Rcm Applicable Or Not

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TAX PRACTITIONER
293 Points Posted on 21 August 2020
My client purchase of wooden bed and other's wooden product's and total purchase from Unregister person so he want's to pay Rcm or Not. he is register under GST.
Plz guide me.
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On 21 August 2020 at 20:40 Report
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Quick Summary
This discussion clarifies whether Reverse Charge Mechanism (RCM) applies when a GST-registered business purchases goods, like wooden furniture, from unregistered individuals. Initially, there was confusion about paying RCM on such purchases. However, the consensus is that RCM on purchases from unregistered persons is generally not applicable anymore, except for specific cases involving promoters and developers purchasing certain items.

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33 Points Posted on 21 August 2020
Yes if he use that item in his business
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On 21 August 2020 at 20:55
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TAX PRACTITIONER
293 Points Posted on 21 August 2020
But sir all carpenter (maker) is unregister so we have paid ram on total purchase.
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On 21 August 2020 at 21:00
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33 Points Posted on 21 August 2020
Yes we have to pay rcm on total amount
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On 21 August 2020 at 21:14
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Tax and Business Consultant
11616 Points Posted on 21 August 2020
@ Ravindra ji
RCM not required in your case...
Section 9(4) RCM on Purchase from unregistered Person is scrapped /removed for all, it's applicable only case of Specified person (i.e Promoter/developers) for specific items.
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On 21 August 2020 at 21:38
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1102 Points Posted on 21 August 2020
Agree with @ Mr. Sagar Patel
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On 21 August 2020 at 23:56
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TAX PRACTITIONER
293 Points Posted on 22 August 2020
Thank U sir for guide me.
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On 22 August 2020 at 07:35
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Tax and Business Consultant
11616 Points Posted on 23 August 2020
Most welcome.......
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On 23 August 2020 at 00:25

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