suresh s. tejwani (proprietor) (665 Points)
05 October 2021I AM A PARTNER AND I HAVE LEASE AGREEMENT FOR MINING ON MY OWN NAME AND I HAVE A BUSINESS UNDER PARTNERSHIP FIRM. AND ROYALTY EXPENSES ARE PAID FROM MY BUSINESS. SO WHETHER I HAVE TO PAY RCM ON ROYALTY FROM MY FIRM AND CAN CLAIM CREDIT ?..OR I HAVE TO APPLY FOR NEW REGISTRATION AS PROPRIETOR AND HAVE TO SHOW SUB LESASE TO THE FIRM..?
WHETHER IT WILL BE CORRECT PROCEDURE IF LEASE AGREEMENT IS ON THE NAME OF PARTNER AND PAYING RCM AND CLAIM OF CREDIT ON FIRMS GSTIN...?
Rama chary Rachakonda
(Master in Accounts & Lawyer email ID:ramachary64@gmail.com voice no:9989324294)
(3427 Points)
Replied 05 October 2021
Yes, on royalty GST will apply under reverse charge mechanism. Further, such payment of GST under reverse charge mechanism would be eligible as ITC in the hands of the recipient of supply for payment of GST.
suresh s. tejwani
(proprietor)
(665 Points)
Replied 05 October 2021
BUT SIR IF LEASE AGREEMENT IS ON THE NAME OF PARTNER. AND ALL BUSSINESS OF MINING IS CONDUCTED UNDER PARTNERSHIP FIRM THAN WHO HAVE TO PAY TAX ...PARTNERSHIP FIRM OR PARTNER..?
Rajendra Prasad
(Employee Private)
(1842 Points)
Replied 05 October 2021
suresh s. tejwani
(proprietor)
(665 Points)
Replied 05 October 2021
PARTNERSHIP FIRM IS MAKING PAYMENT AND SHOWING EXPENDITURE. SO LEASE AGREMENT ON THE NAME OF PARTNER DOES NOT HAVE RELEVANCE?
Rajendra Prasad
(Employee Private)
(1842 Points)
Replied 05 October 2021
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