Impact of GST on Transport Sector
Impact GST Transport Sector
- Interstate transportation become more efficient.
- Burden of paper work will be reduce.
- Logistic will go down
Before GST all 29 states collect taxes at a various rate at every border. So taxes collected multiple times. Also, delays, mafias and many bad elements that affect the transportation cost badly. Finally, after GST, Transporter will get relaxation and logistics cost will be reduced, Impact GST Transport Sector
Roadways
- Cab rides become cheaper that will boost the cab based companies i.e. OLA, UBER.
Airways
Under the new GST law,
- The Economy class will become more economic.
- Business class passenger has to spend more than 12%.
Railways
- Non AC train travel (including in local trains and metro) has been exempt
- There will be the nominal increment in the fare of AC Train.
- Input Tax Credit is not allowed because of the low tax rate.
Exemptions under railways
- Travelling in metro;
- Local trains; and
- Religious travel including Haj yatra.
Waterways
GST will be applicable on –
- Transport of coastal goods;
- Transport through National waterways; or
- Transport through Inland waterways services
Conclusion
Under GST, the Transport sector is closely monitored and the tax rates are apt. The transportation sector has accepted the changes made under GST by the government of India. For more business related services visit on Proworktree.
Corporate Entity Registration
Proprietorship Registration
MSME or SSI
Registration
Import Export
Registration
Trademark
Registration
0 comments have been posted.