"My client is a labour contractor registered in Maharashtra who provided labour services in Maharashtra only, but the client to whom he provided services has a GST number from *Haryana*.
In this case, is the Reverse Charge applicable under GST?"
Menu
Gst for labour contractor
Replies (2)
Quick Summary
Under GST, Reverse Charge (RC) applies when a registered person receives services from an unregistered person. However, in your client's case, the service recipient (the client with a GST number from Haryana) is a registered person. Since the service recipient is registered, the liability to pay GST shifts to them under the Forward Charge mechanism. Your client, the labour contractor, will not be liable to pay GST under Reverse Charge. However, there's an important consideration: - Inter-state supply: Since the service recipient is from Haryana and your client is from Maharashtra, this is an inter-state supply. Your client may need to register for GST in Maharashtra as an inter-state supplier, even if their turnover is less than the threshold limit.
Forward charge only applicable.
Recent Topics :
- FAI & FAST-DS 2026 query
- Is GST registration mandatory in this case
- Buying a residential flat in Goa: should my wife b
- Income tax filling
- Applicability of RCM in the case of import of serv
- Confusion in gst registration for service category
- Itc claimed from return defaulters
- Gst input credit
- CAN PARTNERSHIP FIRM SIGN SERVICE AGGREMENT WITH A
- E-waybill
Related Topics :
CAclubindia
