Rcm and no rcm

RCM 706 views 8 replies

Shivani

Learner

1881 Points Posted on 16 June 2018

Dear Friends

X being a supplier supplies tendu leaves and tobacco leaves to Y (interstate supply).

Now both tendu and tobacco leaves are covered under RCM (Section 9(3) ) but tendu leaves are exempt and tobacco leaves are taxable at 5%.

now when you pass entry in tally, it gives warning that "Invoice contains reverse charge and other than reverse charge".

Whats the need for this warning?

whats wrong in a invoice containing RCM (exempt tendu) and RCM (taxable tobacco) both?

regards

shivani

Replies (8)

RAJA P M

"Do the Right Thing...!!!"

128152 Points Posted on 16 June 2018

But,

I think and search "TENDU LEAVES" is also taxable @ 5%....

🤔🤔🤔🤔🤔

Vinod Babu

24196 Points Posted on 16 June 2018

Tendu leaves was taxable @ 18% see the hsn code 14049010.
Do you have hsn code of tendu leaves in invoice.
Please check it whether I mentioned hsn code matches or not. If not, specify the Hsn code.

RAJA P M

"Do the Right Thing...!!!"

128152 Points Posted on 16 June 2018

Bidi wrapper leaves (tendu)	14049010	18	28/06/2017		14049010, 14049021, 14049029, 14049030
Vegetable products not elsewhere specified or included such as cotton linters, Cotton linters, Soap nuts, Hard seeds, pips, hulls and nuts, of a kind used primarily for carving, (coconut shell, unworked deleted w.e.f 14/11/2017), Rudraksha seeds [other than bidi wrapper leaves (tendu), betel leaves, Indian katha, ( inserted w.e.f 14/11/2017 :coconut shell, unworked ] [other than 14049010,14049040,14049050]	1404	5%	28/06/2017		14041011, 14041019, 14041020, 14041030, 14041040, 14041050, 14041061, 14041069, 14041070, 14041090, 14042000

Vinod Babu

24196 Points Posted on 16 June 2018

Raja sir please tell which hsn is correct

RAJA P M

"Do the Right Thing...!!!"

128152 Points Posted on 16 June 2018

Originally posted by : Vinod Babu
	Raja sir please tell which hsn is correct

Both are correct...

But, Check out the Difference...

Vinod Babu

24196 Points Posted on 16 June 2018

Ok sir thank you.

RAJA P M

"Do the Right Thing...!!!"

128152 Points Posted on 16 June 2018

u r wlcm...

Shivani

Learner

1881 Points Posted on 18 June 2018

Dear All

my query remains unanswered.

HSN code for Tendu leaves (Bidi wrapper leaves) is 14049010

if you check the exemption list, you will find that presently it has been exempted.

so this is taxable under reverse charge, it is presently exempted.

so pls reply to my query, w hy is tally showing error if X supplies tendu leaves (taxable attracting reverse charge but exempted) and tobacco leaves (taxable under reverse charge) in single invoice?

regards

shivani