GST ON OLD MACHINERY

This discussion clarifies the Goods and Services Tax (GST) implications when purchasing old machinery from unregistered individuals. Following the CGST Amendment Act 2018, the Reverse Charge Mechanism (RCM) under Section 9(4) is generally not applicable to such transactions, unless the goods are specifically notified or fall within certain sectors like real estate. Therefore, purchasing old machinery from an unregistered dealer typically does not attract RCM.