Save Rs 499 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

Rcm sponsorship

280 views

Save Share

Sravan Reddy G

618 Points Posted on 14 March 2021

hi
in case of sponsorship servises by a business entity or partnerships firm

them they are only liable to pay gay under rcm

my doubt is what if I (individuals) had done sponsered some one

did FCM or RCM will come .

Replies (3)

Quick Summary

This discussion clarifies the Goods and Services Tax (GST) implications for sponsorship services under the Reverse Charge Mechanism (RCM). Generally, RCM applies when a business entity or partnership firm receives sponsorship services. However, if an individual provides sponsorship, they will need to pay GST under the Forward Charge Mechanism (FCM).

Pankaj Rawat

GST Practitioner

55067 Points Posted on 15 March 2021

As per Notification 10 IGST (R) , Services provided by ANY PERSON by way of sponsorship to BODY CORPORATE OR PARTNERSHIP FIRM , RCM is applicable.

So Service provider can Any Person
& Recepient must be Body Corporate or Partnership firm