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GST on import of services (medical consultation)

11 May 2020

We are exempt service provider in medical profession. If we take a consultation from a Medical consultant in USA whether RCM is chargeable?

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7 Replies

Mohit Jagnani (Professional - CA firm) (524 Points)
Replied 11 May 2020

Hi,

can you please give a brief of the service

generally speaking import shall be exempted

thanks
Mohit
8335093446

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VATSAL GOHIL (10 Points)
Replied 11 May 2020

Thank you for your reply.

We are into diagnostic laboratory business. which is exempt under GST. We are taking consultancy from a doctor based in USA towards some medical assistance. So are we liable to RCM under GST? If no, Pls provide a legal backing for the same.

Mohit Jagnani (Professional - CA firm) (524 Points)
Replied 11 May 2020

Hi,

what is exempt under gst as per not 9/2017 of igst rate is servicea by registered medical practitioner

also registered here means under Indian law

thus USA based medical consultany is not registered medical practitioner under gst, tax needs to be paid under RCM

thanks
Mohit
8335093446

VATSAL GOHIL (10 Points)
Replied 11 May 2020

Thank you 😊

Mohit Jagnani (Professional - CA firm) (524 Points)
Replied 11 May 2020

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sunil arora (54 Points)
Replied 11 May 2020

GST is payable under Reverse Charge u/s 5(3) of IGST. Notification 10/2017 IGST imposes RCM on import of services

So To Pay RCM you need to take Registration....

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 15 May 2020

Dear Vatsal
RCM is not applicable on Exempted goods or Services.
As the medical consultancy is Exempted by Notification 12/2017 CT (R) , So No RCM attracts.