GST on GTA services with tax charged on bill

You're right to question this, as RCM (Reverse Charge Mechanism) and forward charge basis are two different things ¹. RCM is a mechanism where the recipient of goods or services is liable to pay GST instead of the supplier, whereas forward charge basis means the supplier pays the tax ¹. In your case, since the GTA has charged GST @ 5% on the bill, it means they are paying the tax on a forward charge basis ¹. The mention of RCM in the bill seems to be an error, as RCM is not applicable here. However, it's always best to clarify with the GTA directly to avoid any confusion. You can ask them to confirm whether they intended to charge tax on a forward charge basis or RCM basis. This will help prevent any potential disputes or issues in the future.

You're right to question this, as RCM (Reverse Charge Mechanism) and forward charge basis are two different things ¹. RCM is a mechanism where the recipient of goods or services is liable to pay GST instead of the supplier, whereas forward charge basis means the supplier pays the tax ¹. In your case, since the GTA has charged GST @ 5% on the bill, it means they are paying the tax on a forward charge basis ¹. The mention of RCM in the bill seems to be an error, as RCM is not applicable here. However, it's always best to clarify with the GTA directly to avoid any confusion. You can ask them to confirm whether they intended to charge tax on a forward charge basis or RCM basis. This will help prevent any potential disputes or issues in the future.