RCM Applicable- Car hiring service.
This query is : Resolved
21 November 2019
Dear Sir/Madam,
I am working in a Software company which is Public limited company.
The Vendor / service provider, which is non-corporate, is serving as a cab facility for our employee pick and drop and when we need it for business travel, we hire the car for the time being from the same vendor.
As per notification 22/2019 CT-
Vendor are telling us that you will have to pay GST directly to government under Reverse Charge Mechanism.
Please guide us that when the company takes car hiring service from any non corporate then the RCM will be applicable to the company.
Thanks & Regards,
Vishal Gupta
I am working in a Software company which is Public limited company.
The Vendor / service provider, which is non-corporate, is serving as a cab facility for our employee pick and drop and when we need it for business travel, we hire the car for the time being from the same vendor.
As per notification 22/2019 CT-
Vendor are telling us that you will have to pay GST directly to government under Reverse Charge Mechanism.
Please guide us that when the company takes car hiring service from any non corporate then the RCM will be applicable to the company.
Thanks & Regards,
Vishal Gupta
21 November 2019
Yes . If cab service is provided to Corporate, then the corporate is to pay GST under RCM. You can take the credit for the same in the month in which RCM GST payment is made.
Message likes :
1 times
21 November 2019
Thank you so much for your support. Can you please share any link or notification so that we can confirm our management.
21 November 2019
Yes, you have to pay GST Under RCM
Message likes :
1 times
21 November 2019
https://www.taxmanagementindia.com/visitor/detail_article.asp?ArticleID=8768
11 December 2019
Dear Sir,
Please confirm for the above case Input credit is only available for same line of business or other corporate are also eligible for input credit.
Please confirm for the above case Input credit is only available for same line of business or other corporate are also eligible for input credit.
11 December 2019
yes , You are correct. The body corporate is to pay GST under RCM and not eligible to take credit like freight, director sitting fees and Advocate fees. There will be exemption to take credit if the employer is subject to statutory obligation ( Like providing CAB to women employees during the night hours)
12 December 2019
Thank you sir for your support.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- GST on export of services and Input Credit
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- ITC temporary reversal and reclaim
- Applicable TDS rate for sale of property in Nov 2024
- Inventory of finished goods
- Tds on building rent monthly
- GST ON EXPORT COMMISSION
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- Sale of property furniture sale
- Confusion around Form 26QB fields
- Adjustment entry in the case of Individual and HUF on 31st March
- Stock difference tax applicable on composite rate or normal rate
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
Trending Online Classes
CAclubindia
