Does Painting work and repair of boundry wall attract RCM under GST?
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Quick Summary
This discussion clarifies the applicability of the GST Reverse Charge Mechanism (RCM) for painting and boundary wall repair services. Generally, RCM applies, meaning the recipient pays GST. However, painting services for residential properties are exempt. Crucially, if the recipient is a real estate business, RCM provisions will apply to these services.
Under GST, the liability to pay tax can arise under two scenarios: forward charge (FC) or reverse charge mechanism (RCM).
RCM is applicable when the recipient of goods or services is liable to pay GST. Painting Work and RCM:
1. *RCM Applicability*: Painting work is classified under SAC 9954, which attracts RCM under GST. This means the recipient of the painting service is liable to pay GST.
2. *Exemptions*: However, if the painting work is done for a residential dwelling, it's exempt from GST under Notification No. 12/2017-Central Tax (Rate) dated June 28, 2017. Repair of Boundary Wall and RCM: 1. *RCM Applicability*: Repair of a boundary wall is classified under SAC 9954, which also attracts RCM under GST. The recipient of the repair service is liable to pay GST. 2.
*No Exemptions*: Unlike painting work, repair of a boundary wall does not have any specific exemptions under GST. In both cases, if you're the recipient of these services, you'll need to pay GST under RCM.
Ensure you maintain accurate records and comply with GST regulations.
Section 9(3) and Section 9(4) deals with RCM under GST act. At Present Section 9(4) barred. Based on ur question there is no requirement to pay GST under RCM relating to repairs and Paints boundry wall. NO RCM provisions applicable. However If the receipent of the service, is a Real Estate business entity, then only RCM Provisions applicable.
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