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GST on RCM on Goods

karthikrao (B.com CS(inter) -ongoing) (170 Points)

11 July 2020

Sir,Whether RCM on goods is live or suspended? or we pay for specified goods..

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chethan data (298 Points)
Replied 11 July 2020

Oly specified goods rcm on cashew nuts not shelled or peeled, bidi wrapper leaves, tobacco leaves. raw cotton, supply of lottery oly those good rcm is exist other wise section 9(4) is suspend sir

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CA Rashmi B (Assistant Manager) (787 Points)
Replied 11 July 2020

For construction industry
it's there. if 80% of total procurement is not made from registered party the deficiency
shud be considered for payment of GST under RCM

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Shivam RC (Student) (23683 Points)
Replied 12 July 2020

1). Section 9(3) of the CGST Act 2017 : RCM on "Notified Goods and Services" is on full force.

2). Section 9(4) of the CGST Act 2017 : RCM on Purchase from UNREGISTERED DEALER is now applicable only on Notified Goods and Services procured by Notified Registered Persons. For example - RCM is applicable on Cement, Capital Goods purchased from Unregistered Dealer by a Promoter/Developer ( Real Estate Sector ).

NOTE : Section 9(4) of the CGST Act 2017 was amended vide CGST Amendment Act 2018.

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