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GST under RCM

Chander Pal Singh (PROPRIETOR) (73 Points)

07 November 2017

if a registered Pvt co. purchases material from an unregistered person who is not liable to get register under GST, in that case co. would required to pay gst under rcm?

secondly if the material purchased for improvement/minor repairs of fixed assets. Then what would be the treatment under rcm.???

thanks in advance

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15 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (162588 Points)
Replied 07 November 2017

ITC can be availed over GST paid for repairs and maintainance.

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Anil Lahoti (88 Points)
Replied 07 November 2017

Rcm has been removed from 13th Oct to 31st March, except specified services like GTA, so good purchased from URD, will not attract Rcm

Chander Pal Singh (PROPRIETOR) (73 Points)
Replied 07 November 2017

even if the turnover of the company is greater than 2 crore???? rcm is rescind??

Anil Lahoti (88 Points)
Replied 07 November 2017

Rcm totally removed, immaterial of turnover..

RAJA P M ("Do the Right Thing...!!!") (127700 Points)
Replied 07 November 2017

(even if the turnover of the company is greater than 2 crore???? rcm is rescind??)

Yes...
U/s 9(4) of the CGST act suspended from 13th October to 31st March 2018. Rcm not applicable above said specified dates without threshold limit....
So, You don't want pay tax under RCM basis for the suspended periods...

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Anil Lahoti (88 Points)
Replied 07 November 2017

sir Raja P M, Rcm on specified services like GTA is still applicable, immaterial of turnover...is it true...?

RAJA P M ("Do the Right Thing...!!!") (127700 Points)
Replied 07 November 2017

Originally posted by : Anil Lahoti
	sir Raja P M, Rcm on specified services like GTA is still applicable, immaterial of turnover...is it true...?

Yes.... Still applicable...

GTA is u/s 9(3). Also Sec 9(3) related RCM is still applicable

https://www.cbec.gov.in/resources//htdocs-cbec/gst/reverse-charge-mechanism-08aug2017.pdf;jsessionid=3D722654B0D920735B6F00C6DAB9ADAA

pradeep kumar (245 Points)
Replied 07 November 2017

if those materials purchase for capitalise the fixed asset can i take itc .

pradeep kumar (245 Points)
Replied 07 November 2017

repairs and maintenance is service ,that's itc also can i take input

RAJA P M ("Do the Right Thing...!!!") (127700 Points)
Replied 07 November 2017

Originally posted by : pradeep kumar
	if those materials purchase for capitalise the fixed asset can i take itc .

Yes... Based on some related rules is applicable...

Please refer Sec 17........

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RAJA P M ("Do the Right Thing...!!!") (127700 Points)
Replied 07 November 2017

Originally posted by : pradeep kumar
	repairs and maintenance is service ,that's itc also can i take input

Yes... You can...

manoj pendikatla (6 Points)
Replied 07 November 2017

if no RCM where to enter purchase details from unregistered person .is it exempted purchase ?. we collect tax from customer?or directly enter sales details with tax in gstr 3b?