CA Pankaj Rathore

Transportation of Goods:

By Rail:

  • General (5% – with ITC of input services)
  • In containers other than Indian Railways (12% with full ITC)
  • Specific goods like agricultural produce, relief materials, defence or military equipment, milk, salt etc. (Exempt)

By Air:

  • From a place outside India up to custom station of clearance in India (Exempt)

By Vessel:

  • by person located in NTT to person located in NTT (5% – with ITC of input services)
  • Inland waterways (Exempt)
  • Specific goods like agricultural produce, relief materials, defence or military equipment, milk, salt etc. (Exempt)

By Road:

  • Through GTA (Specific goods like agricultural produce, relief materials, defence or military equipment, milk, salt etc. (Exempt))
  • Other than above through GTA (5% – No ITC)
  • General (Exempt- except services of GTA or courier agency)
  • Through GTA where gross amount charged, for transportation ,of goods on a consignment in a single carriage does not exceed 1500 or of all such goods for a single consignee does not exceed 750

Transportation of Passengers:

By Rail:

  • Other than sleeper class (5% with ITC of input services)
  • Exempt other than first class and AC Coach

By Air:

  • In economy class (5% – with ITC of input services)
  • Other than economy class (12% – with full ITC)
  • Embarking from or terminating in a Regional Connectivity Scheme Airport (5% – with ITC of input services)
  • Embarking from or terminating in an airport located in the state of Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, or Tripura or at Bagdogra located in West Bengal (Exempt)

By Vessel:

  • Inland waterways (Exempt)

By Road:

  • AC contract/stage carriage other than motor cab (5% – with ITC of input services)
  • A radio tax (5% – with ITC of input services)
  • Non-AC contract carriage other than radio taxi excluding tourism, conducted tour, charter or hire (Exempt)
  • Non-AC stage carriage (Exempt)

(if you have any query, feel free to contact me at or 9313215231)

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26 responses to “Taxability under GST on Transportation of Goods or Passengers”

  1. ashutosh mishra says:

    is bus service for passengers whose turnover is more than 20 lakh pm is covered under gst what rate applicable.

  2. N.H.Lari says:

    Railway department is floating tender for transportation of Railway materials like Rail, sleepers & p.way materials. Please confirm GST will be charged 5% or 212%

  3. Nisha Kumari says:

    Please explain these two point.

    1. Non-AC contract carriage other than radio taxi excluding tourism, conducted tour, charter or hire (Exempt)
    2. Non-AC stage carriage (Exempt)

  4. Raju Kulkarni says:

    I am transporter of passengers to a factory and a schools and paying 5% GST on my outward invoices.
    I am receiving buses on hire as input services from registered suppliers @ 5% GST and Unregistered Service providers and depositing GST @ 5% under RCM. Can I get ITC charged by my supplier of buses on hire and GST deposited by me under RCM ?

  5. Avadhesh Dahima says:

    Sir, Our Client is a Distributor of Food Packed Items which falls under 18% Rate which are Purchased on IGST. He sells the goods intrastate and transports the goods to the Dealers [B2B]
    Transporter charges 5%.. on Freight Outward. My Question is Is my Client Eligible to take ITC of the 5% paid to the TRANSPORTER ??

  6. Debabrata Roy says:

    Transport of corporate staff from their home or other palace to working places which is located in SEZ is free from GST as the receiver of service is located in SEZ

  7. T D SHAJU says:

    We are cement suppliers.We charge loading and transporting charges in the tax invoice.GST rate of cement is 28%. What is the GST for transporting and loading charges.Please elaborate

  8. KRIPAL says:

    राज्य के बहार से आने वाले माल के भाड़े पर IGST लगेगा या CGST/SGST लगेगा

  9. prashant enterprises says:

    please provide the SAC CODE for goods transport by road(GTA)

  10. Dilip Kumar Somani says:

    Refer to sl no 9 of exemption list issued by Govt.Services by way of transportation of goods by Road except the services of a GTA is exempted.Freight paid to Individual truck owner is thus exempted.If you have other view may kindly be elaborate

  11. C.Ravivarma says:

    we are supplier of Ready mix concrete – GST 18%; transport charge how to calculate – GST?

  12. Hiten says:

    Sir, what is the SAC for Assemble to principle supplier product, We are assemble the products and return to the principle supplier & Charges the Labour Charges

  13. Mayank M says:

    Another Query:
    We sell……Sorry now supply goods to a person. We charge freight outward & add it in the bill/Invoice.
    Our goods are chiefly of 18% IGST….. Shall we charge GST rate on Freight Outward and if Yes, @ what percentage….i.e: GTA (previously known) is now in 5% category but I heard someone explaining that if we charge Freight Outward on the same invoice with Goods carrying 18% GST, then the same 18% rate will be charged on Freight Outward.
    Pls elaborate.

  14. Mayank M says:

    Pls explain:
    We buy goods from other states thru truck/lorry & pay transportation to truck/lorry driver…..(supposing no C Note is issued/available).
    In GST regime, we’re liable to pay GST @ 5% on this service supplied/received (under Reverse Charge Mechanism). Is this 5% GST (paid under RCM) available for ITC…..
    Pls elaborate…..

  15. Md Rafeeq says:

    Sir is GTA (5% – No ITC)….. no ITC for whom ? as user of GTA service my Company is not eligible for ITC ?

  16. Ramesh Kumawat says:

    if a GTA Purchased Truck then 28% GST charge on Truck Value And GTA Not Required to pay GST on hire charge Due to cover in RCM ,then How to Possible to take Credit Of GST Charge on Truck .
    And GTA Also not Deal With Unregistered Person.

  17. chirag garg says:

    transportation of passenger by motor cab ka kya rate hoga

    • Soumitra Mishra says:

      if it is renting of motor cab then 5% if fuel cost is included in the consideration charged by service recipient, if it is excluded than 18%. Moreover, if it is a contract carriage by motorcab ,it will be 18% as it is provided under, Service rate booklet that all other services not specified else where will be charged at 18%. In this case ITC status is not known yet.

  18. Binal mandora says:

    What is the difference between Rent a CAB Service and passenger transportation under GST?

  19. BIPLAB GHOSH says:

    We are purchasing goods from other state and this goods are transported by road through individual transporter. They are not given any Consignment Note or Bilty.
    We are received only RC & Pan Card from them for make him payment of freight.

    In this case can we liable to pay GST under Reverse charge mechanism if yes then what is the tax rate we have to pay and which tax category that payment is given under CGST, SGST or IGST.

  20. Alkesh says:

    Sir, I service receiver pay Tax under RCM for GTA 5% , in this case , is allow Tax credit of Service?

  21. Pankaj Rathore says:

    Yes, you are eligible to claim GST paid.

  22. venkoba says:

    Other than above through GTA (5% – No ITC)
    GTA Payment RCM basis ( Challan Amount basis )
    Eligible ITC ?

    • Pankaj Rathore says:

      Yes, fully eligible of ITC.

      • RAHUL R says:

        M/s. XYZ Company purchased a volvo bus for Rs.1.50 Crores including GST of say Rs.25 Lakhs.
        XYZ uses this bus for transportation of passenger and charge 5% as GST on the fare.
        Now as per Section 17(5) point (a) XYZ company is eligible to take credit of Rs. 25 Lakhs.

        My question is, ‘The govt fixed the output GST rate on passenger transport service as 5% without ITC.
        Isn’t this contradictory with section 17 (5) of CGST act?
        or is it like,
        XYZ can set of Rs.25 Lakhs against GST collected from its passengers but no other input GST can be claimed?

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