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RCM on gas cylinder home delivery charges

Praful (Accountant) (25 Points)

16 September 2017

gas agency paid gas cylinder home delivery charges to delivery boy, so these transaction come in rcm?

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17 Replies

RAJA P M ("Do the Right Thing...!!!") (127072 Points)
Replied 16 September 2017

Also gas is not under GST.
And the delivery boy is his employee. So, GST not applicable....

Philip Kumar (168 Points)
Replied 16 September 2017

no LPG cylinder domestic also under GST @ 5% and for commrl. cylinder 18%

1 Like

CA Rashmi Gandhi (Chartered Accountant) (86220 Points)
Replied 17 September 2017

RAJA again wrong reply.

CA Rashmi Gandhi (Chartered Accountant) (86220 Points)
Replied 17 September 2017

Home delivery charges are for services provided & 18 % charged over it.

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CA Rashmi Gandhi (Chartered Accountant) (86220 Points)
Replied 17 September 2017

If same is added in invoive then rate as per principal supply is charged.(5% for domestic & 18% for commercial )

1 Like

Praful (Accountant) (25 Points)
Replied 17 September 2017

we have paid delivery charges to delivery boy (employee) , however under services

RAJA P M ("Do the Right Thing...!!!") (127072 Points)
Replied 17 September 2017

@ Praful.,,
wait... the expert ll be attend shortly.

CA Rashmi Gandhi (Chartered Accountant) (86220 Points)
Replied 17 September 2017

Pay @ 18%...under RCM

1 Like

CA Rashmi Gandhi (Chartered Accountant) (86220 Points)
Replied 17 September 2017

But if such amt is less than Rs.5000/- a day then no need to pay GST on it.

RAJA P M ("Do the Right Thing...!!!") (127072 Points)
Replied 17 September 2017

What is this exact meaning.,
(we have paid delivery charges to delivery boy (employee)....?

RAJA P M ("Do the Right Thing...!!!") (127072 Points)
Replied 17 September 2017

Actually,
The gas agencies delivered the cylinder their business deal. Delivery boy his employee. Also the Agency delivered gas using his employee like Delivery boy/mab and Driver also helpers or anybody. They all are employee. Then How is to taxable for the employee related...?

So, In my view RCM can't applicable for the delivery boy. They give salary for delivery works to delivery boy, They give salatlry for admin works to admin boy. It's not delivery charges....

In case they any other modes like contract based out of employee category then it ll be booked delivery charges. After the deal it's under RCM....

1 Like