| Originally posted by : Dhirajlal Rambhia | ||
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You will be required to pay GST on rent @ 18% under RCM. Tax paid on reverse charge basis will be available for input tax credit if such goods and/or services are used, or will be used, for business. The service recepient (i.e., who pays reverse tax) can avail input tax credit. |
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thnx really
Most Welcome..
@ Sunil Porwal: Your liability to pay GST over rent paid comes under RCM. You are supposed to pay directly to government.
But you can take advantage of Rs. 5,000/- limit per day paid to URD, wherein the RCM is not applicable.
QUESTION REGARDING RCM ON RENT ( AND 5000 EXEMPTION LIMIT)
suppose I paid rent 30,000 pm (FOR 30 DAYS), CAN I SAY I RECEIVED SERVICE OF RS. 1000 AND AVAIL EXEMPTION UTPO 5000 PER DAY
BECAUSE IN THE NOTIFICATION IT IS SAID EXEMPTION UPON SERVICE RECEIVED BELOW 5000, WORD USED IS RECEIVED NOT PAID
PLEASE GIVE LOGIC ALSO
The rent aggreement specifies the rent per month, so the service contract is taken as per month and not on daily basis..........
It can be filled in GSTR 2 under column...........
Certain goods and services attract reverse charge, i.e., the buyer is liable to pay GST. A registered dealer purchasing more than Rs. 5,000 per day from an unregistered dealer is liable to pay reverse charge.
All purchases on which reverse charge applies, will be reported in this part.
4A. Under this head, all purchases on which reverse charge specifically applies by law must be mentioned. For example, purchasing cashew nuts from an agriculturist.
4B. This head will list the purchases from unregistered dealer which exceed Rs. 5,000 per day from an unregistered dealer
4C. Under this head, reverse charge GST paid on import of service will be reported.
If there is any limit of rent. For example, i am giving rent of rs.2000 only, then should I pay gst under revverse charge ?
No if rent is for commercial property you have to pay tax under RCM
but this can go under 5k limit per day if on Rent Bill Date you have not more then 5K exp from Unregistered dealer.
How to get input in GST form Except Transportation case.
Sir,
My query is if the landlord is unregistered and is renting a godown (in the same state of his residence) to me in July-Oct, then what GST should be paid by me under RCM? I am registered in his state also on the basis of that godown as place of business and I am also registered in different state. Do i have the option to pay any GST and take Input accordingly? Please note that I tok the registration in the same state of the property in Nov but I received all rent bills this month in February 18.
Please suggest.
No RCM payable for the period earlier to date of registration.
Presently, GST liability do not arise...... as dealer is URD and no RCM applicable u/s. 9(4) of GST after your date of registration. (at least till March 2018)
Thank you Sir..
My Pleasure...
CAclubindia
