Pls advise whether ST is to be paid by co. (X ltd) under reverse charge mechanism (RCM)in the below case.
X ltd. pays Mr. K (Individual) for constructing toilet & such other amenities in the nearly 5 schools as a part of its CSR activity. Since the above work is a works contract & the provider of service is an individual, co. has to pay ST under RCM.
Query: Whether ST has to be paid under RCM when the payer (X ltd.) is not actually the service receiver? (In notification 30/2012, sl no. II the words used are "....... the person who receives the service for the taxable services specified in (I) shall ......"
CAclubindia
