RCM on import service

Dear Sir,

RCM applicable as per section 5(3) of IGST act read with Schedule -1

Schedule 1 speak about transactions without consideration so it should not be referred, however tax under RCM is to be paid.

HAPPY TO HELP

MOHIT JAGNANI
8820448170

for businesses...

Hi, Your understanding is not correct as section 7 of CGST says - "import of services for a consideration whether or not in the course or furtherance of business" So there must be a consideration Further sch 1 says transaction is taxable without consideration if "Import of services by a taxable person from a related person or from any of his other establishments outside India, in the course or furtherance of business" So if there is no consideration then the foreign entity must be related. HAPPY TO HELP MOHIT JAGNANI 8820448170

@ Mohit Jagnani

You are right.