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Refund of RCM

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Aryan

Sr. Accountant

198 Points Posted on 23 September 2021

Dear All,

How can we get refund of RCM paid? We have paid RCM on import services and next month we have taken its input claim and the amount is reflected in our credit ledger. We are issuing export service invoice as zero rated against LUT.

How can we get refund of RCM paid? What is its process.

Please give the exact applicable form number, what documents are required for this.

Replies (2)

Quick Summary

This discussion explores how to obtain a refund for Reverse Charge Mechanism (RCM) tax paid on imported services. The user has paid RCM, claimed input tax credit, and has the amount reflected in their ledger. They are seeking the specific process, forms, and documentation needed to claim this refund, especially as they have no future taxable services to offset against.

Aashok Kumar Sharma

Finance/Compliance Consultant

75663 Points Posted on 28 September 2021

You should have adjusted the RCM payment with Output liability in the same month. This can be done now so technically we are not paying any tax

Aryan

Sr. Accountant

198 Points Posted on 05 October 2021

Dear Mr Sharma,

As we have mentioned that we do not have taxable services from Feb-2021, so how can we adjust it and further also we will not have any taxable services.