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RCM ON GOODS PURCHASED FROM URD

Jatin Bhatt (Professional Consultant) (30 Points)

08 February 2021

A registered partnership firm having GST number provides work contract service of commercial building as per work order. He purchases building material from registered as well as unregistered dealer. Do He require to pay RCM on URD purchase, can he claim ITC in subsequent month?

An advocate is providing service to a urd person and receives fees of Rs.20 lakh. Does rcm applicable to urd person?

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3 Replies

SRIDARAN V (55 Points)
Replied 09 February 2021

Generally there is no provisions to avail ITC for works contract, further urd purchase also eligible to pay RCM as per sec.9 (4).

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Jatin Bhatt (Professional Consultant) (30 Points)
Replied 09 February 2021

Here the contract is for civil work goods and services both and the contractor is providing Tax Invoice with GST @ 18%, ITC still not allowable? Total commercial civil work.

Jatin Bhatt (Professional Consultant) (30 Points)
Replied 10 February 2021

The contractor has received contract through tender process for carried out civil work i.e. commercial construction work. He purchased building materials like sand, cement, iron and steel, furniture, electrification, fabrication work etc and hires labor contractor. He raises Tax Invoice with GST @ 18% as per SOR approved through tendering process. He claims ITC on material purchase and Labor charges. Please comment. Whether it is work contract, Pure Service or Mix Supply?