Rate of tax on GTA

[Harishanker Patel]

We are the receipient of service & lible to pay service tax as per rule.

What should be the rate For GTA for below condition-

Service received - Before 01.04.2012

Consignment Note & Bill Date  is - Before 01.04.2012

Service tax charged on bill - 10.3%

Payment Made to Transporter - April'2012.

 

Regards,
Harishankar

 

AI Summary

Point of Taxation determines GTA service tax rate where payment occurs after a rate change, affecting liability and credit.
Point of Taxation rules determine that where GTA services were performed and invoiced before a rate change but payment occurred after, the date of payment may constitute the point of taxation and attract the later tax rate. GTA abatement affects taxable value; recipients liable under reverse charge must deposit tax (and interest) via challan and may take admissible cenvat credit, while if GTA undercharged, it should issue a supplementary invoice so the recipient can claim allowable credit.