Reverse charge

This discussion explains how to handle the Goods and Services Tax (GST) reverse charge mechanism when you are the receiver of services, such as legal fees or sitting fees. It outlines that you must pay the GST under RCM at 18% and can claim Input Tax Credit (ITC) in the following month. The steps involve depositing the tax amount and reporting it as both a liability and an input in your GSTR 3B.