02 November 2017
We have received bill from vendor. It includes handling and transportation expenses. Vendor is registered under GST. GST is levied on Handling. And there is note in regards to RCM on transportation that it is payable at recipient. This purchase bill is not saved in our software and shows message "RCM and GST can not be booked simultaneously in the same/single purchase" Our software developer says, "it is correct message and the bill needs to be booked twice i.e.1st for ITC for GST & 2nd for RCM. This method is making our work double as same bill has to be booked for two times. Is this correct message ? Please advise.
02 November 2017
No Sir.. It's booked correctly but system does not allow ITC & RCM in same purchase. There is 2 options i.e GST & RCM. GST is selected while booking handling. RCM is selected while booking transportation. Finally this entry is not saved but it is saved by separating handling and transportation in 2 different entries. Can you furnish me your contact no. to demonstrate this issue through remote pc ?
05 November 2017
Thanks for your response. Can you furnish your mail id so as to send you copy of that bill ? And i also would like to demonstrate this issue before you through remote pc so you'll know it better practically.
05 November 2017
Dear Sir, Vendor Invoice No.MHODEX171800452 containing 1)Handling Expenses of Rs.4000 + CGST + SGST 2) Transportation of Rs.2000 + RCM. Bill total amount is Rs.6720. Bill contains note that RCM is payble at recipient end. Now, GST is selected on Handling and RCM is selected on transportation in purchase entry. Purchase amount in software tallies with physical purchase bill amount Rs.6720. But it can't be saved as error of "RCM & GST can not be taken in same transaction"
CAclubindia
