Service Tax on carraige of goods through road transport

[Ashok Gadodia]

Please guide on the latest provision of service tax on transportation of goods through road transport. Pl confirm if the service tax is now to be deposited and return filed by the receiver of such service

[Brijesh Verma]

The latest position is also the same except a few alterations in the Act. The tax is still to be deposited on the basis to test result as mentioned in the rules. If the Consignor or Consignee are one of the 7 specified categories, then GTA moves out of focus. otherwise its his liability. And amongst Consignor and Consignee, the person paying freight is liable. 

[Dr. Sanjiv Agarwal]

u can also refer to articles section of TMI and the  statutory provisions. What Brijesh Verma has stated is correct. Please refer the notification and the Rules.

 

Dr Sanjiv Agarwal

AI Summary

Service tax on road transport: liability rests with the freight payer; specified consignor or consignee categories shift GTA responsibility. Service tax on road carriage of goods is payable and deposited based on the rule-prescribed test result. A Goods Transport Agency is ordinarily the taxable person unless consignor or consignee fall within the specified seven categories, which displace the GTA; otherwise the GTA remains liable. Between consignor and consignee, the person who pays the freight is treated as the liable person under the statutory scheme, and compliance follows the applicable notification and rules.