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Legal Services RCM

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P MURUGAN

ACCOUNTANT

204 Points Joined August 2017

An assessee whose not registered in gst because of Rs. 1800000

Replies (2)

Rama chary Rachakonda

Master in Accounts & high court Advocate

9505 Points Joined December 2011

As per GST regulations, a person having an annual turnover exceeding ₹40 lakhs (₹20 lakhs for special category states) is required to register for GST.

Since the assessee's turnover is ₹18 lakhs, which is below the threshold limit, they are not required to register for GST.

However, if the assessee is engaged in interstate supplies or provides services, they might still need to register for GST, regardless of the turnover.

Additionally, the assessee might voluntarily opt for GST registration, even if their turnover is below the threshold, to:

1. Avail input tax credits

2. Make interstate supplies without restrictions

3. Increase business credibility It's recommended that the assessee consult with a tax professional to determine the best course of action for their specific situation.

prasad Nilugal

GST Practitioner & Accounts

15029 Points Joined March 2014

As per section 24(iii) of the CGST Act , 2017 (plese refer amended Act till date ) , a unregistered person has to take compulsory Gst registration irrespective of the Turnover , if he is requried to pay under reverse charge , in your case legal services under RCM .

Take more opinion on this .