03 May 2017
HI can anyone elaborate the provisions of subsection 4 of section 9. means what is the scope of this sub section Whether it is applicable on our purchases only or will it be applicable on the expenses portion also say for eg; Rent services, stationery, and other day to day expenses from the dealer who are not register
Eg: If a company takes office on rent from an individual for Rs. 25000/- p.m i.e. 300000/- a year. will the company has to pay tax on reverse charge basis and claim credit of the same.
Guest
Guest
(Expert)
04 May 2017
Yes .As section 9(4) of the Act states all goods and services from unregistered person will be taxed on reverse charge basis.
CAclubindia
