RCM on GTA Payment
This query is : Resolved
28 July 2025
RBC (Registered Firm) despatched goods through a Regd. GTA, to XYZ (Unregistered Person) on `To-Pay' basis.
Freight is payable by XYZ(Unregistered Person).
In this case, is RBC liable to pay gst under rcm, since not making payment of freight?
Thanks...
Freight is payable by XYZ(Unregistered Person).
In this case, is RBC liable to pay gst under rcm, since not making payment of freight?
Thanks...
29 July 2025
RBC, as a Registered Firm, is not liable to pay GST under Reverse Charge Mechanism (RCM) for GTA services in this case.
RBC is not required to pay GST under RCM on the transaction described, since the person paying the freight (XYZ) is not covered in the notified categories of persons liable for RCM on GTA services. If XYZ were a registered entity, then RCM liability might arise for them, not RBC.
RBC is not required to pay GST under RCM on the transaction described, since the person paying the freight (XYZ) is not covered in the notified categories of persons liable for RCM on GTA services. If XYZ were a registered entity, then RCM liability might arise for them, not RBC.
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30 July 2025
In this case since freight will be paid by XYZ therefore GTA will issue MR to XYZ and it will be B2C Supply of GTA which is exempt under Notification No. 12/2017. therefore XYZ being an unregistered person needs not to pay GST under RCM. and further GTA will issue Bill of Supply in this case.
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06 August 2025
Thank you sir!
One more qustion regading Payment Voucher needs to be issued in case of GTA Payment under RCM.
Question is can we issue such Payment Voucher in next month's GSTR-1? Since, in some cases, information of such payments is miscommunicated within organisation at their different department level, and also no info is available in IMS till that day, even some GTA who are Quarterly Filler delays it more.
Thanks for your help sir.
One more qustion regading Payment Voucher needs to be issued in case of GTA Payment under RCM.
Question is can we issue such Payment Voucher in next month's GSTR-1? Since, in some cases, information of such payments is miscommunicated within organisation at their different department level, and also no info is available in IMS till that day, even some GTA who are Quarterly Filler delays it more.
Thanks for your help sir.
08 August 2025
Yes, eligible.
12 August 2025
Once Again Thank You Sir!
13 August 2025
You are welcome.
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