FAQs on Transport and Logistics

Ans: As per Notification number 12/2017-Central Tax (Rate), dated 28th June 2017, you need not obtain GST registration, as services rendered by the way of transportation of goods by road are excluded.

Ans: As per the tax vide entry no. 22 of Notification number 12/2017-Central Tax (Rate) dated 28th June 2017, you need not obtain GST registration as services by the method of giving on hire are exempt.

Ans: As per the entry no. 18 of notification No. 12/2017-Central Tax (Rate) dated the 28th June 2017, you need not obtain GST registration, as services rendered by the way of transportation of goods by road are excluded.

Ans: Yes, you need to obtain GST registration, in case if the total value of your commission exceeds 40 lakhs INR (20 lakhs INR in the Special Category States with the exception of Jammu and Kashmir).

Ans: Yes, as per section 35(2) of the CGST Act, 2017 you are required to keep up records of the consigner, representative, and other important details of the goods. In addition to this, as per rule 56 of the CGST Rules, 2017 you are required to keep up records of goods transported, conveyed, and goods put away in travel by you alongside the GSTIN of the registered consigner and consignee.

Ans: Yes, a GTA offering service for the transportation of goods by road under the Reverse Charge Mechanism can avail the benefit of this exemption.

Q7: Can a GTA get registration for one vertical (Rail, Cargo, Renting, Warehousing, and so on.) for which tax should be paid while not acquiring registration for another vertical (GTA under RCM) on which there is no tax obligation.

Ans: No, the GTA needs to obtain GST registration for all the verticals as they are not exclusively engaged in transporting the goods or services that attract the reverse charge mechanism.

Ans: Yes, the input tax credit is accessible in such cases to the recipient of services, when the GST paid by him is at a concessional rate of 5% under Reverse Charge Mechanism.

Ans: As per Notification number 12/2017-Central Tax (Rate) dated 28th June 2017, services rendered by a method of giving on hire to a GTA for transporting the goods are exempt from GST. So in such a case, GTA cannot claim ITC as he is not liable to pay tax.