11 August 2017
Dear Experts 1 If a URD dealer ( being t/o below 20L) gets service of Rs 4000 from URD service provider, is he liable to get GST Registration? (as RCM is applicable to RD purchasing from URD for more than Rs 5000 per day.) Pl Explain.
11 August 2017
As such there is no value based exemption for the assesse receiving Supply of Goods or services from URD suppliers. Practically, since you are not liable to pay any tax and you do not take registration, there would be no implication if you have correct supporting to prove value of per day purchases N. Jain group.blr@gmail.com
12 August 2017
Mean to say even Rs100 purchases by URD from URD need to take reg under RCM Since S 24(iii) says persons who are required to pay tax under reverse charge has to take reg compulsorily. But who are the persons that are liable to pay under RCM. As per 9(4) RD has to pay under RCM if he pur or receive service from URD. Nothing is mentioned about URD purchase from URD. Then this URD is liable to pay under RCM?
14 August 2017
Condition for 9(4). 1Goods purchaser /Service receiver must be RD. 2 Goods seller/Service provider must be URD The above section does not mention about URD Goods purchases/Service Receiver Means RCM do not apply to URD as receiver must be RD only. S 24(iii) says for compulsory registration for a person who is liable to pay under RCM. Then how URD goods purchaser/service receiver are liable for compulsory reg before he touch threshold limit of 20L. Pl Explain
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