Sir, I have a doubt
We are paying fixed monthly salary to one engineer who give consultancy services to us
Our company is dealing with Engineering product
We record it as professional services and deduct 10 % TDS
He don't give any Invoice against that Shall we require to pay GST under RCM ?
He is not employee of the company and he visit hardly 2 3 times in a month.
Menu
GST on Consultancy services
Replies (7)
Incase of engineering service rendered to you . The service provider is liable to charge GST under frwd charge. Since the same is not covered under RCM
Even He needs to charge GST only if his turnover exceeds 10/20 lakh depending on states.
There is no requirements to pay GST under RCM in this case by you.
If you are paying more than 10/20 lakh per annum as the case may be than you have to asked them to Give you invoice with GST.
Otherwise, it's his responsibilities to take registration and pay GST if his receipt/turnover is more than 10/20 lakh.
If you are paying more than 10/20 lakh per annum as the case may be than you have to asked them to Give you invoice with GST.
Otherwise, it's his responsibilities to take registration and pay GST if his receipt/turnover is more than 10/20 lakh.
Thanks for the help sir
FCM is applicable on the said service.
If his turnover (including service provided to you) is more than prescribed registration threshold, then he is mandatorily required to charge GST on FCM basis.
If his turnover (including service provided to you) is more than prescribed registration threshold, then he is mandatorily required to charge GST on FCM basis.
Just a small update. Tds to be deducted at 7.5%
GST is not required to be paid on RCM basis in the scenario mentioned by you. However, the service provider should pay GST is his turnover is more than the prescribed threshold and give a GST tax invoice
Recent Topic
- Provident fund taxation
- ITR3 AY 26-27 Error in filling status
- Queries on TDS as per IT
- Capital Gains set off on Sale of Land if held for
- ITR Form for income from freelance consultancy
- Gst rate for HSN code 28530010
- Health Insurance
- India GST Mobile App
- Reporting STCG on non equity oriented MF
- Section 54F exemption for buying a plot
Related Topics
CAclubindia
