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RCM - Renting a motor vehicle / Passenger Transport

This query is : Resolved 

12 November 2019 Respected Experts , good morning

I have a query related to RCM applicable wef 1-10-19 on Renting a Motor vehicle . I need your expert advice in the matter please. Details as follows
1) A body corporate takes Vehicle from URD person ( Tata Sumo, Bolero) for pickup & drop to Staff , guests . Company pay fixed monthly charges ₹22,000/- . we can say monthly rental . Diesel petrol is in Company's scope.
2) A body corporate take Vehicle from URD person ( Tata Indica, Tavera ) for to pickup & drop Staff , guests etc . Company pay monthly charges ₹60,000/- incl fuel upto two thousand km per month .

Wheter the above would falls under RCM "Renting a Motor vehicle" head OR some other categories of services such as "Rental services of Transport vehicles with operator " OR " Passenger transport services" ( services covered Under Noti.No 11/2017 dt 28-6-17)

ii) whether RCM would be applicable at What rate 5% , 12% or 18%

Kindly elaborate. I think it is very complex & will create abundant litigation.
Thanks Patankar





12 November 2019 Both will fall under renting of motor vehicles. RCM at 5% applicable.


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