Is service tax applicable on courier services?
Hence, the said service is liable to service tax under courier agency service [section 65(105)(f)]. "Angadia" undertakes delivery of documents, goods or articles received from a customer to another person for a consideration.
Courier services classified under SAC Code 996812 will be taxable at 18% GST. In addition to the above types of courier services, some services provided by a Courier business can also fall under Goods Transport.
Is GST mandatory for courier services?
' Courier agency means any person engaged in door to door transportation of goods , letters , parcels etc by utilizing services of person directly or indirectly. Under GST law taxable event is supply. GST registration for courier services is mandatory if turnover crossing Rs. 20 Lac.
Safe Express Logistics Company Safe Express, like Gati, is amongst the oldest courier company in India, with 20+ years of service in the eCommerce logistics industry.
Is RCM applicable on courier?
However, in case of courier service, provision of reverse charge is not applicable; supplier of service is required to charge tax from recipient under forward charge.
no. 11, (i) Services of goods transport agency (GTA) in relation to transportation of goods (including used household goods for personal use) (Heading 9965 &9967 respectively) attracts GST @2.5% or 6% CGST. Identical rate would be applicable for SGST also, taking the effective rate to 5% or 12%.
How is GST calculated on courier services?
The tax should be charged on the total value of supply. If the transportation cost is included, then GST has to be charged at the same rate of tax charged on supply. For example, if the goods being supplied is charged at 18%, then you have to charge tax on transport cost also at 18%.12-Jan-2022
How To Add Transport Charges in GST Invoice TallyPrime
What is HSN code logistics?
The HSN CODE FOR Goods Transport Services is 9965.
e-way bill is a document required to be carried by a person in charge of the conveyance carrying any consignment of goods of value exceeding fifty thousand rupees as mandated by the Government in terms of Section 68 of the Goods and Services Tax Act read with Rule 138 of the rules framed thereunder.
What is RCM on transport?
As per Notification No. 5/2017- Central Tax dated 19/06/2017, a person who is engaged in making only supplies of taxable goods/services on which Reverse Charge Mechanism (RCM) applies is exempted from obtaining registration under GST.22-Jul-2022
Which is the world's first courier service? Overseas Courier Service, the world's first courier service providing firm, was established in 1957 by a consortium of major newspaper publishers in Tokyo as a global, overnight delivery system for time-sensitive business publications.25-Nov-2007
Who introduced courier system?
Xenophon attributed the first use of couriers to the Persian prince Cyrus the Younger. Famously, the Ancient Greek courier Pheidippides is said to have run 26 miles from Marathon to Athens to bring the news of the Greek victory over the Persians in 490 BCE.
Courier services originated in Persia. Around 400 BC, the prince Cyrus the Younger enlisted runners, homing pigeons, and men on horseback to deliver important messages throughout his kingdom and beyond.13-Jun-2022
What is the limit for RCM under GST?
Registration: A person who is required to pay tax under reverse charge has to compulsorily register under GST and the threshold limit of Rs. 20 lakh (Rs. 10 lakh for special category states except J & K) is not applicable to them.
two types
Who comes under RCM?
SERVICES UNDER REVERSE CHARGE AS APPROVED BY GST COUNCIL
Revenue cycle management (RCM) is the financial process, utilizing medical billing software, that healthcare facilities use to track patient care episodes from registration and appointment scheduling to the final payment of a balance.
How do I get a transporter ID?
To obtain a Transport ID, the transporter must give submit information and document for enrolment on the e-way bill portal. The EWB system generates the transporter ID after furnishing the required information.
Critical issues in GST on Logistics Sector
Is service tax applicable on courier services?