Section 9(3) of the CGST Act states that the Government shall notify the supply of goods or services, the tax on which shall be paid under RCM. Vide Notification No. 13/2017 – CT (R) dated 28th June, 2017, the government has notified such services on which tax shall be paid under RCM.

Now, Section 31(3)(f) provides that a registered person who is liable to pay tax under sub-section (3) or sub-section (4) of section 9 shall issue an invoice in respect of goods or services or both received by him from the supplier who is not registered on the date of receipt of goods or services or both;

In case, the supplier of service or goods or both is an registered person, no invoice is required to be issued by the recipient of such supply.

Also, Section 31(3)(g) requires such recipient /registered person to issue a payment voucher at the time of making payment to the supplier.

Now, Rule 85 of the CGST Rules, 2017 provides that the liability payable under RCM shall be paid by way of debiting the electronic cash ledger. Also, the tax paid under RCM will be available for ITC.

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