Non - Resident Taxable Person

A repair and Maintenance service provided by an employee of a Company registered in USA to a Manufacturing Company in India. USA Registered Company does not have any Place of Business or residence in India. Whether the USA company is required to take registration as Non-Resident taxable Person or the Indian Company need to pay GST under reverse charge?

Replies (3)
Quick Summary
This discussion explores the GST implications for a US-registered company providing repair and maintenance services to an Indian manufacturing firm. The core question is whether the US company, lacking a physical presence in India, needs to register as a Non-Resident Taxable Person (NRTP) or if the Indian company should pay GST under the Reverse Charge Mechanism (RCM). The consensus leans towards it being an import of services, triggering RCM and placing the tax liability on the Indian company, potentially requiring the foreign entity to register as an NRTP.

In my opinion, it is considered as import of servicer. hence is chaged under RCM. As result of it, tax liability is created on Indian manufacturing company. so that Foreign co. is required to get Registration.

foreign company through itself or its agent get registered as NRTP 5 days prior to render service in INDIA and pay tax in advance .

Can clarify the agreement with Indian company for work done is with Employee or Company in USA

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