sona1 (MANAGER) (359 Points)
20 July 2022ABC Pvt. Ltd. (GST Register Company ) pays RENT Per Month Rs. 30,000.00 to Mr. Sukanta Mondal (one of the Director of ABC Pvt. Ltd. Company) (but GST Unregister Person) after Deducted TDS for LAND purpose where ABC Pvt Ltd. Company Situated & doing here official cum factory related daily work ,
For this transaction Purpose ABC Pvt. Ltd. Company will pay RCM against this as per new rule w.e.f. 18/07/2022
CA Puja Sharma
(Chartered Accountant)
(4969 Points)
Replied 20 July 2022
No RCM will apply in this case under GST.
However, you have to deduct TDS while making the payment because the rent exceeds Rs. 2,40,000 per annum. TDS @ 10% will apply in this case.
sona1
(MANAGER)
(359 Points)
Replied 21 July 2022
Thanks for reply Puja Sharma
But madam As per Notification No 05/2022- Central Tax (Rate) dated 13.7.2022 said
GST unregistered person provides service of renting of residential dwelling for commercial purposes to a GST Registered Person. Here, the GST registered recipient shall pay GST @ 18% under RCM and may claim ITC on the same.
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