Service tax on vehicles used for own transportation purposes (under goods transport by road service)

[kiran pai]

Dear sir, our company is a manufacturer exporter of textile products having our own vehicles for transportation. We are utilising the service of inward and outword transportation of our goods by these vehicles for our own purpose. We are not raising the lorry receipt for any of the transportation. Now my request is please let me know is it necessary to pay service tax on the service of these vehicles (trucks) under goods transport by road service.

AI Summary

Self-provision of transport services is not taxable under goods-transport rules unless operating as a goods transport agency.
No service tax arises when a company uses its own trucks to transport its own goods because services cannot be provided to oneself; where the owner is both consignor and consignee this does not constitute a goods transport agency transaction chargeable to service tax, though transporting for third parties and collecting freight as a goods transport agency may be taxable.