JOIN ONLINE GST COURSE Click Here

Join Online GST Certification Course by TaxGuru & GST Professionals

Articles covers list of services that will be under reverse charge as approved by the GST Council and Percentage of GST payable by service provider and any person other than Nthe service provider.

SERVICES UNDER REVERSE CHARGE AS APPROVED BY GST COUNCIL

The fitment of rates of services were discussed on 19 May 2017 during the 14th GST Council meeting held at Srinagar, Jammu & Kashmir. The Council has broadly approved the GST rates for services at Nil, 5%, 12%, 18% and 28%. The list of services that will be under reverse charge as approved by the GST Council is given below. The information is being uploaded immediately after the GST Council’s decision and it will be subject to further vetting during which the list may undergo some changes. The decisions of the GST Council are being communicated for general information and will be given effect to through gazette notifications which shall have force of law.

Sl. No. Service Provider of service Percentage
of service
tax payable
by service provider
Recipient of Service Percentage of
service tax
payable by any
person other
than the
service provider
1. Taxable services provided or agreed to be provided by any person who is located in a non-taxable territory and received by any person
located in the taxable territory other than non- assessee
online recipient (OIDAR)
Any person
who is located in a non-
taxable territory
Nil Any person located in the taxable territory other than non-assessee online recipient
(Business Recipient)
100%
2.

 

Services provided or agreed to be provided by a goods transport agency (GTA) in respect of transportation of goods by road Goods Transport Agency (GTA)

 

Nil

 

(a) any factory registered under or governed by the Factories Act, 1948;

(b) any society registered under the Societies Registration Act, 1860 or under any other law for the time being in force in any part of India;

(c) any co-operative society established by or under any law;

(d) any person registered under CGST/SGST/UTGST Act;

(e) any body corporate established, by or under any law; or

(f) any partnership firm whether registered or not under any law including association of persons.

(g) Casual taxable person

100%

 

3. Services provided or agreed to be provided by an individual advocate or firm of advocates by way of legal services, directly or indirectly An individual advocate or firm of
advocates
Nil Any business entity. 100%
4. Services provided or agreed to be provided by an arbitral tribunal An arbitral
tribunal
Nil Any business entity. 100%
5. Sponsorship services Any person Nil Anybody corporate or
partnership firm.
100%
6. Services provided or agreed to be provided by Government or local authority excluding, ‑

(1) renting of immovable
property, and

(2) services specified below‑

(i) services by the Department of Posts by way of speed post, express parcel post, life insurance, and agency services provided to a person other than
Government;

(ii) services in relation to an aircraft or a  vessel, inside or outside the
precincts of a port or an airport;

(iii) transport of goods or
passengers.

Government or local
authority
Nil Any business entity. 100%
8. Services provided or agreed to be provided by a director of a company or a body corporate to the said company or the body corporate; A director of a company or a body corporate Nil A company or a body corporate. 100%
9. Services provided or agreed to be provided by an insurance agent to any person carrying on insurance business An insurance agent Nil Any person carrying on
insurance business.
100%
10. Services provided or agreed to be provided by a recovery agent to a banking company or a financial institution or a non- banking financial company A recovery
agent
Nil A banking company or a financial institution or a non-banking financial company. 100%
11. Services by way of transportation of goods by a vessel from a place outside India up to the customs
station of clearance in India
A person located in
non-taxable territory to a person located in
non-taxable territory
Nil Importer as defined under clause (26) of section 2 of the Customs Act, 1962. 100%
17. Transfer or permitting the use or enjoyment of a copyright covered under clause (a) of sub-section (1) of section 13 of the Copyright Act, 1957 relating to original literary, dramatic, musical or artistic works Author or
music composer, photographer, artist, etc
NIL Publisher, Music company,
Producer
100%
18 Radio taxi or Passenger Transport Services provided through electronic commerce operator Taxi driver or Rent a cab operator Nil Any person 100% by Electronic Commerce Operator

Download Chart of Services Under Reverse Charge as approved by GST Council

More Under Goods and Services Tax

Posted Under

Category : Goods and Services Tax (4000)
Type : Articles (13687) Featured (4136) Trending (204)

12 responses to “Chart of Services Under Reverse Charge as approved by GST Council”

  1. o p rana says:

    please tell me, what is rate of gst on gta (example i.e 18% but pay on 100% value or 30% value on gross value)

  2. Santosh Kumar Singh says:

    S.No.12 to 16 missing in list, please check

  3. Meghraj Surana says:

    Is GST applicable to persons acting as Agents for mobilization of deposits for postal savings schemes / LIC/ LIC Housing/ HDFC Ltd./ DHFL Ltd./ GOI Bonds/ Mutual Funds etc etc.

  4. Sujit Kumar Das says:

    Chart of Services Under Reverse Charge as approved by GST Council & Sl No 18.
    A housewife hires a taxi and she will have the liability of paying GST under Reverse Charge as “any person”. Council may clarify please.

  5. Rakesh Milwani says:

    Where is the justification of Reverse Charge Mechanism except in the case of an importer? Others, including Government, can collect forward service charge and pay the same. Why does the Honourable Finance Minister want to shift the burden onto others. Imagine a small business man with turnover of less than Rs. 20 lakhs, who is not otherwise liable for registration, has to obtain Registration under GST simply because he is liable to pay certain transport charges to GTA. This would simply take away the benefit of threshold limit. Where is the ease of doing business?

    • Sujit Kumar Das says:

      Actually sir, they do not have the practical idea in my views. Or they want to say something else which we fool do not understand. Goods transport Agency service attracts 5% GST rate with no ITC. What does it mean? It covers under RC and the receiver of the service have to pay 100% of GST. If it is a manufacturing unit, then ITC should be avialable. But in the chart it speaks of no ITC. What they want to say , not clear.

  6. Rakesh Milwani says:

    Putting fees paid to an individual advocate or a firm of advocates under reverse charge mechanism is height of stupidity. If other professionals like Chartered Accountants, Cost Accountants, Company Secretaries, Architects, Artists are liable on forward charge, why advocate fees on reverse charge? Is it because Mr. Jaitley is an advocate and prior to him, the person who introduced reverse service charge on advocates, Mr. Chidambaram, was also an advocate? Mr. Jaitley, please justify reverse charge on advocates, who are supposed to be learned. Or is it because they are learned that they know how to put their burden on others.

    • CMA, CS, ADV, Atul Mane says:

      RCM to Advocate applicable to only business entity. If Advocate paid or Business Entity paid under RCM in both cases ITC is available to Business entity ( Registered). Practically there is no issue. In advocate mainly business in cash but in case other professional mainly transactions in invoice.
      there is no any loss of business but liability to pay is transfer for interest of Government Revenue

  7. sandeep k says:

    wht is gst for private coaching class & dth mobility recharge

  8. Ajay Saxena says:

    What is the GST rates on computer INkjet and Laser printers along with consumables, used in toners

  9. Raja says:

    What about Manpower supply service?

Leave a Reply

Your email address will not be published. Required fields are marked *