-transferable under CBLR rules, so permitting another firm to use a CHA code can breach customs regulations and raise compliance risks for both parties.