Reverse charge mechanism

Can anybody help me out what will be accounting entries on ST reverse charge mechanism :- Example :- We have paid ST for Rs.120000/-( including sercharges) on the bill of our consultant ( who is a foreigner - that why we are paying ST on his behalf according to ST rules ) and we will take credit the input of the same amount. And how to show it in ST-3   

Regards Jayanta 

 

Replies (3)

Mention it under SERVICE RECEIVER section:

B2.5 Amount paid for services received from Non-Taxable Territory - Imports

Dear Madam

I am still in confusion when I am furnishing ST-3 :-

1. I am showing B1.1 ( Value of Taxable Service & Service Tax payable ) -- 10,00,000/- .( Autometically B1.17 calculate the Payable of ST -- 120000/-

2.I am showing D1 ---- 120000/- ( As it is paid in Cash )

3. I am showing D2 ---- 120000/- ( Cenvat Credit -- Reverse charge mechanism )

Then utimetly result is comming 120000+120000= 240000/-as total tax paid.So is it not double counted ? Pls help me out how to show in ST-3.

Thanks 

Jayanta 

 

 

 

 

but u need to show the value in B2.5 under service receiver (not in B1.1 in service provider)

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
04 August 2026
ACCOUNTANT

CA RAM KISHOR KUMAR

Others

B.Com

View Details
Company
25 August 2026
Senior Accountant

MG Associates

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 26 August 2026
CA Article Assistant/CA Drop Out/Accounts Executive

PARV & Co.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 01 September 2026
Articles

Saini Pati Shah & Co LLP, Chartered Accountants

Mumbai

CA Foundation

View Details
Company
ARTICLESHIP 25 August 2026
CA Article's

Saini Pati Shah & Co LLP

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 05 August 2026
CA associate

Arun Deepak and Company

New Delhi

CA Inter

View Details
Company
29 August 2026
Chartered Accountant

Velionit Consulting PVT LTd

Mumbai

CA

View Details
Company
07 August 2026
Chartered Accountant

Devesh Garg and co

New Delhi

CA

View Details