Levy of Ocean Freight under GST: Not all is well, even if it ends well!
In a landmark move, the Supreme Court in the case of UOI v. Mohit Minerals Private Limited, 2022- VIL-30-SC, upheld the judgment of the Gujarat High Court in the case of Mohit Minerals Private Limited v. UOI, 2020-VIL-36-GUJ, striking down the levy of GST on Ocean Freight. The ruling, being first of its kind, comes as a huge sigh of relief for the taxpayers under GST regime in so far as levy of GST on Ocean Freight, paid in case of import of goods on CIF basis is concerned. However, the ruling has opened pandora’s box for the jurists and taxpayers to ponder. Through this article, Our Partner, Mr. Dharnendra Kumar Rana, Managing Associate, Mr. Sourabh and Associate, Ms. Srishti Yadav have delved into the correctness or otherwise of the reasonings adopted in this judgment.
Please click on the below link to read our latest article titled “Article 86 – Levy of Ocean Freight under GST: Not all is well, even if it ends well!’’ on the issue.
Our Managing Associate, Mr. Sourabh Kumar has also given his insights on this issue in a short video. Please click on the below link to watch the video.