LATEST NOTIFICATION RCM ON RENT

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This query is : Resolved

Quick Summary

From October 2024, a Reverse Charge Mechanism (RCM) will apply to rent paid to unregistered landlords, with registered dealers liable for 18% GST. This discussion confirms that input tax credit (ITC) for GST paid under RCM is available to normal tax dealers. The ITC can be claimed in the same month the GST is paid.

raghavendra b

raghavendra b (Querist)

18 December 2024 DEAR SIR,

FROM OCTOBER 2024, RCM LIABILITY APPLICABLE ON SERVICE RECEIVING FROM UNREGISTERED LAND TO THE REGISTERED DEALER GST PAYABLE @ 18% ON RENT.

MY QUERY IS ITC AVAILABLE ON GST PAID THROUGH RCM

REGARDS

THANK YOU

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

18 December 2024 Yes, ITC is eligible for normal tax dealers.

raghavendra b

raghavendra b (Querist)

18 December 2024 THANK YOU SIR FOR YOUR QUICK REPLY,

MY CLIENT PAYING 8000/- PER MONTH GST 1440/- PAYABLE. GST PAID IN CASH AND CLAIM THROUGH ITC ADD BACK

REGARDS

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

18 December 2024 Yes, the ITC under RCM can be claimed in same month.

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