RCM PAYMENT BY SERVICE PROVIDER

This query is : Resolved

Shalini RN (Querist)
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01 January 2026 We are registered GTA. We had opted RCM form 2017-18 to 2022-23. Now we are under GST assessment for the period 2021-22. Now the officials are asking us to prove that our service receivers have paid Tax under RCM against our invoices. From few we were able to receive the confirmation letter who were still our clients. But from those to whom we have provided services once or twice and in some cases the concerned staff have already left their job, we are not able to get the confirmation. Now the assessing officer is asking to pay the tax amount with interest and penalty. We explained him about the difficulties and reasons behind it. But no use. Today we received the order also. Please advice us regarding how we can proceed further with it

Aashok Kumar Sharma

Aashok Kumar Sharma (Expert)
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02 January 2026 As a GTA operating under RCM, you are NOT liable to pay GST, even if service recipients failed to discharge their RCM liability. The department has no legal authority to demand tax, interest, or penalty from you or to insist on confirmation letters. Since an order has been passed, the correct and effective remedy is to file an appeal (APL-01), where such demands are strongly defensible and usually quashed.

Shalini RN

Shalini RN (Querist)
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02 January 2026 Thank your very much sir

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