GTA - Liability without registration

[Guest]

If a transporter is not registered in service tax as a GTA and he is not charging any service tax, whether we will be liable to pay service tax if we are consignor/consignee on presumptive basis.

[Surender Gupta]

If you are liable to pay ST in the capacity of consignor /consignee, there is no need to see that whether transporter is registered or not. Your liability is absolute and you have to discharge your liability in any case.

[Madhukar N Hiregange]

As long as you not an individual or unregistered firm or govt the liability would always be on you and not on the GTA. The consingnee /or who pay would be liable.

[Guest]

Yes. Under the provisions of the Finance Act 1994 (Chapter V)it is the service receiver (if falls under the specified category e.g. Company. Factory etc)who is liable to obtain registration and pay service tax.

AI Summary

Liability of consignor/consignee: service receivers in specified categories must register and pay service tax despite unregistered transporters. Liability of consignor/consignee to discharge service tax for goods transport services exists even if the transporter is unregistered; the service receiver in specified categories must register (if applicable) and remit tax rather than relying on the GTA to be registered.