Finance & Accounts
65 Points
Joined October 2009
The question posted was about 5000 limit exemption but not exemption from registration.
Under Reverse charge notification Legal services are notified and once we avail those servics we have to discharge our liabilty irrespective of value and registration.
The Limit of 5000 is only for those Reverse charge cases where Register dealer make purchases from Unregistered dealer. Here it is irrlevant whether Advocate is registered or not and has got minimum 5000 limit or not.
In this case the exemption of 5000 is not applicable and thereby GST liability under RCM on Rs.3000 to be discharged.