Hello Everyone, One of my client is doing timber (wood) business..Purchasing from URD. And selling to registered dealer. He is not getting purchase bill as the party is unregistered.
1. So my question is should my client liable to pay input tax on reverse charge basis ?
2. Or directly can he pay output liablity arising from sale ?
1. No... as there is no RCM on inward supply from URD
2. Yes need to pay tax on his Outward Supply.
CAclubindia
