This service tax is on “Goods Transport Agency” and “Courier Service” only. Goods transport freight for single consignee up to Rs.750 and for single vehicle up to Rs.1500 is exempt. Goods Transport Agency has been defined as “any person who provides service in relation to transport of goods by road and issues consignment note by whatever name called.”
Service tax has to be paid only on 25% of the gross amount paid to the Goods Transport Agency. For gross amount, octroi is not taken in account. The tax is payable on reverse charge basis by consignor or consignee who ever pays the freight, if the consignor or the consignee is factory, registered society, co-operative society, registered dealer, body corporate, partnership firm, LLP and association of persons. If the goods transport agency has charged service tax then no service tax is payable by consignor or consignee.
There are two types of GTA – Input Service and Output Service GTA. Both these types of GTA are considered as part of Udyog’s offering. At Udyog, products and solutions are developed for customized GTA requirements to ensure easy tax compliance.
Features in GTA

  • Provision of Input GTA and Output GTA
  • Back calculation of GTA from bill value
  • Abatement considered
  • Updated for Accrual basis of Tax calculation

Udyog Advantage

  • One-stop destination for all Indian Taxation Solutions
  • Renowned Taxation Consultants on Panel
  • Successful integration case studies with ERPs from SAP, QAD, Infor, JD Edwards, Oracle, Sage, Ramco Systems, SUN & other customized ERP’s
  • In-house taxation experts to help us stay attuned to the dynamic & Complex Indian Statutory norms
  • Service Network across India vide Udyog branches and partners
  • User training provided by Udyog
  • Knowledge partners available for training and educational requirements like IIJT, NIFA, Emacs, IIFCA

By Rohit Matlapudi

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