Whats is the reverse charge on freight paid to registered and unregistered dealer
Reply
When GTA (registered or unregistered) provide service to specified persons—GST on freight charges at 5% is levied (RCM)
specified person—
1) A factory registered under or governed by the Factories Act, 1948
2) A Society registered under Societies Registration Act, 1860 or under any other law for the time being in force in any part of India
3) A co-operative society established by or under any law
4) A body corporate established by or under any law
5) A partnership firm, whether registered or not under any law, including association of persons
6) A casual taxable person
If the proprietorship firm is registered in GST, and receiving transportation service from a GTA, such firm is liable to pay GST on fright under reverse charge mechanism. |