The service tax norms for the transport industry is simplified as follows:

o          Service tax is charged at 2.58% of the total freight for all the LRs with total more than Rs.750.

o          Service tax will not be charged to those consignors or consignees who fall under the following category:

·        factories registered under factories act

·        companies established under companies act

·        corporation established under any law

·        society registered under societies registration act

·        cooperative society established under any law

·        dealer of excisable goods registered under central excise law

·        any corporate body established under any law

o          Service tax will not be charged for those customers who book fruits, vegetables, fish and milk.