Asif shaikh

my client in real estate business. he paid 5℅ without itc. my question is my client paid tax under reverscharge for example GTA or urd purchase like cement. can he take itc of reverschare paid in 3b.Thankyou
Replies (2)
Quick Summary
This discussion clarifies GST implications for real estate businesses paying tax at a concessional rate of 5%. It addresses whether Input Tax Credit (ITC) can be claimed on taxes paid under the Reverse Charge Mechanism (RCM), such as for GTA services or URD purchases. The consensus is that while RCM is payable by the client, ITC is generally not available when opting for the concessional 5% GST rate in real estate.

Yes, RCM is payable by Your client.
ITC not available for the RCM paid...

At concessional gst rate 5 % in real estate , any kind of ITC cannot be availed.

You have to pay GST under RCM but ITC not available.

 

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