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RCM on transportation ITC climing.

14 December 2023

my Clint was some goods received through VRL, SRMT transport. transport have uploaded RCM invoices 5% Gst. so now iam clime that ITC ?. or reversed?

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9 Replies

prasad Nilugal ( GST Practitioner & Accounts ) (14801 Points)
Replied 14 December 2023

If transporter is GTA ( VRL , SRMT ) charged 5 % GST under RCM , then ITC not available , do not claim it .

Take others Opinion as well .

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V SUBRAMANIAM (504 Points)
Replied 14 December 2023

Gta services itc can claim after paying the GST by cash by the recipient of service.

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prasad Nilugal ( GST Practitioner & Accounts ) (14801 Points)
Replied 14 December 2023

@ V . Subramaniam

If can be claimed GST @ 5,% under RCM , please give relevant notification reference .

V SUBRAMANIAM (504 Points)
Replied 14 December 2023

11/2017 Central tax rate notification.

prasad Nilugal ( GST Practitioner & Accounts ) (14801 Points)
Replied 14 December 2023

There are two options for GTA at present , either to pay GST under forward charge or let the recipient pay GST under RCM

1) As you mentioned , Notification 11/2017 dated 28/6/2017 which is not relevant to above query , wherein GTA has to pay GST under forward charge , has been amended by way issuing Notification 3 / 2022 ( C.T rate ) dated 13/7/2022

2) As per the query GST liability has to be discharge by recipient of service for this Notification 13/2017 ( C T rate ) dated 28/6/2017 is applicable , now notification 13/ 2017 has been amended by issuing new notification 5/2022- CT rate 13/7/2022 as per this notification service recipient has discharge GST under RCM @ 5% without ITC section 9(3) of the CGST Act . ( please refer notification 5/2022 ) , if GTA has not opted for forward charge .

I therefore request quriest sadik Vali , to take professional help form nearby CA in this case .

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