RCM on Freight Cannot Be Applied Blindly: CESTAT Explains Why Every Transporter Is Not a GTA

Best Road Carriers Vs Principal Commissioner of CGST (CESTAT Delhi) The issue of GST on freight has often been approached from a narrow perspective—whether the recipient falls within the specified category liable to pay tax under the Reverse Charge Mechanism (RCM). However, before examining the recipient’s liability, an equally important and often ignored question deserves consideration: whether the service provider is a Goods Transport Agency (GTA) in the first place. The recent decision of CESTAT in Best Road Carriers v. Principal Commissioner, CGST Alwar brings this distinction into...