Gst Tax Rate For Renting Of Motorcab Or Taxis Services

Rahul Rai
watch_later 3 years, 6 months ago

How much tax should be charged on availing the services of a motorcar or taxi? Whether input credit is available?

Tax rates are for hiring cab with driver or renting a taxi for full day without driver?

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1 Answer

Pulkit Sharma watch_later 3 years, 6 months ago

Renting of a motorcab or taxi is to be charged at 5% and no input credit of tax is available.

Whether you hire with driver or without, tax rate will be 5% and ITC is not available.

Transportation services by a radio taxi or AC carriage is also taxed at 5% without ITC.

  • chatComments
    Whether it included aggregators such as OLA and UBER or it is only for the individual taxi owners? - Rahul Rai
    Service by OLA and UBER is not that a taxi, but they are only aggregators and are covered under seperate category. I think tax to be charged by them falls under commission or marketing services and will be charged at 18% with full ITC. - GST Payer
    What if the Company staff submits bills of Uber ola or any taxi paid by hiin which no GST hs been charged. is company liable to pay GST under RCM in that case. - Prakash Joshi
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