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Question ID : 2713
Abatement of 75% to Goods Transport Agency
Dear Members,
Goods Transport Agencies are entitled for abatement of 75% from the gross amount charged vide notification no.32,2004 for providg the taxable services . I am of the opion that this abatement is also avaible to the consigness or consignor, if they are from one of the seven categories mentioned the notification no.35,2004 and liable to pay service tax.
But the department has issued the notices mentiong that abatement of 75% from the gross amount charged by goods transport agency is avaible only cases where Goods Transport Agency is liable to pay service tax. This benefit is not avaible cases where the provisions of notification no.-35,2004 are applicable. other words if the consignee or consignor are liable to pay service tax 75% abatement is not avaible to them.
Please Crify the correct position.
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