Gst gta rcm

Kallol Sarkar (Accountant) (188 Points)

13 August 2019  

Company X exports goods to Y in Bangladesh. Company A is GTA who picks up material from X and transport it to Y in Bangladesh. GTA company A receives freight from Company X in Indian Rupees..

The transaction is defined as follows-

Service Provider- A in India

Service Recipient- X in India

Place of Supply- Bangladesh (after amendment of IGST Act 12(8) w.e.f. 01.02.19)

My question is whether X, being the recipient, is liable to pay GST on RCM basis OR it can be treated as export of service/ zero rated supply and no RCM required ?

Please explain.