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Remuneration to Directors

dharmendra gohil (accountant) (42 Points)

02 July 2018

REMUNERATON PAID TO DIRECTORS ANNUALY BASIS ON THEIR SERVICE TO COMPANY SAC CODE ?
RATE OF GST?
IF PAID UNDER RCM INPUT CREDIT CLAIMED OR NOT?

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5 Replies

Raman Khanna (73 Points)
Replied 02 July 2018

Remuneration paid as Director Sitting Fees and Commission attracts GST under RCM. Refer Notification No. 13/2017 Central Tax (Rate) and 10/2017 Integrated Tax (Rate)

1) 998399 - Other Professional Technical And Business Services

2) 18%

3) Yes...ITC available after discharging GST.

1 Like

Raman Khanna (73 Points)
Replied 02 July 2018

Further GST paid under RCM is available after discharging it.

CA Shivam Arora (Chartered Accountant) (2414 Points)
Replied 02 July 2018

SAC-9983

Rate-18%

ITC-Yes available after you make the payment i.e if you make the payment and show it in June return, then you may avail the credit in July return.

Note-Remuneration paid to directors which is in the nature of salary i.e. under employer and employee relationship, is not chargeable to tax under RCM.

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Pankaj Rawat (GST Practitioner) (55032 Points)
Replied 02 July 2018

If he is sitting director then only RCM is applicable

If he is whole time director :As per sec 7(2) of IGST Act Supply EXCLUDES services supplied by an employee to the employer in the course of or in relation to his employment.

Deposit tax on RCM & take ITC for the same

2 Like