Example

1. M/s ABC supplied goods which are taxable @ 18 % in GST of value of Rs. 350000 and send goods via transport and also charged freight cost of Rs 2100 in the invoice.

Do M/s ABC need to specify the freight cost in the invoice and if yes what will the GST rate?

Answer

If freight is borne by supplier then it shall be added to the value of supply as incidental expense on the face of invoice and tax would be levied at the rate applicable for the taxable goods.

Thus M/s ABC are supplying goods to a party and charged taxed at 18%, then he have to charge tax on transport cost also at 18%.