Rcm on tender fees paid.

This query is : Open

Manoj (Querist)
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26 April 2023 Whether RCM is applicable in respect of tender fees paid to Government deptt. If yes, under which notification. Please guide.

CA SANDESH MAHIPAL

CA SANDESH MAHIPAL (Expert)
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26 April 2023 Dear Manoj Ji,

1. Refer decision by MAHARASHTRA AUTHORITY FOR ADVANCE RULING in case of NAVI MUMBAI MUNICIPAL CORPORATION, in which it has been stated that online or offline tender fees is a supply of service and GST should be charged under SAC code 9997 @18%.

2. Refer Notification No.12/2017- Central Tax (Rate) Dt.28.06.2017, in Entry No.9 it has been stated that if consideration for services provided by CG/SG/UT/Local authority does not exceed Rs.5000/-, it is exempt.

3. Refer Notification No.13/2017 -Central Tax (Rate) Dt.28.06.2017, It has been stated that services provided by CG/SG/UT/Local authority to any Business Entity, RCM is to be paid by recipient.

I am just sharing relevant decisions/notifications with you so that you can form your decision on your own.

Thanks & Regards
CA Sandesh Mahipal