RCM on Commercial Property

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12 Points Posted on 05 August 2022
RCM is applicable on Commercial property taken on rent, E.g Company ( Registered Under GST ) takes the property on rent from individual ( Not registered under GST ) for commercial purpose. Please advise company suppose to pay GST under RCM on Rent.
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On 05 August 2022 at 16:48 Report
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Quick Summary
This discussion clarifies the applicability of the Reverse Charge Mechanism (RCM) on rent paid for commercial properties. It confirms that RCM is generally not applicable in such scenarios, especially when a GST-registered company rents from an individual not registered under GST. The advice is that the supplier should charge GST under the forward charge mechanism if they are registered.

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Chartered Accountant
1005 Points Posted on 05 August 2022

No, RCM is not applicable on rent paid for the commercial property.

In case of any further queries, kindly mail me at casoravgupta @ gmail.com

Thanks & Regards
ACA. Sorav Gupta
(Practicing Chartered Accountant)

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On 05 August 2022 at 16:59
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Chartered Accountant in Practice
1260 Points Posted on 05 August 2022

RCM is not applicable on rent paid for the commercial property. The supplier has to charge GST under forward charge if he is registered under GST.
 

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On 05 August 2022 at 18:33
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accoountnat
24 Points Posted on 13 December 2022

WHETHER RCM IS APPLICABLE ON OFFICE RENT PAID

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On 13 December 2022 at 16:02
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2 Points Posted on 09 February 2023

i am a compostion dealer. WHETHER RCM IS APPLICABLE ON OFFICE RENT PAID .

Read more at: https://www.caclubindia.com/forum/details.asp?mod_id=592272

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On 09 February 2023 at 10:27
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Finance Professional
10449 Points Posted on 27 June 2023

RCM is not applicable on rent.

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On 27 June 2023 at 16:52

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