Question 1

What GST rate applies on freight forwarding services in India?

Accepted Answer

Freight forwarding services in India are generally taxable at 18% GST (9% CGST + 9% SGST for intra-state, or 18% IGST for inter-state). However, specific services like transportation of goods by GTA, certain ocean freight services, and export-related services may have different rates or exemptions. FreightSetu allows you to configure the applicable GST rate for each charge code and automatically applies the correct CGST/SGST or IGST based on the place of supply.

Question 2

What SAC code should freight forwarders use for GST invoices?

Accepted Answer

The primary SAC code for freight forwarding services is 9965 (Goods Transport Services). Other commonly used SAC codes in freight forwarding include 9967 (Supporting services in transport), 9968 (Postal and courier services), and 9985 (Support services including business support). FreightSetu has a built-in HSN/SAC charge code master that you can configure for each type of charge you raise to clients.

Question 3

Does FreightSetu support both CGST/SGST and IGST?

Accepted Answer

Yes. FreightSetu automatically determines whether to apply CGST + SGST (for intra-state transactions) or IGST (for inter-state transactions) based on the GSTIN of your company and the client's billing state. You can also override this manually for specific invoices. The split is displayed on the invoice PDF and in the accounting reports.

Question 4

Can FreightSetu handle TDS deduction on freight invoices?

Accepted Answer

Yes. FreightSetu supports TDS deduction on vendor bills. When allocating a payment against a bill, you can specify a TDS deduction amount. The net payable amount is automatically calculated and the TDS is tracked separately for your accounting records.

Question 5

What does a FreightSetu GST invoice look like?

Accepted Answer

A FreightSetu invoice includes: your company name, GSTIN, and address; the client's name, GSTIN, and billing address; a unique invoice number; shipment reference and description; an itemized charge table with HSN/SAC codes, quantities, rates, and applicable CGST/SGST or IGST; total amount with GST breakdown; amount in words (Indian English); your company's bank details; and your digital signature and company stamp. All invoices are generated as professional PDFs.

Question 6

How does FreightSetu calculate the gross profit margin on a shipment?

Accepted Answer

FreightSetu records both buy rates (what you pay to carriers and vendors) and sell rates (what you charge to clients) on every shipment and quote. The gross profit margin is automatically calculated as (Sell Total − Buy Total) / Sell Total × 100. You can see this margin per shipment, per quote, and in summary reports. This gives freight forwarders instant visibility into profitability before invoicing.

Charge Description	SAC	Amount	CGST 9%	SGST 9%	Total
Ocean Freight (FCL 40'HC)	9965	₹85,000	₹7,650	₹7,650	₹1,00,300
Documentation Charges	9965	₹3,500	₹315	₹315	₹4,130
THC - Origin	9967	₹12,000	₹1,080	₹1,080	₹14,160
Seal Charges	9967	₹800	₹72	₹72	₹944
Total		₹1,01,300	₹9,117	₹9,117	₹1,19,534
Amount in Words: Rupees One Lakh Nineteen Thousand Five Hundred Thirty-Four Only

GST Invoices for Freight Services.
In 60 Seconds.

Every GST requirement. Handled automatically.

CGST + SGST or IGST

HSN & SAC Code Library

Digital Signature & Stamp

Bank Details on Invoice

Amount in Indian English

TDS Deduction Support

What a FreightSetu GST invoice looks like

GST Invoicing for Freight Forwarders - FAQ

Generate your first GST-compliant freight invoice in under 2 minutes.

GST Invoices for Freight Services. In 60 Seconds.