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Under gst, at what time input of rcm can be taken?

Sanjeev (Auditor) (153 Points)

30 August 2017

Hi,

Under GST, input of RCM can be taken in the month of entry or in the month of payment?

Also, above rule will be applicabe for both service and supply?

Thanks

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5 Replies

RAMESH D MODI (Proprietor) (4864 Points)
Replied 30 August 2017

ITC of rcm can be adjusted in the same month but only against net liability.

RAMESH D MODI (Proprietor) (4864 Points)
Replied 30 August 2017

it can not be set off against itc.
means u have to pay tax atleast whuch is under rcm

Sanjeev (Auditor) (153 Points)
Replied 30 August 2017

Off course, payment of tax is done. Now, we can take input on the month in which entry was passed. Right?

Balakrishnan (Proprietor) (342 Points)
Replied 30 August 2017

Proof of payment arises only after filing monthly return. viz., output tax - itc if negative pay RCM by cash and make appropriations in gstr 3b or 3 as the case may be. After filing of the above returns, it becomes conclusive proof RCM paid in cash. So practically, ITC on RCM possible only in the next month