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Reverse Charge Basis

RCM 679 views 9 replies

HIMANSHU GUPTA

Sr. Accounts Executive

97 Points Posted on 21 July 2017

Dear all,

If a Dealer "X " is registered under Composition scheme and selling goods to " B Pvt Ltd." ( a co. Registered under normal scheme) of value above 5000.
.
Do, we i.e. " B Pvt Ltd.". need to pay GST on Inward supply of goods from " Dealer X" under Reverse Charge Basis???
.
.
Thanks in advance

Replies (9)

Sandeep Upadhyay

1518 Points Posted on 21 July 2017

RCM is applicable only in case of unregistered purchase
But Dealer X is registered so no issue of RCM

RAMESH D MODI

Proprietor

4869 Points Posted on 21 July 2017

u will not get ITC on that purchase

Momin Ali

156 Points Posted on 21 July 2017

DEAR RAMESH JI PLZ EXPLAIN THE LOGIC OF ITC IF SUPPLIED BY THE COMPOSITION DEALER. COMPOSITION DEALER CAN NOT SHOW THE TAX AMOUNT IN HIS INVOICE, ITS MEANS HOW ITC QUESTION ARISE? WILL GET OR NOT GET?

Sandeep Upadhyay

1518 Points Posted on 21 July 2017

Agreed with Momin Ali

Amit Mishra

Accountant

62 Points Posted on 21 July 2017

Please answer the question of mr.Himanshu Gupta yes RCM is applicable for B Pvt.Ltd.

NEKITA SAREEN

24 Points Posted on 22 July 2017

RCM is not applicable since dealer X is a registered person. Whether composite scheme or normal does not matter.

Vikas Jindal

student

46 Points Posted on 22 July 2017

rcm is not applicable as tax is already paid by the composition scheme dealer and no itc as he has paid minimal amount of tax

RAJA P M

"Do the Right Thing...!!!"

128152 Points Posted on 23 July 2017

Originally posted by : RAMESH D MODI
	u will not get ITC on that purchase

Yes Mr. RAMESH D MODI you are correct. I agreeeeeeeeeeeeed to you...

RAJA P M

"Do the Right Thing...!!!"

128152 Points Posted on 23 July 2017

Originally posted by : Momin Ali
	DEAR RAMESH JI PLZ EXPLAIN THE LOGIC OF ITC IF SUPPLIED BY THE COMPOSITION DEALER. COMPOSITION DEALER CAN NOT SHOW THE TAX AMOUNT IN HIS INVOICE, ITS MEANS HOW ITC QUESTION ARISE? WILL GET OR NOT GET?

Dear Momin Ali.,

The registered Dealer Purchased from Composition Dealer.

What are the benefit for the RD...?

What is the difference for RD purchase from RD and CD...?