Service tax on Freight Forwarding

[Andrew Antonio Fernandez]

I need to know if the activity of Freight Forwarding on export is taxable under Service Tax laws. If so under which category and on what basis.

AI Summary

Debate on Service Tax for Freight Forwarding: Exempt for Air/Ocean Freight, Disputed for Marked-Up Charges, Needs Clarity A discussion on the applicability of service tax on freight forwarding for exports highlights varying opinions. It is generally agreed that service tax is not applicable to air or ocean freight but is applicable to other charges, such as document issuance and cartage. There is debate over whether marked-up freight by forwarders is taxable, with some suggesting it should be treated as profit, not subject to service tax. The conversation references specific service tax categories and exemptions, emphasizing the complexity of tax laws regarding freight forwarding and the need for clear legal guidelines.