Rate of service

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RAKESH (Querist)
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29 June 2017 Sir
Our company is receiving Rent a cab service from various contractors and remiting 7.5% as service tax under Reverse charge mechanism.The contractors will submit the total Bill for the month of June in July only and the payment will be made on July, My query is that, what will be the rate of GST/Service Tax for above mentioned bill and subsequent bills under RCM.

Thanks in Advance

Amol S Joglekar

Amol S Joglekar (Expert)
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29 June 2017 if fuel cost is borne by service provider .... 5%
if fuel cost is borne by service receiver... 18%
The service for June is provided in June and hence it will go to 7.5 % RCM although billed in July.
Hence on wards the rate would be 5 or 18 as the case may be

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