Ocean freight RCM applicability

This discussion clarifies the applicability of the Reverse Charge Mechanism (RCM) to ocean freight. While initially debated, GST Notification No. 8/2017, as amended by a corrigendum, indicates that RCM is indeed applicable for ocean freight on CIF imports. The tax is payable under RCM at 5% on the ocean freight component, or if the freight amount isn't explicitly known, 10% of the CIF value is used as the taxable base, resulting in a 0.5% GST on the CIF value.