04 June 2025
If Mr. X Export Of Goods From India To Oman. Mr. X Received Ocean Freight Invoice Of USD. 800 From Mr. Y Which Are Located In Oman. The Freight Invoice Is Without GST. I Have Doubts Which Are Below
1) How To Pass Accounting Entry In Books 2) Can Mr. X Liable To Pay RCM On Ocean Freight. 3) If Mr. X Liable To Pay RCM On Freight Then What Is The RCM Rate ? 4) This Ocean Freight Invoice Treated As Import Of Service ?
07 June 2025
No, in this case, Mr. X is not liable to pay RCM on ocean freight. Why? As per Notification No. 10/2017-IGST (Rate), RCM on ocean freight applies only to import of goods into India where goods are transported by a foreign shipping line.