RCM on GTA services.

Sir/ Madam,

is RCM applicable on GTA services of

GOVT.transport corporation?

Regards

Yadav
7032707015
Replies (2)
Quick Summary
This discussion clarifies the applicability of the Reverse Charge Mechanism (RCM) on Goods Transport Agency (GTA) services involving government transport corporations. RCM is generally not applicable when goods are transported via government corporations. However, if GTA services are provided *to* government transport corporations, RCM may apply, provided the government entity is registered solely for tax deduction under Section 51 and not for making taxable supplies.

Dear Yadav
1. is the goods being transported via govt tpt. corporations.
Reply : No RCM applicable. (Not cover under GTA definition)

2. Is GTA services being provided to Govt tpt corporations.
Reply : No RCM applicable subject to condition that govt has taken registration only for the purpose of deducting tax under Section 51 & not for making taxable supply of good or services. (Ref. Notification 13/2017 CT rate)
1. no rcm
2. yes.

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