Rcm on professional fees

Guddi (employee) (769 Points)

01 August 2017  

A company is paying professional fees(40000-tds @ 10%) = 36000 p.m*12 =  4,32,000 p.a. to few employees who are not registered under gst.  Is the company liable to pay GST under Reverse charge? I think the company is liable to pay RCM and can claim ITC of the same. And GST is payable @ 18% on 40000 = 7,200. Am i correct? Please answer.. Thanks in advance.