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GST on supply to Muncipal corporation
A registered person is giving Moter car services to Muncipal corporation , whether is under forward charge or Rcm.
Replies (1)
Summary: The Reverse Charge Mechanism (RCM) for motor vehicle rentals applies only when the recipient is a body corporate. Since a Municipal Corporation is classified as a local authority and not a body corporate, the service is subject to the Forward Charge Mechanism, meaning the service provider is responsible for collecting and paying the GST.
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