Reverse charge RCM rent on rent a cab

The body corporate shall be entitled to credit vide provisions of Section 16 r.w.s. 2(98) of the Act. Accordingly the even if the body corporate pays 5% tax, it is sufficient compliance of notification 22/2019 and credit can be claimed for the reverse charge so paid as per the provisions of Section 16. The cab provider was not eligible for ITC but the recipient would be eligible for ITC even if the tax paid is @ 5%.

ITC claimed on same line business only non body corporate. Body corporate ITC inelizable

ITC claimed on same line business only non body corporate. Body corporate ITC inelizable